What makes export manufacturers pursue functional upgrading in an emerging market? A study of Chinese technology new ventures
Journal
International Business Review
Journal Volume
23
Journal Issue
4
Pages
741-749
Date Issued
2014
Author(s)
Abstract
This study examines unique factors causing emerging market firms to pursue functional upgrading. Our analysis draws on the resource-based view and learning theory, and our study sample consisted of Chinese new technology ventures. We test the effect of governance mechanisms and internal resources on the functional upgrading of firms. The results indicate that trade shows and quality advantage facilitated the functional upgrading of firms. However, contrary to our expectations, electronic markets and technological advancement do not emerge as significant variables. The implications of the results are discussed in consideration of the existing literature, and future research opportunities are described. ? 2014 Elsevier Ltd.
Subjects
China; Functional upgrading; Global value chain (GVC); Original equipment manufacturing (OEM)
Publisher
Elsevier Ltd
Type
journal article