GLOBAL KNOWLEDGE FOR GLOBAL CHANGE

Innovation and value chains

IDS' work on innovation and value chains explores opportunities for poor people to enhance their income when businesses in developing countries participate in global value chains.

Workers on a kettle production line in a household electronics factory, producing goods for both the Chinese and export market. Guangdong Province. Credit: Mark Henley / Panos

IDS work on global value chains has explored how businesses in developing 
countries are increasingly tied into trans-national networks of firms that coordinate the design, production and sale of products around the world. In the past four decades there has been a significant transfer of manufacturing activities to developing countries, which has created jobs. However, to increase the benefits of participation in global value chains, firms in developing countries have to acquire the capabilities to produce more sophisticated products and take on additional functions along the value chain.

The same value chain diagnostic tools and perspectives on how firms link together to produce goods can be applied in national settings to explore how to promote business linkages and expand market opportunities for poor people.

IDS work on innovation and value chains is exploring:

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Changing Knowledge Divide in the Global Economy

The question driving this project was how was the 'organisational decomposition of the innovation process' (ODIP) changing the global distribution of innovation activities. More details

Clusters and Industrial Development

Research at IDS on industrial clusters made a major contribution to this shift in the debate. There already was agreement that clustering helped small enterprises to overcome growth constraints and compete in distant markets but there was also recognition that this was not an automatic outcome. More details

Clusters in the Global Economy

While the debate on industrial clusters and local innovation systems was mainly concerned with local linkages, this work examined global linkages and how they affected local relationships. More details

Comparison of Upgrading in Global and National Value Chains

An analysis of whether firms in the Southern Brazilian clusters of the Sinos Valley (footwear) and the Serra Gaucha (furniture) show different patterns of industrial upgrading according to the global and national value chains they feed into. More details

Global Brands from China?

A comparative study of the acquisition of branding capabilities in domestic and global value chains. More details

Global Power Shift and Low Carbon Transformation

Two transformations are likely to dominate the first half of the twenty-first century. One is the shift in economic power from the West (North America and Western Europe) to the East (China and the East Asian production system). The second is the transition from a high to low carbon economy. The first shift is at an advanced stage; the second at an early stage. In this line of work we discuss how the first shift affects the second. Does the global power shift make the low carbon transformation faster and cheaper? More details

Global Value Chains and Standards in Horticulture and Aquaculture

An examination of the policy responses to new challenges for producers of food products in East Africa and South-East Asia. More details

Inter-Firm Linkages and Financing: The Role of Large Firms, Value Chains and Enterprise Clusters

This project explores the phenomenon of increased availability of private finance for SMEs with linkages to larger firms in both international and domestic value chains. More details

Low Carbon Innovation Paths in China, India and Europe

Mitigating climate change requires technological innovation. This project analyses the innovation paths pursued in Europe and Asia. More details

Outsourcing and Innovation in the Indian Software Industry

This research investigated whether the capabilities associated with the basic 'production' of software had led to increasing 'innovation' capabilities after the turn of the millennium. More details

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How Does the Power Shift from West to East Affect the Transition from High to Low Carbon Economy?

Paper for Symposium ' Challenges for Europe in a New Age' (2013)
Schmitz, H.

China's Impact on the Global Wind Power Industry

Journal of Current Chinese Affairs 1/2013 (2013)
Lema, R., Berger, A. and Schmitz, H.

PEACH - Methodology

(2012)
Schmitz, H.

Inter-Firm Linkages and Finance in Value Chains

IDB Working Paper 349 (2012)
Navas-Alemán, L., Pietrobelli, C., and Kamiya, M.

Codex Alimentarius and Private Standards

In 'Private Food Law: Governing Food Chains Through Contract Law, Self-regulation, Private Standards, Audits and Certification Schemes' (2011)
van der Meulen, B.M.J.

Unpacking the Discourse of Social Inclusion in Value Chains

In 'Value Chains, Inclusion and Endogenous Development: Contrasting Theories and Realities' (2011)
Helmsing, A.H.J. and Vellema, S.

Making the Global Supply Base

In 'The Market Makers: How Retailers are Reshaping the Global Economy' (2011)
Hamilton, G.G., Petrovic, M. and Senauer, B.

Value Chains, Donor Interventions and Poverty Reduction: A Review of Donor Practice

IDS Research Report 63 (2010)
Humphrey, J. and Navas-Alemán, L.

Adoption of Open Business Models in the West and Innovation in India’s Software Industry

In 'Adoption of Open Business Models in the West and Innovation in India's Software Industry' (2010)
Lema, R.

Adoption of Open Business Models in the West and Innovation in India's Software Industry

In 'Adoption of Open Business Models in the West and Innovation in India’s Software Industry' (2010)
Lema, R.
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