IDEAS home Printed from https://ideas.repec.org/a/eee/ecanpo/v81y2024icp1074-1092.html
   My bibliography  Save this article

Can digital transformation of services promote participation in manufacturing global value chains?

Author

Listed:
  • Fan, Zhaobin
  • Bian, Ruimin
  • Anwar, Sajid

Abstract

Using data from 17 manufacturing industries in 65 countries (regions) spanning the period 2000–2018, this paper investigates the impact of digital transformation in services on the participation of manufacturing industries in global value chains (GVCs). Empirical analysis reveals that by reducing trade costs and improving production efficiency in manufacturing industries, digitalization of services can significantly promote manufacturing GVC participation. The magnitude of this effect is influenced by several factors, including the service input intensity of manufacturing industries, a country's position within GVCs, and the specific configuration of the manufacturing GVC pattern. Specifically, the impact of the digital transformation in services on manufacturing GVC participation is more pronounced in service-input-intensive manufacturing industries, countries positioned peripherally within GVCs, and those following the “snake-shaped” GVC pattern. A series of tests, including endogeneity analysis, confirm the robustness of our findings.

Suggested Citation

  • Fan, Zhaobin & Bian, Ruimin & Anwar, Sajid, 2024. "Can digital transformation of services promote participation in manufacturing global value chains?," Economic Analysis and Policy, Elsevier, vol. 81(C), pages 1074-1092.
    • Handle: RePEc:eee:ecanpo:v:81:y:2024:i:c:p:1074-1092
    DOI: 10.1016/j.eap.2024.02.002
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0313592624000183
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.eap.2024.02.002?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    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:eee:ecanpo:v:81:y:2024:i:c:p:1074-1092. 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: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/economic-analysis-and-policy .

    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.