Abstract
Global value chain (GVC) governance is an established field within international business research, yet the relational aspects of GVCs have, to date, garnered less scholarly attention than have efficiency considerations. This conceptual study’s objective is to explore the relational dynamics of GVC governance using an internalization theory perspective, and by linking GVC research with insights from the business network literature. GVCs are argued to be a distinct form of asymmetrical networks, associated with economizing and capability creation features, as well as costs. The orchestrating firm can thus enhance efficiency outcomes of the GVC using social mechanisms similar to those adopted by core actors in a business network. In the study, six such mechanisms were identified: (1) selectivity, (2) inclusion of non-business intermediaries, (3) joint strategizing, (4) relational capital, (5) multilateral feedback, and (6) rules for equitable value distribution. While safeguarding the GVC’s efficiency, the above social mechanisms are associated with challenges and limitations, and therefore do not guarantee international competitive success. However, deployed in an integrative fashion, these social mechanisms facilitate coordination (thus economizing on bounded rationality), reduce the hazards of imperfect effort by partners (thus economizing on bounded reliability), and foster innovation and new capability development.
Résumé
La gouvernance de la chaîne de valeur globale (CVG) est un champ établi au sein de la recherche en international business, mais les aspects relationnels de la CVG ont, jusqu’à présent, retenu moins l’attention des spécialistes que les considérations sur l’efficacité. L’objectif de cette étude conceptuelle est d’explorer la dynamique relationnelle de la gouvernance de la CVG en utilisant la perspective de la théorie d’internalisation et en liant les recherches sur la CVG aux éclairages de la littérature sur les réseaux d’affaires. Les chaînes de valeur globales sont considérées comme une forme distincte de réseaux asymétriques, associées aux fonctionnalités d’économies et de capacité à créer, ainsi qu’à celles de coûts. La firme pivot peut ainsi améliorer les résultats d’efficacité de la CVG en utilisant des mécanismes sociaux semblables à ceux adoptés par les acteurs clés dans un réseau d’affaires. Dans cette étude, six de ces mécanismes ont été recensés : (1) la sélectivité, (2) l’intégration d’intermédiaires n’appartenant pas au monde des affaires, (3) l’élaboration de stratégies conjointes, (4) le capital relationnel, (5) les retours multilatéraux et (6) les règles de répartition équitable de la valeur. Tout en préservant l’efficacité de la CVG, les mécanismes sociaux vus ci-dessus sont associés à des défis et à des contraintes ; ils ne garantissent donc pas le succès concurrentiel à l’international. Cependant, déployés de manière intégrative, ces mécanismes sociaux facilitent la coordination (économisant ainsi sur la rationalité limitée), réduisent les risques d’efforts imparfaits de la part des partenaires (économisant ainsi sur la fiabilité limitée) et favorisent l’innovation et le développement de capacités nouvelles.
Resumen
La gobernanza de las cadenas de valor es un campo establecido dentro de la investigación en negocios internacionales, pero hasta la fecha los aspectos relacionales de las cadenas de valor han obtenido menor atención académica que las consideraciones sobre la eficiencia. El objetivo de este estudio conceptual es explorar las dinámicas relacionales de la gobernanza de las cadenas de valor usando una perspectiva de la teoría de internalización, y vinculando la investigación de cadenas de valor global con los aportes de la literatura sobre redes empresariales. Se ha discutido que una cadena de valor global es una forma diferente de las redes asimétricas, asociada con características de economizar y capacidad de creación, también de costos. La empresa orquestada puede entonces realzar los resultados de eficiencia de la cadena de valor usando mecanismos sociales similares a aquellos adoptados por los actores principales en una red empresarial. En este estudio, seis de estos mecanismos fueron identificados: (1) selectividad, (2) inclusión de intermediarios no empresariales, (3) elaborando estrategias en conjunto, (4) capacidad relacional, (5) retroalimentación multilateral, y (6) reglas para distribución equitativa. Al mismo tiempo que se protege la eficiencia de la cadena de valor global, los mecanismos anteriores se asociación con retos y limitaciones, y por ende no garantizan el éxito competitivo internacional. Sin embargo, estos mecanismos sociales empleados de una manera integrativa facilitan la coordinación (economizando así la racionalidad limitada), reducen los riesgos de un esfuerzo imperfecto por parte de los socios (economizando así la confiabilidad limitada), y fomentando la innovación y el desarrollo de nuevas capacidades.
Resumo
A governança da cadeia de valor global (GVC) é um campo estabelecido na pesquisa de negócios internacionais, mas os aspectos relacionais de GVCs têm, até hoje, atraído menos atenção acadêmica do que considerações sobre eficiência. O objetivo deste estudo teórico é explorar a dinâmica relacional da governança de GVC usando uma perspectiva da teoria da internalização e ligando a pesquisa de GVC com insights da literatura de redes de negócios. As GVCs são consideradas uma forma distinta de redes assimétricas, associadas à economia, criação de capacidades, bem como custos. A empresa orquestradora pode assim aumentar os resultados de eficiência da GVC usando mecanismos sociais semelhantes aos adotados por atores essenciais em uma rede de negócios. No estudo, seis desses mecanismos foram identificados: (1) seletividade, (2) inclusão de intermediários não comerciais, (3) estratégias conjuntas, (4) capital relacional, (5) feedback multilateral, e (6) regras para distribuição de valor equitativa. Embora salvaguardando a eficiência de GVC, os mecanismos sociais acima estão associados a desafios e limitações e, portanto, não garantem o sucesso competitivo internacional. No entanto, implementados de forma integrada, esses mecanismos sociais facilitam a coordenação (economizando assim a racionalidade limitada), reduzem os riscos do esforço imperfeito por parte dos parceiros (economizando assim confiabilidade limitada) e promovem a inovação e o desenvolvimento de novas capacidades.
概要
全球价值链(GVC)治理是国际商务研究已建立的领域,然而至今GVCs关系方面的学术关注不及效率考虑。本理论研究的目标是通过用内部化理论的视角,并通过将GVC研究与从商业网络文献获得的见解联系起来,以探讨GVC治理的关系动态性。GVCs被认为是不对称网络的一种独特形式,与节约和能力创造特征以及成本相关。该策划公司能通过使用类似于由商业网络核心参与者所采用的社会机制进而提升GVC的效率结果。在该研究中,六个这样的机制被识别:(1)选择性,(2)纳入非商业中介,(3)联合战略,(4)关系资本,(5)多边反馈,(6)公平值分布规则。上述社会机制在保障GVC效率的同时也有挑战和局限,因而不能保证国际竞争成功。然而,以一种整合的方式来部署,这些社会机制促进协调(从而节约有限理性),减少合作伙伴不完美努力的危害(从而节约有限可靠性),激发创新和新能力开发。
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Acknowledgements
I would like to express my deep gratitude to Professor Alain Verbeke, my colleague and mentor, whose work has greatly influenced my thinking and inspired this study. I also thank Sara Vanden Bussche for her input into ideas presented here, and Action Editor Professor Ram Mudambi and two anonymous reviewers for their valuable guidance and support.
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Accepted by Area Editor Ram Mudambi, 2 May 2017. This article has been with the author for three revisions.
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Kano, L. Global value chain governance: A relational perspective. J Int Bus Stud 49, 684–705 (2018). https://doi.org/10.1057/s41267-017-0086-8
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DOI: https://doi.org/10.1057/s41267-017-0086-8
Keywords
- global value chains
- asymmetrical network
- orchestrating firm
- internalization theory
- social mechanisms
- role of head office
- bounded rationality
- bounded reliability