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Global Value Chains and Market Formation Process in Emerging Export Activity: Evidence from Ethiopian Flower Industry

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  • Mulu Gebreeyesus
  • Tetsushi Sonobe

Abstract

This article provides a case study of the Ethiopian flower export industry which successfully emerged at time when the EU market (main destination) was already characterised by increasingly stringent standards and delivery requirements. Entering this market required a multitude of capabilities at firm, sector and national levels. Several of these capabilities were absent or weak in the domestic market when the new activity kicked off. The article analyses how the capabilities of individual firms and the industry at large co-evolved and the role of various actors in the ‘market formation’ process.

Suggested Citation

  • Mulu Gebreeyesus & Tetsushi Sonobe, 2012. "Global Value Chains and Market Formation Process in Emerging Export Activity: Evidence from Ethiopian Flower Industry," Journal of Development Studies, Taylor & Francis Journals, vol. 48(3), pages 335-348, September.
  • Handle: RePEc:taf:jdevst:v:48:y:2012:i:3:p:335-348
    DOI: 10.1080/00220388.2011.635199
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    References listed on IDEAS

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    1. Hall, Andy & Mytelka, Lynn & Oyelaran-Oyeyinka, Banji, 2006. "Concepts and guidelines for diagnostic assessments of agricultural innovation capacity," MERIT Working Papers 017, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    2. Wijnands, Jo H.M. & van der Lans, Karin & Hobbs, Jill E., 2006. "International Flower Networks: Transparency and Risks in Marketing Channel Choice," 99th Seminar, February 8-10, 2006, Bonn, Germany 7759, European Association of Agricultural Economists.
    3. Gebreeyesus, Mulu & Iizuka, Michiko, 2010. "Discovery of the flower industry in Ethiopia: experimentation and coordination," MERIT Working Papers 025, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    4. Bergek, Anna & Jacobsson, Staffan & Carlsson, Bo & Lindmark, Sven & Rickne, Annika, 2008. "Analyzing the functional dynamics of technological innovation systems: A scheme of analysis," Research Policy, Elsevier, vol. 37(3), pages 407-429, April.
    5. Humphreys, David, 2008. "World Investment Report: Transnational Corporations, Extractive Industries and Development, United Nations Conference on Trade and Development (UNCTAD), Geneva, (2007). 323 pp., $90 (developed countri," Resources Policy, Elsevier, vol. 33(3), pages 175-177, September.
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    Cited by:

    1. Girma, Jony & Gardebroek, Cornelis, 2015. "The impact of contracts on organic honey producers' incomes in southwestern Ethiopia," Forest Policy and Economics, Elsevier, vol. 50(C), pages 259-268.
    2. Vajk Lukacs de Pereny Martens & Ronnie Ramlogan, 2015. "Standardization and Governance Dynamics in the Peruvian Alpaca Fibre Value Chain," Globelics Working Paper Series 2015-10, Globelics - Global Network for Economics of Learning, Innovation, and Competence Building Systems, Aalborg University, Department of Business and Management.
    3. Mulu Gebreeyesus, 2015. "Firm adoption of international standards: evidence from the Ethiopian floriculture sector," Agricultural Economics, International Association of Agricultural Economists, vol. 46(S1), pages 139-155, November.

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