Global Value Chain Perspective Research Articles

Coupling System Dynamics Model of Cross Border Logistics and Ecological Environment Based on the Sustainable Perspective of Global Value Chain

International import and export trade, along with cross-border logistics management, plays a pivotal role in the era of globalization, driving the development of the global economy and fostering international trade prosperity. Nevertheless, the continuous growth of the global economy has also brought forth fresh challenges to the ecological environment posed by cross-border logistics activities. Against this backdrop, this paper begins by analysing the correlation between international trade and logistics activities. The study reveals a positive response relationship between the total volume of international import and export trade and cross-border logistics, demonstrating a positive correlation. Subsequently, the impact of international import and export trade, as well as cross-border logistics, on the ecological environment is discussed, underscoring the significance of implementing ecological environment monitoring. Taking into account the environmental impact of cross-border logistics activities, an integrated system is proposed and designed to enhance cross-border logistics efficiency while considering environmental protection and sustainable development. This system encompasses real-time monitoring, data collection, threat, and risk assessment. This study makes a clear contribution to research on green innovation and environmental protection within the context of cross-border logistics. It offers a different perspective on the integration of cross-border logistics management and the ecological environment, deepens understanding of environmental protection innovation strategies and cross-border logistics management from the perspective of sustainable development. Furthermore, it provides valuable management insights for related enterprises to balance development and environmental protection. Additionally, it sheds light on the international impact of import and export trade, offering crucial inspiration and theoretical references for decision-making.

Uncovering the features of global antimony resource trade network

Antimony is a scarce strategic metal and plays an extremely important role in the modern societies. Due to the increasing demands for various antimony-containing products, it is critical to identify the key supply risk of antimony industrial chain. This study aims to uncover the key features of antimony-related trade flows from a global value chain perspective and assess the trade network linkage and features of global antimony resource by using a complex network model and a stochastic block model. Also, the trade network evolution of global antimony resources is investigated by using an exponential random graph expansion method so that valuable policy insights can be obtained for preparing appropriate policies to facilitate sustainable antimony resource management. Results show that the network structure of the global antimony resource presents a significant center-periphery feature. China, India, Vietnam and Tajikistan have always acted as trade intermediaries and bridges of global antimony resources. Also, the evolution of global antimony resources trade network was driven by trade network autonomy and exogenous network embeddedness. In addition, geopolitics is the biggest obstacle to maintain the operation of this global antimony trade network. Finally, policy recommendations are proposed to help ensure sustainable supply of antimony resources.

Characters, comparisons and explications of China's domestic environmental cost of agricultural exports from the perspective of global value chain

In the context of global value chain, this paper uses world input-output table (2016) and CO2 emission data to analyze domestic environmental cost of agricultural exports based on backward linkage MRIO model. The results show that average domestic value-added and domestic embodied emissions of China's agricultural export are respectively ranked 7th and 4th in the world during the sample period, which indicates that China's agriculture does not perform well in environmental cost; On the bright side, China's domestic environmental cost displays a downward trend over time. In terms of contributing factors, CO2 emission coefficient is conducive to the reduction of domestic environmental cost, meanwhile the value-added coefficient, intermediate input structure, and agricultural export structure promote the increase of domestic environmental cost. Further, the cross-country decomposition results found that the emission coefficient and the intermediate input structure are the main reasons that lead China's domestic environmental cost to be higher than those of the main agricultural export countries. The value-added factor and the export structure have narrowed the gap of domestic environmental cost between China and other major agricultural economies. The research findings are still robust when scenario analysis is introduced. This study suggests that optimizing the structure of energy consumption and promoting cleaner production are most important ways to promote the sustainable development of China's agricultural exports.

Peer Effects in Productivity and Differential Growth: A Global Value-Chain Perspective

Abstract Using multinational input–output data, we analyze how the productivity of countries adjusted for participation in global value chains affects their output growth in manufacturing sectors. Based on parametric and non-parametric methods, we find that value-chain linkages are critical to the productivity–growth nexus and help to explain cross-country differences in sectoral output growth rates compared to the situation where these linkages are ignored. Our results have implications for macroeconomics, where they point to peer effects in productivity as drivers of growth, and for economic development, where they illustrate how the participation in global value chains may outweigh disadvantages in productive performance at the level of individual countries. They may also encourage future empirical tests of replicator dynamics to verify whether global value chains can explain the weak evidence of selection forces at the firm level.

On Strategic Emerging Industry Cluster Development in Anhui based on the Perspective of Global Value Chain

With the development of economic globalization, the role of strategic emerging industries embedded in global value chains (GVCs) as clusters to actively participate in the global industrial division of labor has become increasingly significant. The present situation and problems of strategic emerging industry clusters in Anhui are analyzed qualitatively from three aspects: dynamic mechanism, development mode and governance mode, and their status in GVC is inferred quantitatively by using GVC index. Secondly, Bengbu silicon-based new materials industry is used as an example for empirical research, and the GEM model and multiple linear regression model are used to build a data evaluation system and analyze the factors affecting the competitiveness of industrial clusters. Finally, we propose a scientific and reasonable upgrading path and policy suggestions based on GVC perspective, which can provide guidance and reference significance for promoting regional industrial economic development.

Two sides of the same coin: The economic and environmental effects of China's international trade from a global value chain perspective

China's accession to the World Trade Organization (WTO) has led to rapid economic growth and international trade development. However, China is also challenged with a heavy environmental burden due to the massive carbon emissions transferred through trade. By splitting production activities into traditional trade and global value chain (GVC) activities, this paper uses an intercountry input-output (ICIO) framework to study the imbalances of the economic and environmental effects between China's imports and exports at different levels. We define the indices value added per embodied emission in imports and exports (VPM and VPX, respectively). Additionally, we find a large gap between China's VPM and VPX, primarily because developed economies gain much higher value added per embodied emission than China gained through exports in GVC activities. Then, we study how to narrow the gap between China's VPM and VPX. The application of multiplicative structural decomposition analysis (SDA) and the logarithmic mean Divisia index I (LMDI-I) approach reveals the total and bilateral-sectoral contributions of the driving factor effects to the changes in China's VPM and VPX. The results provide tailored implications for promoting the comprehensive economic and environmental benefits of China's imports and exports.

The Impact of Trade on Carbon Emissions and Employment from the Perspective of Global Value Chains—A Case Study of Chinese–Japanese–Korean Trade

While international trade drives countries’ economic growth and promotes employment, it also has some environmental impact. To investigate the impact of trade on carbon emissions and employment, this study performs a detailed decomposition and measurement of embodied carbon emissions and employment in value-added trade between China, Japan, and Korea from 2007–2019. The current study established that, while China’s trade with Japan and Korea created many domestic jobs, it also resulted in significant domestic carbon emissions. While Japan and Korea’s trade with China reduced carbon emissions, employment in their own countries was reduced and replaced by employment in China. At the value chain route level, trade among the three countries through each value chain route either achieves employment promotion at the cost of increased carbon emissions or promotes domestic emissions reduction at the cost of employment loss. However, it is worth noting that, when trade between Japan and Korea was conducted through simple GVCs (route 2), it not only helped reduce Japan’s carbon emissions, but also effectively promoted employment. This is the ideal trade route. The results of this study can provide useful reference information for developing countries such as China, to achieve sustainable economic growth, carbon emission reduction, and employment promotion in the context of trade globalization.

Comprehensive assessment of the environmental and employment impacts of international trade from the perspective of global value chains

A comprehensive assessment of the environmental and employment impacts of international trade is essential for coordinating sustainable development between the economy, environment, and society. International trade is an important driving force for global economic growth. However, the environmental and social impacts of trade under global value chains (GVCs) have not yet been comprehensively characterized. This study aims to estimate the impacts of international trade from 2000–2014 on carbon emissions and employment using the gross export decomposition method, incorporating a counterfactual method based on the multi-region input–output model. We found that (1) at the global level, international trade has been conducive to carbon emission reductions since 2003 and played a role in increasing employment throughout the study period; however, the impacts of GVC-related trade have been mixed, generating global emissions savings, but leading to job losses. This implies that there is a trade-off between carbon emission reduction through GVC embedding and employment creation. (2) At the national level, a country’s participation in international trade benefits the environment, employment, or both. In this sense, international trade is no longer a zero-sum game; rather, it is likely to be a positive-sum game for all participants regarding environmental benefits and job creation. (3) In bilateral trade, developed and developing economies have positive and negative impacts, meaning that they should take joint actions to balance environment–employment–trade growth. These findings are useful for determining the responsibilities of different countries toward climate change and achieving sustainable development of the economy, society, and environment.

The impact of the digital economy on China’s carbon emissions from the perspective of global value chains

The impact of the digital economy on China’s carbon emissions from the perspective of global value chains

A Global Value Chain Perspective into the Limitations of Business and Human Rights Initiatives in Regulating Value-less Chains: A Case of Ultimate Shifting Costs of Enforcement Down the Tobacco Chain in Africa

A Global Value Chain Perspective into the Limitations of Business and Human Rights Initiatives in Regulating Value-less Chains: A Case of Ultimate Shifting Costs of Enforcement Down the Tobacco Chain in Africa

A review of the evolving conceptualization of internationalization from a global value chain perspective

PurposeThe purpose of this paper is to reveal the assumptive concept of internationalization because it is discussed and understood in the international business (IB) literature. This paper develops a framework to reconceptualize internationalization in the context of global value chain (GVC) and sustainability. Based on this conceptual framework, this paper aims to formulate interrelated propositions to define internationalization.Design/methodology/approachThis paper reviews the assumptive conceptualization process based on empirical evidence obtained through qualitative, illustrative and descriptive content analysis methods. Through the collection and qualitative content analysis of milestone papers, this paper demonstrates the fragmentation of the concept of internationalization. This paper reviews the evolving nature of the concept of internationalization, analyzing the accumulative issues associated with defining internationalization, as well as its potential future development.FindingsThis paper introduces a dynamic perspective on the evolving nature of the concept of internationalization and argue there is a need to reconceptualize internationalization in the context of the GVC and sustainability.Originality/valueAfter reviewing the context in which the term “internationalization” has been applied and taking into consideration the current trends in the IB, this paper formulates an updated definition of the term internationalization. This paper offers a viewpoint on the future direction of the concept of internationalization in light of the growing importance of sustainability within IB.

Achieving transparency through blockchain: sustainability of fishery supply chain management

Objective: This paper aimed to discuss how blockchain technology would incorporate several changes in the fishery supply chains, in order to make them more reliable and sustainable. Method: This is a qualitative study, using an exploratory method with descriptive approach. In addition, the literature review in this study presents theoretical contributions regarding utility. Main Results: The study highlights the importance of incorporating blockchain features into seafood supply chains, which are currently fragmented and lack of real-time information, focusing on its traceability potential to leveraging fishery supply chains operations and outcomes. It identifies a sequence of strategic checkpoints that provide real-time information by using blockchain in fishery supply chains. Relevance / Originality: This manuscript presents a diagram of a seafood supply chain considering how blockchain allows the data gathering in each stage in order to provide traceability to the supply chain. Hence, the study serves as a map, as well as a model, for upcoming research on how to understand the incorporation of technology into supply chains stages. Theoretical / Methodological Contributions: Supply chains support international business operations. Furthermore, as digital revolution moves aggressively forward, supply chains need to adapt to it in order to fit for the new stakeholders’ expectations. This study uses sustainable supply chain management and blockchain technology as positioning literature. Management Contributions: The study provides an overview of how fishery supply chains would work by incorporating blockchain technology, which extends the literature about sustainable supply chain management and proposes paths for actions for policymakers in order to make them improve the business ecosystem. This study implies a practical contribution to global value chain perspective and the discipline of business.

Genuine performance of China's forest products trade: An evaluation from the perspective of global value chains

This study evaluates the trade performance of China's forest products industry by decomposing its total export value added using the latest world input-output table for the period of 2000–2014 and a novel value-added accounting method. This method enables us to identify and isolate the trade of intermediate products and the double counting embedded in the existing statistics. Our results show that while the domestic value added accounted for more than 80% of the industry's total export value added, statistical deviations caused by including foreign value added and double counting could constitute as much as 15% of the total export value added. In addition, we find that China has narrowed its gap with the U.S. in terms of the bilateral export value added, while its capacity of value-added trade was superior to that of many developing economies. China can enhance its trade performance by targeting particular markets and adjusting its participation and position in the global value chains.

The structural change and influencing factors of carbon transfer network in global value chains.

Based on the gross trade accounting method and WIOD data, this paper quantifies the global carbon transfer from 2000 to 2014. The social network analysis and temporal exponential random graph model (TERGM) are employed to investigate the structural change and influencing factors of global carbon transfer network from a global value chains (GVCs) perspective. Results show that the deepening of the GVC division connection has enhanced the relations in global carbon transfer network, and the low reciprocity and high disassortativity lie in the difference in GVC division positions among economies. Block model analysis manifests that Plate Ⅱ acts as the engine plate in the network which consists of China and the other four economies. The GVC division connection and relative GVC division position significantly facilitate the formation of carbon emission transfer relations. Moreover, economies' attribute effects and endogenous network structure effects are non-negligible important determinants of network formation.

Industry 4.0 and circular economy in an era of global value chains: What have we learned and what is still to be explored?

This article reviews the industry 4.0 (I4.0) and circular economy (CE) literature from a global value chain (GVC) perspective. More specifically, it (1) summarizes the empirical findings on the applications of I4.0 and CE practices; (2) explores the previous literature and identifies several future research directions to advance the existing literature. In this respect, the interface between I4.0 and CE research is a relatively young field of inquiry that has been little concerned with developments in GVCs. We systematically review 112 peer-reviewed papers in the field of I4.0 and CE to distill key future research opportunities and trends in the GVC field. We develop three specific conclusions from our literature review. First, GVCs can vary widely within the various forms of I4.0 technologies with the various CE practices. Second, GVC research is underdeveloped with regard to I4.0 and CE. Third, our findings are congruent with previously published studies, which recognize the importance of GVC research that has generated a rich body of knowledge, mainly from a governance perspective in operations management, supply chain management, and international business. Likewise, our study offers promising avenues for future research studies at the intersection of I4.0, CE, and GVCs. Our systematic literature review suggests that there are many opportunities to advance the I4.0 and CE debates in the burgeoning field of GVC.

Does China’s Aid Promote Recipient Countries to be Embedded in Global Value Chains

ABSTRACT Although aid is an important tool for facilitating the integration of developing countries into global value chains (GVCs), there is lack of empirical research to support this view. This study thus examines the impact of China’s aid on the development of GVCs in recipient countries. The conclusions of this study are as follows: (1) China’s aid can significantly promote recipient countries to transform into GVCs. (2) The improvement of infrastructure in recipient countries is the main channel through which China’s aid affects the degree of integration of recipient countries’ GVCs. (3) Aid type, technology distance, and trade complementarity have a certain heterogeneity in the current study’s research results. From the perspective of GVCs, this study proves the effectiveness of foreign aid in the economic development of recipient countries and helps expand the research boundary of foreign aid.

How does digital economy affect green total factor productivity at the industry level in China: from a perspective of global value chain.

The digital economy is an important way to relieve current pressure on resources and the environment. Based on ecological modernization theory and global value chain theory, this paper adopts panel data of 17 manufacturing industries from 2000 to 2014, uses the non-radial directional distance function and the meta-frontier method to measure China's green total factor productivity (GTFP) and its sub-indices, and takes the embedding degree and embedding position as moderating variables and threshold variables to construct an econometric model to explore the relationship among the digital economy, global value chain, and GTFP. The results show that (1) the digital economy has a positive effect on GTFP in both time and space. And in terms of time, the digital economy mainly enhances GTFP by improving technical efficiency and narrowing the technology gap. (2) Global value chain embedding position positively moderates the relationship between the digital economy and GTFP; In terms of sub-samples, labor-intensive and capital-intensive industries show the same impact characteristics as the total sample. (3) Further, it is found that the digital economy and GTFP have nonlinear characteristics. There is a single threshold effect on the embedding position. When the embedding position is low, the digital economy is positively correlated with GTFP but not significant; when the threshold value is crossed, the digital economy can significantly promote GTFP. The conclusions of this paper are helpful to realize the digital economy to promote the green development of the manufacturing industry, and provide an effective reference for the realization mechanism of China's green economy transformation and ecological civilization construction in the post-pandemic era.

Analysis and Investigation on the Core Competitiveness of Textile and Underwear Industry in the Mainland and Taiwan of China and Myanmar under the Global Value Chain

All the way in the “area”, “comprehensive economic partnership agreement” (RCEP), Association of Southeast Asian Nations (ASEAN) free trade area, the main economic corridor construction under the background of success, the mainland and Taiwan of China and southeast Asia has established the important relations of cooperation, industries are beginning to consider labor costs, raw materials, using the regional to invest policy and market comparative advantage. This paper starts from the investigation of Topline’s core competitiveness in China and Myanmar, and focuses on the analysis of lingerie industry in China and Myanmar, and the analysis of women’s underwear industry from the perspective of global value chain (GVC). Through the data analysis of the questionnaire survey, this paper summarizes the problems existing in the current situation of the industry, uses the intermediary analysis to analyze the correlation between the two variables, reveals the role of the core competitiveness of enterprises, and uses the GVC theory to analyze the problems existing in the industry of enterprises and their causes. According to relevant theories, the optimization path of enterprise value chain is put forward.

Analysis and investigation on the core competitiveness of textile and underwear industry in the mainland and Taiwan of China and Myanmar under the global value chain

All the way in the "area", "comprehensive economic partnership agreement" (RCEP), Association of Southeast Asian Nations (ASEAN) free trade area, the main economic corridor construction under the background of success, the mainland and Taiwan of China and southeast Asia has established the important relations of cooperation, industries are beginning to consider labor costs, raw materials, using the regional to invest policy and market comparative advantage. This paper starts from the investigation of Topline's core competitiveness in China and Myanmar, and focuses on the analysis of lingerie industry in China and Myanmar, and the analysis of women's underwear industry from the perspective of global value chain (GVC). Through the data analysis of the questionnaire survey, this paper summarizes the problems existing in the current situation of the industry, uses the intermediary analysis to analyze the correlation between the two variables, reveals the role of the core competitiveness of enterprises, and uses the GVC theory to analyze the problems existing in the industry of enterprises and their causes. According to relevant theories, the optimization path of enterprise value chain is put forward.

Performance feedback on sales growth goal and OFDI location choices for firms in emerging economies

This study explores the influence of performance feedback relative to sales growth on emerging economy firms’ (EEFs) outward foreign direct investment (OFDI) in developed and developing economies. It takes a global value chain perspective to examine whether performance feedback motivates EEFs’ location choice for OFDI. Using listed Chinese firms’ data, we find negative performance feedback relative to sales growth motivates EEFs to increase OFDI in developing economies but reduce it in developed economies. However, positive feedback relative to sales growth reduces it in both developed and developing economies. We contribute to OFDI location choice literature by including a behavioral perspective.