International Production Networks And Changing Trade Patterns in East Asia: The Case of the Electronics Industry

21 Pages Posted: 16 Mar 2016

See all articles by Dieter Ernst

Dieter Ernst

East-West Center; Centre for International Governance Innovation (CIGI)

Paolo Guerrieri

University of Rome "La Sapienza" - Department of Economics

Date Written: March 15, 1998

Abstract

The concept of an "international production network" captures the spread of broader systems of international production which cut across different stages of the value chain but which may, or may not, involve ownership of equity stakes. The concept allows us to analyze the globalization strategies of any particular firm with regard to the following four questions: Where does the firm locate the various stages of the value chain? To what degree does a firm rely on "outsourcing", and hence what is the relationship between that and the firm's internal production activities? To what degree is control over transactions exercised in a centralized or in a decentralized manner? How do the different elements of these networks hng together? These ideas are applied to the trade links in electronics between firms located in the USA or Japan and countries in east Asia.

Keywords: international trade; international investment; economic development; business strategies; networks; Japan; USA; Asia; electronics industry

JEL Classification: F14, F23, F40, L63

Suggested Citation

Ernst, Dieter and Guerrieri Paleotti, Paolo, International Production Networks And Changing Trade Patterns in East Asia: The Case of the Electronics Industry (March 15, 1998). Oxford Development Studies, Vol.26, No.2, 1998. Available at SSRN: https://ssrn.com/abstract=2748369

Dieter Ernst (Contact Author)

East-West Center ( email )

1601 East-West Road
Honolulu, HI 96848-1601
United States

Centre for International Governance Innovation (CIGI) ( email )

57 Erb Street West
Waterloo, Ontario N2L 6C2
Canada

Paolo Guerrieri Paleotti

University of Rome "La Sapienza" - Department of Economics ( email )

Via del Castro Laurenziano 9
Rome, 00161
Italy

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
18
Abstract Views
277
PlumX Metrics