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China’s increasing participation in ICT’s global value chain: A firm level analysis

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  • Sun, Yutao
  • Grimes, Seamus

Abstract

This paper synthesises evidence from international trade data of China-based ICT companies in order to map their involvement in the ICT global value chain (GVC). The ICT GVC is divided into three types of companies: Own Brand Manufacturers (OBMs), component companies and Electronic Manufacturers (EMS)/Original Design Manufacturers (ODMs). The firm-level trade data provide us with a clear overall picture of the structure and relationships of the three types of companies, while identifying the key players. The evidence shows that China’s increasing participation in the ICT GVC is related to modularisation of product architecture, globalisation of production, and outsourcing and offshoring of manufacturing, and while several Chinese companies are rising rapidly, China continues to linger in the low value-added segments of the ICT GVC because of its ongoing dependence on foreign technology and its associated intellectual property (IP).

Suggested Citation

  • Sun, Yutao & Grimes, Seamus, 2016. "China’s increasing participation in ICT’s global value chain: A firm level analysis," Telecommunications Policy, Elsevier, vol. 40(2), pages 210-224.
  • Handle: RePEc:eee:telpol:v:40:y:2016:i:2:p:210-224
    DOI: 10.1016/j.telpol.2015.06.003
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    References listed on IDEAS

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    Cited by:

    1. Xia, Jun, 2017. "China’s telecommunications evolution, institutions, and policy issues on the eve of 5G: A two-decade retrospect and prospect," Telecommunications Policy, Elsevier, vol. 41(10), pages 931-947.
    2. Zhou, Qingna & Gao, Ping & Chimhowu, Admos, 2019. "ICTs in the transformation of rural enterprises in China: A multi-layer perspective," Technological Forecasting and Social Change, Elsevier, vol. 145(C), pages 12-23.
    3. Haining Jiang & Wei Xu & Wenzhong Zhang, 2018. "Transportation Accessibility and Location Choice of Japanese-Funded Electronic Information Manufacturing Firms in Shanghai," Sustainability, MDPI, Open Access Journal, vol. 10(2), pages 1-21, February.
    4. Yuqing Xing & Yuzhen He, 2018. "Domestic Value Added of Chinese Brand Mobile Phones," GRIPS Discussion Papers 18-09, National Graduate Institute for Policy Studies.
    5. Ma Degong & Farid Ullah & Muhammad Sualeh Khattak & Muhammad Anwar, 2018. "Do International Capabilities and Resources Configure Firm’s Sustainable Competitive Performance? Research within Pakistani SMEs," Sustainability, MDPI, Open Access Journal, vol. 10(11), pages 1-16, November.

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