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Looking Beyond Global Value Chains in Capacity Development: The Case of the IT-Enabled Service (ITES) Sector in South Africa

Author

Listed:
  • Charlotte Keijser

    (Maastricht Economic and Social Research Institute on Innovation and Technology (UNU-MERIT)/Maastricht Graduate School of Governance (MGSoG))

  • Michiko Iizuka

    (Maastricht Economic and Social Research Institute on Innovation and Technology (UNU-MERIT)/Maastricht Graduate School of Governance (MGSoG))

Abstract

This paper examines the role of learning avenues for capability development in the IT-enabled services in developing countries. It sheds light on the unexplored relationship between global value chain (GVC) learning and national innovation systems (NIS) in capability development. It explores learning avenues beyond GVCs, namely in local and regional value chains. Based on data collected from 47 interviews of IT-enabled service providers in South Africa, we find that NIS influences firms’ capacity to access and adapt learning from GVCs, whereas the latter has the potential to strengthen NIS. Secondly, the majority of South African service providers in this sample do not participate in GVCs but participate in local and regional value chains instead, which are distinct yet important learning avenues and potential pathways for entering GVCs of IT-enabled services.

Suggested Citation

  • Charlotte Keijser & Michiko Iizuka, 2018. "Looking Beyond Global Value Chains in Capacity Development: The Case of the IT-Enabled Service (ITES) Sector in South Africa," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 30(3), pages 442-461, July.
    • Handle: RePEc:pal:eurjdr:v:30:y:2018:i:3:d:10.1057_s41287-017-0110-7
    DOI: 10.1057/s41287-017-0110-7
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    References listed on IDEAS

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    2. Zicheng Ma & Liang Wang & Xin Zheng & Jianqi Zhang, 2022. "National Innovation Systems and Global Value Chain Participation: The Role of Entrepreneurship," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(2), pages 897-920, April.
    3. Jan Fransen & Peter Knorringa, 2019. "Learning and Upgrading of Craft Exporters at the Interface of Global Value Chains and Innovation Systems," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(3), pages 530-557, July.
    4. Rasmus Lema & Roberta Rabellotti & Padmashree Gehl Sampath, 2018. "Innovation Trajectories in Developing Countries: Co-evolution of Global Value Chains and Innovation Systems," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 30(3), pages 345-363, July.

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