Product Modularity and the Rise of Global Value Chains: Insights from the Electronics Industry

26 Pages Posted: 25 Oct 2011

See all articles by Byron Gangnes

Byron Gangnes

University of Hawaii - Department of Economics

Ari Van Assche

HEC Montreal; Center for Interuniversity Research and Analysis on Organization (CIRANO)

Date Written: October 24, 2011

Abstract

In the field of economics, a vast literature has attributed the rise of global value chains to globalization-related forces such as declining costs of transportation, improvements in communications technology, and institutional and policy reforms in developing countries. Through an in-depth review of the industry transformation in the electronics industry, however, we find that an additional relatively unexplored factor is the modularization of electronics products. We analyze the mechanisms through which product modularization may lead to the rise of global value chains and discuss the implications for future research.

Keywords: modularity, global value chains, electronics, upgrading

Suggested Citation

Gangnes, Byron and Van Assche, Ari, Product Modularity and the Rise of Global Value Chains: Insights from the Electronics Industry (October 24, 2011). CIRANO - Scientific Publication No. 2011s-64, Available at SSRN: https://ssrn.com/abstract=1948681 or http://dx.doi.org/10.2139/ssrn.1948681

Byron Gangnes

University of Hawaii - Department of Economics ( email )

Honolulu, HI 96822
United States

Ari Van Assche (Contact Author)

HEC Montreal ( email )

3000, Chemin de la Côte-Sainte-Catherine
Montreal, Quebec H2X 2L3
Canada

Center for Interuniversity Research and Analysis on Organization (CIRANO) ( email )

2020 rue University, 25th floor
Montreal H3C 3J7, Quebec
Canada

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