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Modular Production Networks in Electronics: The Nexus between Management and Economics Research

Author

Listed:
  • Byron Gangnes

    (Department of Economics, University of Hawaii at Manoa)

  • Ari Van Assche

    (Department of Economics, University of California at Santa Cruz)

Abstract

In the last two decades, the electronics industry has evolved from a vertically integrated in-dustry to a vertically segmented one. This transformation has often been attributed to the modularization of electronic products. In this paper, we argue that the degree of modularity is an active choice variable for a firm. As a result, it is necessary to focus on the underlying fac-tors that drive both modularity and the organization of production. This provides insights into the transformation taking place in global electronics production, with vertical fragmentation, horizontal consolidation, and the growth of Asian electronics production.

Suggested Citation

  • Byron Gangnes & Ari Van Assche, 2004. "Modular Production Networks in Electronics: The Nexus between Management and Economics Research," Working Papers 200405, University of Hawaii at Manoa, Department of Economics.
    • Handle: RePEc:hai:wpaper:200405
    Note: Also Singapore Management University Economics and Statistics Working Paper 21-2004, September 2004
    as

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    File URL: http://www.economics.hawaii.edu/research/workingpapers/WP_04-5.pdf
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    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Vincent Frigant, 2007. "Between Internationalisation and Proximity: the internationalisation process of automotive first tier suppliers," Post-Print hal-00257463, HAL.
    2. Vincent Frigant, 2007. "L'impact de la production modulaire sur l'approfondissement de la Division Internationale des Processus Productifs (DIPP)," Revue d'économie politique, Dalloz, vol. 117(6), pages 937-961.
    3. Marta Gancarczyk & Jacek Gancarczyk & Joanna Bohatkiewicz, 2017. "SME Roles in Modular Value Chains: Perspectives for Growth and Innovativeness," Entrepreneurial Business and Economics Review, Centre for Strategic and International Entrepreneurship at the Cracow University of Economics., vol. 5(3), pages 95-117.

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    More about this item

    Keywords

    Modularity; electronics; outsourcing; contract manufacturing; East Asia;
    All these keywords.

    JEL classification:

    • L14 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Transactional Relationships; Contracts and Reputation
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production
    • L63 - Industrial Organization - - Industry Studies: Manufacturing - - - Microelectronics; Computers; Communications Equipment

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