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Firm Productivity, Organizational Choice and Global Value Chain

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  • Anna Giunta

    ()

  • Domenico Scalera
  • Francesco Trivieri
  • Jeffrey B. Nugent
  • Mariarosaria Agostino

Abstract

Based upon insights of the global value chain literature, the aim of this paper is to investigate the impact of being a supplier firm on labour productivity. The country of analysis is Italy, historically characterized by a very strong division of labour among firms. We make use of a unique database, which collects information on several organizational, structural and performance variables of a representative sample of more than 3000 Italian manufacturing firms, spanning the period 1998-2006. Our econometric investigation confirms predictions coming from the global value chain literature. By and large, our findings indicate that being a traditional supplier is associated with lower levels of productivity in comparison with the ones exhibit by final firms. However, supplier firms that both export a significant percentage of their production and carry out product or process innovations (i.e. the subset of suppliers that we name advanced suppliers against traditional suppliers) display productivity levels not lower (and, actually, higher) than final firms ones.

Suggested Citation

  • Anna Giunta & Domenico Scalera & Francesco Trivieri & Jeffrey B. Nugent & Mariarosaria Agostino, 2011. "Firm Productivity, Organizational Choice and Global Value Chain," Working Papers 2011R09, Orkestra - Basque Institute of Competitiveness.
  • Handle: RePEc:ivc:wpaper:2011r09
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    References listed on IDEAS

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    Cited by:

    1. Francesco Bogliacino & Matteo Lucchese & Leopoldo Nascia & Mario Pianta, 2015. "The virtuous circle of innovation in Italian firms," Working Papers 1504, University of Urbino Carlo Bo, Department of Economics, Society & Politics - Scientific Committee - L. Stefanini & G. Travaglini, revised 2015.
    2. Costantini, Valeria & Liberati, Paolo, 2014. "Technology transfer, institutions and development," Technological Forecasting and Social Change, Elsevier, vol. 88(C), pages 26-48.
    3. Alessandro Manello & Giuseppe Calabrese & Piercarlo Frigero, "undated". "Explaining the efficiency of Italian car suppliers during the crisis," CERIS Working Paper 201406, Institute for Economic Research on Firms and Growth - Moncalieri (TO) ITALY -NOW- Research Institute on Sustainable Economic Growth - Moncalieri (TO) ITALY.
    4. Giorgia Giovannetti & Enrico Marvasi & Marco Sanfilippo, 2013. "Supply Chains and the Internalization of SMEs: Evidence from Italy," Working Papers - Economics wp2013_30.rdf, Universita' degli Studi di Firenze, Dipartimento di Scienze per l'Economia e l'Impresa.

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