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Book part
Publication date: 4 August 2017

Marco Bettiol, Chiara Burlina, Maria Chiarvesio and Eleonora Di Maria

Defined as local manufacturing systems, industrial districts have been recognized as particularly important for the location of firms’ manufacturing activities intertwined with…

Abstract

Defined as local manufacturing systems, industrial districts have been recognized as particularly important for the location of firms’ manufacturing activities intertwined with innovation processes. The debate on the internationalization of production has stressed the low value related to manufacturing within value chain activities (smile framework), emphasizing the need to focus on high value-added activities (R&D or marketing). Following multinational enterprises’ internationalization strategies, also district firms have progressively offshored their production phases in the past years. However, recent studies focused on backshoring have revamped the attention on the domestic control of production for firms’ competitiveness. This chapter explores district firms’ location choices for manufacturing activities between local and global. Based on an empirical analysis of about 260 Italian district firms specialized in mechanics, furniture, and fashion and supported by a case study investigation, our results show that despite district internationalization processes, a non-negligible amount of firms still carry out – in-house or through outsourcing – production activities at district level. Larger firms couple district production and long-term upstream outsourced internationalization activities. The district system confirms its role of pooling specialized competences and product know-how, being decisive for firms’ innovation and responsiveness to national and international markets. Backshoring, instead, is a very limited phenomenon and linked to upgrading strategies.

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Breaking up the Global Value Chain
Type: Book
ISBN: 978-1-78743-071-6

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Book part
Publication date: 21 October 2019

Marco Bettiol, Maria Chiarvesio, Eleonora Di Maria, Cristina Di Stefano and Luciano Fratocchi

Manufacturing offshoring has received substantial attention within international business studies that have explored where activities are located and how they are governed…

Abstract

Manufacturing offshoring has received substantial attention within international business studies that have explored where activities are located and how they are governed. However, recent examples of manufacturing relocation to the home country/region have put the advantages of offshoring under scrutiny, since the location of production activities in high-cost countries may have positive impacts in terms of innovation and marketing opportunities. Despite the growing interest in offshoring and “relocations of second degree,” there is a lack of knowledge on the alternative strategies firms may implement after offshoring. This chapter aims to propose a comprehensive framework to summarize and classify the multiple alternatives firms may implement after the initial relocation abroad of manufacturing activities. Based on an extensive literature review and a comparative analysis of Italian case studies, the chapter suggests theoretical advancement in the theory of location of business activities, offering multiple post-offshoring strategic options that may be implemented individually or in combination. In so doing, the analysis also stresses the variety of strategic paths and the complexity of choices concerning manufacturing location, emphasizing reshoring as a nuanced phenomenon and exploring how domestic and foreign locations can complement each other and be mutually reinforcing.

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International Business in a VUCA World: The Changing Role of States and Firms
Type: Book
ISBN: 978-1-83867-256-0

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Book part
Publication date: 13 August 2014

Valentina De Marchi, Eleonora Di Maria and Stefano Ponte

This paper aims at enriching the literature on international business (IB) studies to include insights from Global Value Chain (GVC) analysis to better explain how MNCs can…

Abstract

This paper aims at enriching the literature on international business (IB) studies to include insights from Global Value Chain (GVC) analysis to better explain how MNCs can orchestrate a global network organization. A first important contribution of the GVC literature is that it shifts the focus from single firms to their value chains, providing instruments to study how activities are split and organized among different firms at the industry level, and how MNCs can implement different governing mechanisms within a network-based setting. The GVC literature also highlights that retailers (as global buyers) often act as ‘lead firms’ in shaping the trajectories of global industries, while IB studies have so far focused predominantly on manufacturing firms. A fine-grained analysis of alternative forms of governance characterizing value chains can offer additional elements in explaining how MNCs can manage their network relationships in a global scenario. Finally, through their focus on upgrading, GVC studies suggest that knowledge flows and innovation dynamics taking place within value chains are as important as those taking place within the MNC’s organizational border. We conclude by arguing that these insights can help the IB literature to examine the challenges and opportunities MNCs face in engaging with suppliers and to explain the dynamic evolution of orchestrating global activities at the global level.

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Orchestration of the Global Network Organization
Type: Book
ISBN: 978-1-78350-953-9

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Book part
Publication date: 21 October 2019

Abstract

Details

International Business in a VUCA World: The Changing Role of States and Firms
Type: Book
ISBN: 978-1-83867-256-0

Abstract

Details

International Business in a VUCA World: The Changing Role of States and Firms
Type: Book
ISBN: 978-1-83867-256-0

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Book part
Publication date: 10 December 2018

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International Business in the Information and Digital Age
Type: Book
ISBN: 978-1-78756-326-1

Book part
Publication date: 10 December 2018

Maria Chiarvesio and Rubina Romanello

The contemporary dynamics impose companies to both innovate and internationalize at the same time while remaining competitive in the international marketplace. With this context…

Abstract

The contemporary dynamics impose companies to both innovate and internationalize at the same time while remaining competitive in the international marketplace. With this context in mind, Industry 4.0 technologies have the potential to increase the competitiveness of companies, leading to a new era of “Manufacturing Renaissance.” Recently, conceptual studies have speculated on possible impacts of the adoption of Industry 4.0 technologies in terms of international business. However, empirical studies on this topic are still lacking. Through a multiple case study approach, this study presents exploratory qualitative research investigating the relationship between Industry 4.0 and the internationalization of companies. The analysis of 16 Italian manufacturing exporting companies, which have adopted some of these technologies, has revealed a more intriguing relationship compared to the one presented in current literature, and thus has opened avenues for future research on this issue.

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International Business in the Information and Digital Age
Type: Book
ISBN: 978-1-78756-326-1

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Book part
Publication date: 4 August 2017

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Breaking up the Global Value Chain
Type: Book
ISBN: 978-1-78743-071-6

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Book part
Publication date: 4 August 2017

Abstract

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Breaking up the Global Value Chain
Type: Book
ISBN: 978-1-78743-071-6

Book part
Publication date: 4 March 2021

Leonardo B. Barbosa, Jorge Carneiro, Camila Costa, Filip De Beule, Rafael Goldszmidt and T. Diana Macedo-Soares

Through a systematic review of the literature, this study analyzes the empirical literature on the adoption of environmental sustainability strategies in order to identify (i) the…

Abstract

Through a systematic review of the literature, this study analyzes the empirical literature on the adoption of environmental sustainability strategies in order to identify (i) the main conceptual aspects by which environmental sustainability strategies can be conceived of, (ii) the main determinants of the adoption of such strategies, (iii) the expected impacts on the company’s international performance, as well as (iv) the mechanisms that mediate the effect of environmental sustainability strategies on international performance. This study thereby offers propositions about the relationships between environmental sustainability strategies, their determinants (both in relation to the institutional environment and to the company’s domain), and their performance implications.

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The Multiple Dimensions of Institutional Complexity in International Business Research
Type: Book
ISBN: 978-1-80043-245-1

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