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Network composition, collaborative ties, and upgrading in emerging-market firms: Lessons from the Argentine autoparts sector

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  • Gerald A McDermott

    (Sonoco International Business Department, The Darla Moore School of Business, University of South Carolina, Columbia, USA)

  • Rafael A Corredoira

    (Department of Management and Organization, Robert H. Smith School of Business, University of Maryland, College Park, USA)

Abstract

What types of relational and institutional mechanisms shape knowledge flows and the upgrading capabilities of emerging-market firms in the face of economic liberalization? We analyze the Argentine autoparts sector to distinguish the relative impact of different types of network relationships on a firm's process and product upgrading. A few social ties to international assemblers appear to be most beneficial for local suppliers, although they may be insufficient to compensate fully for the negative effect of being located in a lower tier. Supplier–customer relationships that are part of regular, disciplined discussions for product and process improvements appear to be especially beneficial for upgrading.

Suggested Citation

  • Gerald A McDermott & Rafael A Corredoira, 2010. "Network composition, collaborative ties, and upgrading in emerging-market firms: Lessons from the Argentine autoparts sector," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 41(2), pages 308-329, February.
    • Handle: RePEc:pal:jintbs:v:41:y:2010:i:2:p:308-329
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