This article assesses how the reshoring of manufacturing activities by micro and small enterprises (MSEs) affects the performances of co-located subcontracting networks and the reconfiguration of global value chains (GVCs). We utilize quantitative microdata of Italian MSEs operating in the clothing and footwear industries during the 2008-2015 period. Empirically MSE reshoring does not have a significant impact on domestic subcontractors' birth rates and survival chances, whereas it is positively associated with their productivity growth. Most MSEs in our sample adopt a dual sourcing strategy, expanding their global production networks while preserving their local supply base. Local and global production networks are not two alternative paradigms of industrial organization; they can be complementary and mutually reinforce each other.
Reshoring by small firms: dual sourcing strategies and local subcontracting in value chains / Canello, J; Buciuni, G; Gereffi, G. - In: CAMBRIDGE JOURNAL OF REGIONS, ECONOMY AND SOCIETY. - ISSN 1752-1378. - 15:2(2022), pp. 237-259. [10.1093/cjres/rsac015]
Reshoring by small firms: dual sourcing strategies and local subcontracting in value chains
Canello, J
;
2022-01-01
Abstract
This article assesses how the reshoring of manufacturing activities by micro and small enterprises (MSEs) affects the performances of co-located subcontracting networks and the reconfiguration of global value chains (GVCs). We utilize quantitative microdata of Italian MSEs operating in the clothing and footwear industries during the 2008-2015 period. Empirically MSE reshoring does not have a significant impact on domestic subcontractors' birth rates and survival chances, whereas it is positively associated with their productivity growth. Most MSEs in our sample adopt a dual sourcing strategy, expanding their global production networks while preserving their local supply base. Local and global production networks are not two alternative paradigms of industrial organization; they can be complementary and mutually reinforce each other.File | Dimensione | Formato | |
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