IDEAS home Printed from https://ideas.repec.org/a/eee/tefoso/v213y2025ics0040162525000459.html
   My bibliography  Save this article

Africa's international trade paradox, technology transfer, and value chain upgrade

Author

Listed:
  • Ado, Abdoulkadre
  • Osabutey, Ellis L.C.
  • Sinha, Paresha
  • Adeola, Ogechi

Abstract

This study examines the paradoxes in trade and global value chain (GVC) in Africa.

Suggested Citation

  • Ado, Abdoulkadre & Osabutey, Ellis L.C. & Sinha, Paresha & Adeola, Ogechi, 2025. "Africa's international trade paradox, technology transfer, and value chain upgrade," Technological Forecasting and Social Change, Elsevier, vol. 213(C).
    • Handle: RePEc:eee:tefoso:v:213:y:2025:i:c:s0040162525000459
    DOI: 10.1016/j.techfore.2025.124014
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0040162525000459
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.techfore.2025.124014?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.

    References listed on IDEAS

    as
    1. Pasquali, Giovanni & Krishnan, Aarti & Alford, Matthew, 2021. "Multichain strategies and economic upgrading in global value chains: Evidence from Kenyan horticulture," World Development, Elsevier, vol. 146(C).
    2. Rory Horner & Matthew Alford, 2019. "The roles of the state in global value chains," Chapters, in: Stefano Ponte & Gary Gereffi & Gale Raj-Reichert (ed.), Handbook on Global Value Chains, chapter 34, pages 555-569, Edward Elgar Publishing.
    3. Amendolagine, Vito & Presbitero, Andrea F. & Rabellotti, Roberta & Sanfilippo, Marco, 2019. "Local sourcing in developing countries: The role of foreign direct investments and global value chains," World Development, Elsevier, vol. 113(C), pages 73-88.
    4. Rabah Arezki & Frederick van der Ploeg, 2007. "Can the Natural Resource Curse Be Turned into a Blessing? The Role of Trade Policies and Institutions," Economics Working Papers ECO2007/35, European University Institute.
    5. Stefano Ponte & Timothy J. Sturgeon & Mark P. Dallas, 2019. "Governance and power in global value chains," Chapters, in: Stefano Ponte & Gary Gereffi & Gale Raj-Reichert (ed.), Handbook on Global Value Chains, chapter 6, pages 120-137, Edward Elgar Publishing.
    6. Sophie van Huellen & Fuad Mohammed Abubakar, 2021. "Potential for Upgrading in Financialised Agri-food Chains: The Case of Ghanaian Cocoa," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 33(2), pages 227-252, April.
    7. Robert E. Hoskisson & Mike Wright & Igor Filatotchev & Mike W. Peng, 2013. "Emerging Multinationals from Mid-Range Economies: The Influence of Institutions and Factor Markets," Journal of Management Studies, Wiley Blackwell, vol. 50(7), pages 1295-1321, November.
    8. Jan Johanson & Jan-Erik Vahlne, 2009. "The Uppsala internationalization process model revisited: From liability of foreignness to liability of outsidership," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 40(9), pages 1411-1431, December.
    9. Leamer, Edward E, 1980. "The Leontief Paradox, Reconsidered," Journal of Political Economy, University of Chicago Press, vol. 88(3), pages 495-503, June.
    10. Johanna Gammelgaard & Stine Haakonsson & Sine Nørholm Just, 2021. "Linking Malawi’s agricultural sector to global value chains: The case for community governance," Journal of International Business Policy, Palgrave Macmillan, vol. 4(4), pages 523-540, December.
    11. Michael A. Hitt & Haiyang Li & William J. Worthington IV, 2005. "Emerging Markets as Learning Laboratories: Learning Behaviors of Local Firms and Foreign Entrants in Different Institutional Contexts," Management and Organization Review, International Association of Chinese Management Research, vol. 1(3), pages 353-380, November.
    12. Pietrobelli, Carlo & Rabellotti, Roberta, 2011. "Global Value Chains Meet Innovation Systems: Are There Learning Opportunities for Developing Countries?," World Development, Elsevier, vol. 39(7), pages 1261-1269, July.
    13. Simplice A. Asongu, 2017. "Knowledge Economy Gaps, Policy Syndromes, and Catch-Up Strategies: Fresh South Korean Lessons to Africa," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 8(1), pages 211-253, March.
    14. Gary Gereffi & Hyun-Chin Lim & Joonkoo Lee, 2021. "Trade policies, firm strategies, and adaptive reconfigurations of global value chains," Journal of International Business Policy, Palgrave Macmillan, vol. 4(4), pages 506-522, December.
    15. Sinha, Avik & Sengupta, Tuhin, 2019. "Impact of natural resource rents on human development: What is the role of globalization in Asia Pacific countries?," Resources Policy, Elsevier, vol. 63(C), pages 1-1.
    16. Das, Gouranga G. & Drine, Imed, 2020. "Distance from the technology frontier: How could Africa catch-up via socio-institutional factors and human capital?," Technological Forecasting and Social Change, Elsevier, vol. 150(C).
    17. Gary Gereffi, 2019. "Global value chains and international development policy: Bringing firms, networks and policy-engaged scholarship back in," Journal of International Business Policy, Palgrave Macmillan, vol. 2(3), pages 195-210, September.
    18. Giuliani, Elisa & Pietrobelli, Carlo & Rabellotti, Roberta, 2005. "Upgrading in Global Value Chains: Lessons from Latin American Clusters," World Development, Elsevier, vol. 33(4), pages 549-573, April.
    19. Alexandros Gkatsikos & Konstadinos Mattas, 2021. "The Paradox of the Virtual Water Trade Balance in the Mediterranean Region," Sustainability, MDPI, vol. 13(5), pages 1-14, March.
    20. Rui, Huaichuan & Zhang, Miao & Shipman, Alan, 2016. "Relevant knowledge and recipient ownership: Chinese MNCS’ knowledge transfer in Africa," Journal of World Business, Elsevier, vol. 51(5), pages 713-728.
    21. Osabutey, Ellis L.C. & Williams, Karen & Debrah, Yaw A., 2014. "The potential for technology and knowledge transfers between foreign and local firms: A study of the construction industry in Ghana," Journal of World Business, Elsevier, vol. 49(4), pages 560-571.
    22. Ge, Jiali & Fu, Yang & Xie, Rui & Liu, Yu & Mo, Wenyang, 2018. "The effect of GVC embeddedness on productivity improvement: From the perspective of R&D and government subsidy," Technological Forecasting and Social Change, Elsevier, vol. 135(C), pages 22-31.
    23. Hu, Mei-Chih & Mathews, John A., 2005. "National innovative capacity in East Asia," Research Policy, Elsevier, vol. 34(9), pages 1322-1349, November.
    24. Rory Horner & Matthew Alford, 2019. "The roles of the state in global value chains: an update and emerging agenda," Global Development Institute Working Paper Series 362019, GDI, The University of Manchester.
    25. Stiglitz, Joseph E, 1996. "Some Lessons from the East Asian Miracle," The World Bank Research Observer, World Bank, vol. 11(2), pages 151-177, August.
    26. Neilson, Jeffrey & Dwiartama, Angga & Fold, Niels & Permadi, Dikdik, 2020. "Resource-based industrial policy in an era of global production networks: Strategic coupling in the Indonesian cocoa sector," World Development, Elsevier, vol. 135(C).
    27. Hitt, Michael A. & Li, Haiyang & Worthington, William J., 2005. "Emerging Markets as Learning Laboratories: Learning Behaviors of Local Firms and Foreign Entrants in Different Institutional Contexts," Management and Organization Review, Cambridge University Press, vol. 1(3), pages 353-380, November.
    28. Hu, Mei-Chih & Kang, Jin-Su & Wu, Ching-Yan, 2017. "Determinants of profiting from innovation activities: Comparisons between technological leaders and latecomers," Technological Forecasting and Social Change, Elsevier, vol. 116(C), pages 223-236.
    29. Tiba, Sofien & Frikha, Mohamed, 2019. "The controversy of the resource curse and the environment in the SDGs background: The African context," Resources Policy, Elsevier, vol. 62(C), pages 437-452.
    30. Zallé, Oumarou, 2019. "Natural resources and economic growth in Africa: The role of institutional quality and human capital," Resources Policy, Elsevier, vol. 62(C), pages 616-624.
    31. Foster-McGregor, Neil & Kaulich, Florian & Stehrer, Robert, 2015. "Global Value Chains in Africa," MERIT Working Papers 2015-024, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    32. Yameogo,Nadege Desiree & Jammeh,Kebba, 2019. "Determinants of Participation in Manufacturing GVCs in Africa: The Role of Skills, Human Capital Endowment and Migration," Policy Research Working Paper Series 8938, The World Bank.
    33. Barnard, Helena & Cuervo-Cazurra, Alvaro & Manning, Stephan, 2017. "Africa Business Research as a Laboratory for Theory-Building: Extreme Conditions, New Phenomena, and Alternative Paradigms of Social Relationships," Management and Organization Review, Cambridge University Press, vol. 13(3), pages 467-495, September.
    34. Karina Fernandez-Stark & Gary Gereffi, 2019. "Global value chain analysis: a primer (second edition)," Chapters, in: Stefano Ponte & Gary Gereffi & Gale Raj-Reichert (ed.), Handbook on Global Value Chains, chapter 2, pages 54-76, Edward Elgar Publishing.
    35. Kozo Kiyota, 2021. "The Leontief Paradox Redux," Review of International Economics, Wiley Blackwell, vol. 29(2), pages 296-313, May.
    36. Frederick W. Mayer & Nicola Phillips, 2017. "Outsourcing governance: states and the politics of a ‘global value chain world’," New Political Economy, Taylor & Francis Journals, vol. 22(2), pages 134-152, March.
    37. Ponte, Stefano & Ewert, Joachim, 2009. "Which Way is "Up" in Upgrading? Trajectories of Change in the Value Chain for South African Wine," World Development, Elsevier, vol. 37(10), pages 1637-1650, October.
    38. Pasquali, Giovanni P., 2021. "When value chains go South: Upgrading in the Kenyan leather sector," Journal of World Business, Elsevier, vol. 56(2).
    39. Timothy J. Sturgeon, 2002. "Modular production networks: a new American model of industrial organization," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 11(3), pages 451-496, June.
    40. Osabutey, Ellis L.C. & Jin, Zhongqi, 2016. "Factors influencing technology and knowledge transfer: Configurational recipes for Sub-Saharan Africa," Journal of Business Research, Elsevier, vol. 69(11), pages 5390-5395.
    41. Matthew Alford & Nicola Phillips, 2018. "The political economy of state governance in global production networks: change, crisis and contestation in the South African fruit sector," Review of International Political Economy, Taylor & Francis Journals, vol. 25(1), pages 98-121, January.
    42. Fu, Xiaolan & Pietrobelli, Carlo & Soete, Luc, 2011. "The Role of Foreign Technology and Indigenous Innovation in the Emerging Economies: Technological Change and Catching-up," World Development, Elsevier, vol. 39(7), pages 1204-1212, July.
    43. Yadong Luo & Rosalie L Tung, 2007. "International expansion of emerging market enterprises: A springboard perspective," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 38(4), pages 481-498, July.
    44. Li, Shenxue & Clark, Timothy & Sillince, John, 2018. "Constructing a strategy on the creation of core competencies for African companies," Technological Forecasting and Social Change, Elsevier, vol. 131(C), pages 204-213.
    45. Mark P. Dallas & Stefano Ponte & Timothy J. Sturgeon, 2019. "Power in global value chains," Review of International Political Economy, Taylor & Francis Journals, vol. 26(4), pages 666-694, July.
    46. Osabutey, Ellis L.C. & Jackson, Terence, 2019. "The impact on development of technology and knowledge transfer in Chinese MNEs in sub-Saharan Africa: The Ghanaian case," Technological Forecasting and Social Change, Elsevier, vol. 148(C).
    47. John Humphrey & Hubert Schmitz, 2002. "How does insertion in global value chains affect upgrading in industrial clusters?," Regional Studies, Taylor & Francis Journals, vol. 36(9), pages 1017-1027.
    48. Lilac Nachum, 2021. "Value distribution and markets for social justice in global value chains: Interdependence relationships and government policy," Journal of International Business Policy, Palgrave Macmillan, vol. 4(4), pages 541-563, December.
    49. Frederick Mayer & Gary Gereffi, 2019. "International development organizations and global value chains," Chapters, in: Stefano Ponte & Gary Gereffi & Gale Raj-Reichert (ed.), Handbook on Global Value Chains, chapter 35, pages 570-584, Edward Elgar Publishing.
    50. Nicholas A. Phelps, 2007. "Gaining from Globalization? State Extraterritoriality and Domestic Economic Impacts—The Case of Singapore," Economic Geography, Taylor & Francis Journals, vol. 83(4), pages 371-393, October.
    51. Valentina De Marchi & Matthew Alford, 2022. "State policies and upgrading in global value chains: A systematic literature review," Journal of International Business Policy, Palgrave Macmillan, vol. 5(1), pages 88-111, March.
    52. Del Prete, Davide & Giovannetti, Giorgia & Marvasi, Enrico, 2018. "Global value chains: New evidence for North Africa," International Economics, Elsevier, vol. 153(C), pages 42-54.
    53. Ambos, Björn & Brandl, Kristin & Perri, Alessandra & Scalera, Vittoria G. & Van Assche, Ari, 2021. "The nature of innovation in global value chains," Journal of World Business, Elsevier, vol. 56(4).
    54. Carlo Pietrobelli & Roberta Rabellotti & Ari Van Assche, 2021. "Making sense of global value chain-oriented policies: The trifecta of tasks, linkages, and firms," Journal of International Business Policy, Palgrave Macmillan, vol. 4(3), pages 327-346, September.
    55. Rashmi Banga, 2014. "Linking into Global Value Chains Is Not Sufficient: Do You Export Domestic Value Added Contents?," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 29, pages 267-297.
    56. Klaus E Meyer, 2004. "Perspectives on multinational enterprises in emerging economies," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 35(4), pages 259-276, July.
    57. Mike Morris & Cornelia Staritz, 2019. "Industrialization paths and industrial policy for developing countries in global value chains," Chapters, in: Stefano Ponte & Gary Gereffi & Gale Raj-Reichert (ed.), Handbook on Global Value Chains, chapter 31, pages 506-520, Edward Elgar Publishing.
    58. Xiaogang Ma & Peter Fox & Curt Tilmes & Katharine Jacobs & Anne Waple, 2014. "Capturing provenance of global change information," Nature Climate Change, Nature, vol. 4(6), pages 409-413, June.
    59. Adams, Dawda & Ullah, Subhan & Akhtar, Pervaiz & Adams, Kweku & Saidi, Samir, 2019. "The role of country-level institutional factors in escaping the natural resource curse: Insights from Ghana," Resources Policy, Elsevier, vol. 61(C), pages 433-440.
    60. Wouter G. Bam & Karolien Bruyne & Mare Laing, 2021. "The IO–PS in the context of GVC-related policymaking: The case of the South African automotive industry," Journal of International Business Policy, Palgrave Macmillan, vol. 4(3), pages 410-432, September.
    61. Amankwah-Amoah, Joseph & Debrah, Yaw & Nuertey, Dorcas, 2018. "Institutional Legitimacy, Cross-Border Trade and Institutional Voids: Insights from the Cocoa Industry in Ghana," MPRA Paper 84393, University Library of Munich, Germany.
    62. Osabutey, Ellis L.C. & Croucher, Richard, 2018. "Intermediate institutions and technology transfer in developing countries: The case of the construction industry in Ghana," Technological Forecasting and Social Change, Elsevier, vol. 128(C), pages 154-163.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Carlo Pietrobelli & Roberta Rabellotti & Ari Van Assche, 2021. "Making sense of global value chain-oriented policies: The trifecta of tasks, linkages, and firms," Journal of International Business Policy, Palgrave Macmillan, vol. 4(3), pages 327-346, September.
    2. Valentina De Marchi & Matthew Alford, 2022. "State policies and upgrading in global value chains: A systematic literature review," Journal of International Business Policy, Palgrave Macmillan, vol. 5(1), pages 88-111, March.
    3. Pasquali, Giovanni & Krishnan, Aarti & Alford, Matthew, 2021. "Multichain strategies and economic upgrading in global value chains: Evidence from Kenyan horticulture," World Development, Elsevier, vol. 146(C).
    4. Jan Fagerberg & Bengt-Åke Lundvall & Martin Srholec, 2018. "Global Value Chains, National Innovation Systems and Economic Development," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 30(3), pages 533-556, July.
    5. Dallas, Mark P. & Horner, Rory & Li, Lantian, 2021. "The mutual constraints of states and global value chains during COVID-19: The case of personal protective equipment," World Development, Elsevier, vol. 139(C).
    6. Liena Kano & Eric W. K. Tsang & Henry Wai-chung Yeung, 2020. "Global value chains: A review of the multi-disciplinary literature," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(4), pages 577-622, June.
    7. Emanuele Brancati & Carlo Pietrobelli & Caio Torres Mazzi, 2024. "The Influence of value chain governance on innovation performance: A study of Italian suppliers," Eurasian Business Review, Springer;Eurasia Business and Economics Society, vol. 14(2), pages 319-344, June.
    8. Cuervo-Cazurra, Alvaro & Pananond, Pavida, 2023. "The rise of emerging market lead firms in global value chains," Journal of Business Research, Elsevier, vol. 154(C).
    9. Stephan Manning & Cristiano Richter, 2023. "Upgrading against the odds: How peripheral regions can attract global lead firms," Journal of International Business Policy, Palgrave Macmillan, vol. 6(1), pages 1-23, March.
    10. Manning, Stephan, 2022. "From mainstream to niche: How value regimes shift in emerging economy upgrading," Research Policy, Elsevier, vol. 51(6).
    11. Nadia Zahoor & Jie Wu & Huda Khan & Zaheer Khan, 2023. "De-globalization, International Trade Protectionism, and the Reconfigurations of Global Value Chains," Management International Review, Springer, vol. 63(5), pages 823-859, October.
    12. Heechun Kim & Jie Wu & Douglas A. Schuler & Robert E. Hoskisson, 2020. "Chinese multinationals’ fast internationalization: Financial performance advantage in one region, disadvantage in another," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 51(7), pages 1076-1106, September.
    13. Delera, Michele & Pietrobelli, Carlo & Calza, Elisa & Lavopa, Alejandro, 2022. "Does value chain participation facilitate the adoption of Industry 4.0 technologies in developing countries?," World Development, Elsevier, vol. 152(C).
    14. Bilgili, Tsvetomira V. & Kedia, Ben L. & Bilgili, Hansin, 2016. "Exploring the influence of resource environments on absorptive capacity development: The case of emerging market firms," Journal of World Business, Elsevier, vol. 51(5), pages 700-712.
    15. Sinkovics, Noemi & Hoque, Samia Ferdous & Sinkovics, Rudolf R., 2018. "Supplier Strategies and Routines for Capability Development: Implications for Upgrading," Journal of International Management, Elsevier, vol. 24(4), pages 348-368.
    16. Thun,Eric & Daria Taglioni & Sturgeon,Timothy J. & Dallas,Mark P., 2025. "Massive Modular Ecosystems : A Framework for Understanding Complex Industries in the Digital Age," Policy Research Working Paper Series 11106, The World Bank.
    17. Xinyu Yang & Weidong Liu, 2022. "Agricultural Production Networks and Upgrading from a Global–Local Perspective: A Review," Land, MDPI, vol. 11(10), pages 1-14, October.
    18. Osabutey, Ellis L.C. & Jackson, Terence, 2019. "The impact on development of technology and knowledge transfer in Chinese MNEs in sub-Saharan Africa: The Ghanaian case," Technological Forecasting and Social Change, Elsevier, vol. 148(C).
    19. Jensen, Federico & Whitfield, Lindsay, 2022. "Leveraging participation in apparel global supply chains through green industrialization strategies: Implications for low-income countries," Ecological Economics, Elsevier, vol. 194(C).
    20. Coral, Claudia & Mithöfer, Dagmar, 2023. "The backbone of agrifood value chain resilience: Innovation in the Ecuadorian banana value chain from a historical perspective," World Development Perspectives, Elsevier, vol. 29(C).

    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:tefoso:v:213:y:2025:i:c:s0040162525000459. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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.sciencedirect.com/science/journal/00401625 .

    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.