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Which governance structures drive economic, environmental, and social upgrading? A quantitative analysis in the assembly industries

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  • Golini, Ruggero
  • De Marchi, Valentina
  • Boffelli, Albachiara
  • Kalchschmidt, Matteo

Abstract

As industries are becoming increasingly global, researchers and practitioners are compelled to look at supply chains (SCs) from a global perspective. In this respect, the Global Value Chain (GVC) framework is particularly useful in understanding global dynamics because it relates the nature of relationships between firms (governance) to the possibilities for firms to move toward higher value-added activities (upgrading). Whereas the literature to date has explored these issues via qualitative approaches, this paper explores the effect that different forms of governance with suppliers and customers have on economic (product, process, functional), environmental and social upgrading based on an analysis of the International Manufacturing Strategy Survey (IMSS) data. The results show that participating to GVCs supports only some forms of upgrading and only under specific governance structures.

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  • Golini, Ruggero & De Marchi, Valentina & Boffelli, Albachiara & Kalchschmidt, Matteo, 2018. "Which governance structures drive economic, environmental, and social upgrading? A quantitative analysis in the assembly industries," International Journal of Production Economics, Elsevier, vol. 203(C), pages 13-23.
    • Handle: RePEc:eee:proeco:v:203:y:2018:i:c:p:13-23
    DOI: 10.1016/j.ijpe.2018.05.021
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    References listed on IDEAS

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    3. Mahwish J Khan & Stefano Ponte & Peter Lund-Thomsen, 2020. "The ‘factory manager dilemma’: Purchasing practices and environmental upgrading in apparel global value chains," Environment and Planning A, , vol. 52(4), pages 766-789, June.
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    7. Delera, Michele & Pietrobelli, Carlo & Calza, Elisa & Lavopa, Alejandro, 2022. "Does value chain participation facilitate the adoption of Industry 4.0 technologies in developing countries?," World Development, Elsevier, vol. 152(C).
    8. Joost de Haan-Hoek & Wim Lambrechts & Janjaap Semeijn & Marjolein C. J. Caniëls, 2020. "Levers of Control for Supply Chain Sustainability: Control and Governance Mechanisms in a Cross-Boundary Setting," Sustainability, MDPI, vol. 12(8), pages 1-22, April.
    9. Islam, Mohammad Tarikul & Polonsky, Michael Jay, 2020. "Validating scales for economic upgrading in global value chains and assessing the impact of upgrading on supplier firms’ performance," Journal of Business Research, Elsevier, vol. 110(C), pages 144-159.
    10. Tham, La Thi & Darr, Dietrich & Pretzsch, Jürgen, 2021. "Analysis of Acacia hybrid timber value chains: A case study of woodchip and furniture production in central Vietnam," Forest Policy and Economics, Elsevier, vol. 125(C).
    11. Choksy, Umair Shafi & Ayaz, Muhammad & Al-Tabbaa, Omar & Parast, Mahour, 2022. "Supplier resilience under the COVID-19 crisis in apparel global value chain (GVC): The role of GVC governance and supplier’s upgrading," Journal of Business Research, Elsevier, vol. 150(C), pages 249-267.
    12. Stephan Manning & Cristiano Richter, 2023. "Upgrading against the odds: How peripheral regions can attract global lead firms," Journal of International Business Policy, Palgrave Macmillan, vol. 6(1), pages 1-23, March.
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