IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v16y2023i1p357-d1310796.html
   My bibliography  Save this article

Spatiotemporal Dynamics in Economic, Social, and Environmental Upgrading in China: Coupling Coordination and Influencing Factors

Author

Listed:
  • Bowei Cai

    (School of Geography and Planning, Sun Yat-sen University, Guangzhou 510275, China)

  • Jiangmin Yang

    (School of Geography and Planning, Sun Yat-sen University, Guangzhou 510275, China)

  • Gengzhi Huang

    (School of Geography and Planning, Sun Yat-sen University, Guangzhou 510275, China)

Abstract

The focus on the concept of upgrading in the study of global production networks has expanded from economic upgrading to encompass social and environmental upgrading. However, rare research pays attention to the complex interplay among these three aspects. This paper tries to integrate the economic, social, and environmental upgrading into an analytical framework through the lens of coupling coordination. Using the Granger causality test and panel regression model, it provides empirical evidence and an explanation of the triad’s interaction based on the Chinese case study. It is found that, over the past twenty-five years from 1996 to 2020, China has seen a significant improvement in the coupling coordination of economic, social, and environmental upgrading with the coordination degree rising from 0.35 to 0.51, though it remains at a low level of coordination. Regional disparities in economic upgrading are more pronounced than those in social and environmental upgrading, and the inter-group disparities between economic and environmental upgrading have widened following the economic crisis. Panel regression analysis shows that economic globalization, public governance, legal environment, and environmental regulation positively influence the coupling coordination of the three types of upgrading, while economic privatization and corporate violations of law tend to have a negative impact.

Suggested Citation

  • Bowei Cai & Jiangmin Yang & Gengzhi Huang, 2023. "Spatiotemporal Dynamics in Economic, Social, and Environmental Upgrading in China: Coupling Coordination and Influencing Factors," Sustainability, MDPI, vol. 16(1), pages 1-23, December.
  • Handle: RePEc:gam:jsusta:v:16:y:2023:i:1:p:357-:d:1310796
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/16/1/357/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/16/1/357/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Telaye Fikadu MULUBIRAN & Asbjørn KARLSEN, 2023. "The role of local stakeholders in transforming economic upgrading into social upgrading in Ethiopian textile and garment firms," International Labour Review, International Labour Organization, vol. 162(1), pages 45-67, March.
    2. Dumitrescu, Elena-Ivona & Hurlin, Christophe, 2012. "Testing for Granger non-causality in heterogeneous panels," Economic Modelling, Elsevier, vol. 29(4), pages 1450-1460.
    3. Liang Chen & Wanli Li & Kaibin Yuan & Xiaoqian Zhang, 2022. "Can informal environmental regulation promote industrial structure upgrading? Evidence from China," Applied Economics, Taylor & Francis Journals, vol. 54(19), pages 2161-2180, April.
    4. Gary Gereffi & Joonkoo Lee, 2016. "Economic and Social Upgrading in Global Value Chains and Industrial Clusters: Why Governance Matters," Journal of Business Ethics, Springer, vol. 133(1), pages 25-38, January.
    5. Kanchana N. Ruwanpura, 2016. "Garments without guilt? Uneven labour geographies and ethical trading—Sri Lankan labour perspectives," Journal of Economic Geography, Oxford University Press, vol. 16(2), pages 423-446.
    6. Alfonso Gambardella & Claudio Panico & Giovanni Valentini, 2015. "Strategic incentives to human capital," Strategic Management Journal, Wiley Blackwell, vol. 36(1), pages 37-52, January.
    7. Dannenberg Peter & Revilla Diez Javier & Schiller Daniel, 2018. "Spaces for integration or a divide? New-generation growth corridors and their integration in global value chains in the Global South," ZFW – Advances in Economic Geography, De Gruyter, vol. 62(2), pages 135-151, May.
    8. Cheong, Tsun Se & Wu, Yanrui, 2014. "The impacts of structural transformation and industrial upgrading on regional inequality in China," China Economic Review, Elsevier, vol. 31(C), pages 339-350.
    9. Muhammad Rashid Ansari & Chiara Mussida & Francesco Pastore, 2014. "Note on Lilien and modified Lilien index," Stata Journal, StataCorp LP, vol. 14(2), pages 398-406, June.
    10. Samma Faiz Rasool & Mansi Wang & Minze Tang & Amir Saeed & Javed Iqbal, 2021. "How Toxic Workplace Environment Effects the Employee Engagement: The Mediating Role of Organizational Support and Employee Wellbeing," IJERPH, MDPI, vol. 18(5), pages 1-17, February.
    11. Mahwish J Khan & Stefano Ponte & Peter Lund-Thomsen, 2020. "The ‘factory manager dilemma’: Purchasing practices and environmental upgrading in apparel global value chains," Environment and Planning A, , vol. 52(4), pages 766-789, June.
    12. Mihaela-Roberta Stanef-Puică & Liana Badea & George-Laurențiu Șerban-Oprescu & Anca-Teodora Șerban-Oprescu & Laurențiu-Gabriel Frâncu & Alina Crețu, 2022. "Green Jobs—A Literature Review," IJERPH, MDPI, vol. 19(13), pages 1-15, June.
    13. Golini, Ruggero & De Marchi, Valentina & Boffelli, Albachiara & Kalchschmidt, Matteo, 2018. "Which governance structures drive economic, environmental, and social upgrading? A quantitative analysis in the assembly industries," International Journal of Production Economics, Elsevier, vol. 203(C), pages 13-23.
    14. 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.
    15. Gerhard REINECKE & Anne POSTHUMA, 2019. "The link between economic and social upgrading in global supply chains: Experiences from the Southern Cone," International Labour Review, International Labour Organization, vol. 158(4), pages 677-703, December.
    16. Demirguc-Kunt, Asli & Love, Inessa & Maksimovic, Vojislav, 2006. "Business environment and the incorporation decision," Journal of Banking & Finance, Elsevier, vol. 30(11), pages 2967-2993, November.
    17. Stephanie BARRIENTOS & Gary GEREFFI & Arianna ROSSI, 2011. "Economic and social upgrading in global production networks: A new paradigm for a changing world," International Labour Review, International Labour Organization, vol. 150(3-4), pages 319-340, December.
    18. Aarti Krishnan & Valentina De Marchi & Stefano Ponte, 2023. "Environmental Upgrading and Downgrading in Global Value Chains: A Framework for Analysis," Economic Geography, Taylor & Francis Journals, vol. 99(1), pages 25-50, January.
    19. Gereffi, Gary, 1999. "International trade and industrial upgrading in the apparel commodity chain," Journal of International Economics, Elsevier, vol. 48(1), pages 37-70, June.
    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. 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.
    2. Choksy, Umair Shafi & Ayaz, Muhammad & Al-Tabbaa, Omar & Parast, Mahour, 2022. "Supplier resilience under the COVID-19 crisis in apparel global value chain (GVC): The role of GVC governance and supplier’s upgrading," Journal of Business Research, Elsevier, vol. 150(C), pages 249-267.
    3. Maria Sylvia Macchione Saes & Beatriz Macchione Saes & Elis Regina Monte Feitosa & Peter Poschen & Adalberto Luis Val & Jacques Marcovitch, 2023. "When Do Supply Chains Strengthen Biological and Cultural Diversity? Methods and Indicators for the Socio-Biodiversity Bioeconomy," Sustainability, MDPI, vol. 15(10), pages 1-18, May.
    4. Islam, Mohammad Tarikul & Polonsky, Michael Jay, 2020. "Validating scales for economic upgrading in global value chains and assessing the impact of upgrading on supplier firms’ performance," Journal of Business Research, Elsevier, vol. 110(C), pages 144-159.
    5. Pham, Hanh Song Thi & Petersen, Bent, 2021. "The bargaining power, value capture, and export performance of Vietnamese manufacturers in global value chains," International Business Review, Elsevier, vol. 30(6).
    6. 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.
    7. Yutian Dou & Shuai Guan, 2023. "The Regionally Heterogeneous Impact of China’s Environmental Regulation on the Transformation and Upgrading of Its Industrial Structure," Sustainability, MDPI, vol. 15(24), pages 1-19, December.
    8. Josep LLADÓS‐MASLLORENS & Antoni MESEGUER‐ARTOLA & Jordi VILASECA‐REQUENA, 2021. "Upskilling and distributional changes in the electronics global value chain," International Labour Review, International Labour Organization, vol. 160(1), pages 113-142, March.
    9. Vicol, Mark & Neilson, Jeffrey & Hartatri, Diany Faila Sophia & Cooper, Peter, 2018. "Upgrading for whom? Relationship coffee, value chain interventions and rural development in Indonesia," World Development, Elsevier, vol. 110(C), pages 26-37.
    10. Giovanni Pasquali & Shane Godfrey, 2022. "Governance of Eswatini Apparel Regional Value Chains and the Implications of Covid-19," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 34(1), pages 473-502, February.
    11. 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.
    12. Golini, Ruggero & De Marchi, Valentina & Boffelli, Albachiara & Kalchschmidt, Matteo, 2018. "Which governance structures drive economic, environmental, and social upgrading? A quantitative analysis in the assembly industries," International Journal of Production Economics, Elsevier, vol. 203(C), pages 13-23.
    13. Roman Jurowetzki & Rasmus Lema & Bengt-Åke Lundvall, 2018. "Combining Innovation Systems and Global Value Chains for Development: Towards a Research Agenda," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 30(3), pages 364-388, July.
    14. Stefano Ponte & Valentina De Marchi & Marco Bettiol & Eleonora di Maria, 2023. "The horizontal governance of environmental upgrading: Lessons from the Prosecco and Valpolicella wine value chains in Italy," Environment and Planning A, , vol. 55(8), pages 1884-1905, November.
    15. Mahmudul Hasan Fouji & Imranul Hoque, 2021. "Supplier Internationalization Through Upgrading in Global Supply Chain: Evidence from the Garments Industry of Bangladesh," International Journal of Global Business and Competitiveness, Springer, vol. 16(2), pages 116-129, December.
    16. Gary GEREFFI & Anne Caroline POSTHUMA & Arianna ROSSI, 2021. "Introduction: Disruptions in global value chains – Continuity or change for labour governance?," International Labour Review, International Labour Organization, vol. 160(4), pages 501-517, December.
    17. Epede, Mesumbe Bianca & Wang, Daoping, 2022. "Global value chain linkages: An integrative review of the opportunities and challenges for SMEs in developing countries," International Business Review, Elsevier, vol. 31(5).
    18. Catherine Casey & Helen Delaney & Antje Fiedler, 2021. "Recalling the moral dimension: Transnational labour interests and corporate social responsibilities," Industrial Relations Journal, Wiley Blackwell, vol. 52(5), pages 389-405, September.
    19. Hamilton-Hart, Natasha & Stringer, Christina, 2016. "Upgrading and exploitation in the fishing industry: Contributions of value chain analysis," Marine Policy, Elsevier, vol. 63(C), pages 166-171.
    20. Ayako Ebata & Hayley MacGregor & Michael Loevinsohn & Khine Su Win & Alexander W. Tucker, 0. "Value Chain Governance, Power and Negative Externalities: What Influences Efforts to Control Pig Diseases in Myanmar?," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 0, pages 1-22.

    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:gam:jsusta:v:16:y:2023:i:1:p:357-:d:1310796. 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    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.