IDEAS home Printed from https://ideas.repec.org/a/cup/wotrrv/v16y2017i01p59-83_00.html

Servicification of Firms and Trade Policy Implications

Author

Listed:
  • LODEFALK, MAGNUS

Abstract

In the OECD countries, the decline of manufacturing and the employment implications have long been matters of concern. Recently, policymakers in several countries have set out to try and achieve reindustrialization. The servicification of firms is related to these concerns and aspirations. However, servicification, and particularly its role in trade policy, has received limited attention. I review micro-level evidence and discuss its implications. I find that imported, domestic and exported services are all important to contemporary firm competitiveness and participation in international value chains. Therefore, historic policymaking divisions between trade in manufactures and trade in services services, between export and import interests, and among modes of supply are becoming less relevant. I conclude by suggesting potential steps forward.

Suggested Citation

  • Lodefalk, Magnus, 2017. "Servicification of Firms and Trade Policy Implications," World Trade Review, Cambridge University Press, vol. 16(1), pages 59-83, January.
    • Handle: RePEc:cup:wotrrv:v:16:y:2017:i:01:p:59-83_00
    as

    Download full text from publisher

    File URL: https://www.cambridge.org/core/product/identifier/S147474561600029X/type/journal_article
    File Function: link to article abstract page
    Download Restriction: no
    ---><---

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lütkenhorst, Wilfried, 2018. "Creating wealth without labour? Emerging contours of a new techno-economic landscape," IDOS Discussion Papers 11/2018, German Institute of Development and Sustainability (IDOS).
    2. Grace Gu & Samreen Malik & Dario Pozzoli & Vera Rocha, 2022. "Chinese import competition, offshoring and servitization," Economic Inquiry, Western Economic Association International, vol. 60(2), pages 901-928, April.
    3. Ewa Cieślik, 2022. "A New Era Is Beginning in Central and Eastern Europe: Information and Communication Technology Services Exceed Manufacturing in the Global Production Chain," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 13(4), pages 2607-2639, December.
    4. Delgado, Mercedes & Mills, Karen G., 2020. "The supply chain economy: A new industry categorization for understanding innovation in services," Research Policy, Elsevier, vol. 49(8).
    5. Christopher Cramer & Jonathan Di John & John Sender, 2022. "Classification and Roundabout Production in High‐value Agriculture: A Fresh Approach to Industrialization," Development and Change, International Institute of Social Studies, vol. 53(3), pages 495-524, May.
    6. Hatzigeorgiou, Andreas & Lodefalk, Magnus, 2016. "The Brexit Trade Disruption Revisited," Estey Centre Journal of International Law and Trade Policy, Estey Centre for Law and Economics in International Trade, vol. 17(01), pages 1-18.
    7. Matteo Fiorini & Bernard Hoekman, 2022. "Correction to: EU services trade liberalization and economic regulation: Complements or substitutes?," The Review of International Organizations, Springer, vol. 17(1), pages 231-231, January.
    8. Ketan Reddy & Subash Sasidharan, 2022. "Servicification and global value chain survival: Firm‐level evidence from India," Australian Economic Papers, Wiley Blackwell, vol. 61(3), pages 455-473, September.
    9. Pattnayak, Sanja Samirana & Chadha, Alka, 2022. "Servicification and manufacturing exports: Evidence from India," Economic Modelling, Elsevier, vol. 108(C).
    10. Mercedes Delgado & J. Daniel Kim & Karen G. Mills, 2021. "The Servicification of the US Economy: The Role of Startups versus Incumbent Firms," NBER Chapters, in: The Role of Innovation and Entrepreneurship in Economic Growth, pages 371-390, National Bureau of Economic Research, Inc.
    11. Matthieu Crozet & Emmanuel Milet, 2017. "Should everybody be in services? The effect of servitization on manufacturing firm performance," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 26(4), pages 820-841, December.
    12. Saiful Islam & Laura Márquez-Ramos, 2023. "Services and the internationalization of manufacturing firms in Indonesia," SN Business & Economics, Springer, vol. 3(2), pages 1-18, February.
    13. Ketan Reddy & Subash Sasidharan & Shandre Thangavelu, 2023. "Does servicification of manufacturing increase the GVC activities of firms? Case of India," The World Economy, Wiley Blackwell, vol. 46(1), pages 153-181, January.
    14. Vutha HING & Shandre Mugan THANGAVELU, 2024. "Servicification and Productivity of Manufacturing Enterprises in Cambodia," Working Papers DP-2024-07, Economic Research Institute for ASEAN and East Asia (ERIA).
    15. Anirudh Shingal, 2023. "Sanctions and services trade: the neglected dimension," RSCAS Working Papers 2023/39, European University Institute.
    16. Dweck, Esther & Marcato, Marilia Bassetti & Torracca, Julia & Miguez, Thiago, 2022. "COVID-19 and the Brazilian manufacturing sector: Roads to reindustrialization within societal purposes," Structural Change and Economic Dynamics, Elsevier, vol. 61(C), pages 278-293.
    17. Altenburg, Tilman & Chen, Xiao & Lütkenhorst, Wilfried & Staritz, Cornelia & Whitfield, Lindsay, 2020. "Exporting out of China or out of Africa? Automation versus relocation in the global clothing industry," IDOS Discussion Papers 1/2020, German Institute of Development and Sustainability (IDOS).
    18. Iván Kataryniuk & Javier Pérez & Francesca Viani, 2021. "(De-)Globalisation of trade and regionalisation: a survey of the facts and arguments," Occasional Papers 2124, Banco de España.

    More about this item

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F15 - International Economics - - Trade - - - Economic Integration
    • L16 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Industrial Organization and Macroeconomics; Macroeconomic Industrial Structure
    • L24 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Contracting Out; Joint Ventures
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cup:wotrrv:v:16:y:2017:i:01:p:59-83_00. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Kirk Stebbing (email available below). General contact details of provider: https://www.cambridge.org/wtr .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.