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Regionalism, end markets and ownership matter: Shifting dynamics in the apparel export industry in Sub Saharan Africa

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  • Mike Morris
  • Leonhard Plank
  • Cornelia Staritz

Abstract

This paper shows the importance of ownership, end markets and regionalism within the global value chain and related conceptual frameworks. This is done through unpacking the development trajectories of the major Sub Saharan African apparel export industries against the backdrop of trade regime changes. Ownership characteristics of supplier firms shape the ability to shift between different end markets and respond to lead firm requirements; and the level of their local and regional embeddedness impacts on different forms of upgrading. The emergence of new regionalism centred around investment and end markets provides pathways for new trajectories of more sustainable value chains and local industrialization. More locally and regionally embedded firms have been able to shift with uneven success to new, and in particular regional, markets. In contrast, Asian-owned transnational producers remain focused on the US market with limited market opportunities and upgrading potential. Different types of ownership and embeddedness dynamics are therefore important to explain the co-evolution of highly differentiated value chain dynamics creating a variety of apparel industrialization trajectories in the apparel export industry in Sub Saharan African.

Suggested Citation

  • Mike Morris & Leonhard Plank & Cornelia Staritz, 2016. "Regionalism, end markets and ownership matter: Shifting dynamics in the apparel export industry in Sub Saharan Africa," Environment and Planning A, , vol. 48(7), pages 1244-1265, July.
  • Handle: RePEc:sae:envira:v:48:y:2016:i:7:p:1244-1265
    DOI: 10.1177/0308518X15614745
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    Cited by:

    1. Carlo Pietrobelli & Cornelia Staritz, 2018. "Upgrading, Interactive Learning, and Innovation Systems in Value Chain Interventions," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 30(3), pages 557-574, July.
    2. Giovanni Pasquali & Aarti Krishnan & Jakob Engel, 2021. "Pulling up or binding down: a review of upgrading trajectories in apparel and agro-processing global value chains for developing countries," WIDER Working Paper Series wp-2021-112, World Institute for Development Economic Research (UNU-WIDER).
    3. Staritz, Cornelia & Frederick, Stacey, 2016. "Harnessing foreign direct investment for local development? Spillovers in apparel global value chains in sub-Saharan Africa," Working Papers 59, Austrian Foundation for Development Research (ÖFSE).

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