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III. Global Strategy and Entrepreneurship  Lecture 6: Global Production Network ,[object Object],[object Object],[object Object]
i. Globalization: It's Not Just Wages   By Louis Uchitelle,  New York Times, 6/17/05 ,[object Object],[object Object],[object Object]
Whirlpool WHR   (NYSE)   Data as of 11-04-2005 03:20 PM CT 612,400 0.42 (-0.52%) $80.17 Volume Day Change Price
Globalization: It's Not Just Wages ,[object Object],[object Object],[object Object]
Whirlpool's global network Microwave ovens  Refrigerators Washers Engineered-  Sweden  Made in China Designed (made)  America  (Tulsa, Okla)  Stoves Assembled  Brazil American  consumers Front - loading  Top -  loading  German- made Export: Mexico Made in  Clyde, Ohio  Export:  Europe
Whirlpool's global network ,[object Object],[object Object]
The advantage of Whirlpool's global network ,[object Object],[object Object]
Why Global Production Network (GPN)? ,[object Object],[object Object],[object Object],[object Object]
Why Global Production Network (GPN)? ,[object Object],[object Object],[object Object],[object Object],[object Object]
Globalization: It's Not Just Wages ,[object Object],[object Object]
ii. Global Commodity Chains ,[object Object]
Producer-driven commodity chains ,[object Object],[object Object]
Producer-driven commodity chains Host A MNE HQ Host B Host C Host D control technology capital expertise commodity flows between subsidiaries inputs from ‘host’ economy (Source: Henderson, 1998: 369) value Finland: Nokia Design in London Finish in China Parts in Taiwan Market /Distribute in US
Buyer-driven commodity  chains ,[object Object],[object Object]
Buyer-driven commodity  chains Brazil US India China Malaysia Taiwan Nike Developing economy A Developing economy B Developing economy C Core economy/major markets raw materials manufacturer B (basic production) manufacturer C (organizes production, finishing etc.) buyer (marketing, brand name) value Flows of capital, expertise, designs, materials etc. where relevant (Source: Henderson, 1998: 370)
Buyer-driven commodity  chains ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Economists’ Views:  Slicing value chain/ Outsourcing ,[object Object],[object Object],[object Object],[object Object]
Corporate Reorganization ,[object Object],[object Object],[object Object],[object Object],(Holmstrom and Kaplan, 2001)
Globalization and the ‘New Enterprise’ ,[object Object],[object Object],[object Object],[object Object],(Marin and Verdier, 2003)
References ,[object Object],[object Object],[object Object],[object Object],[object Object]

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Lecture 6 Gpn06

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  • 3. Whirlpool WHR (NYSE) Data as of 11-04-2005 03:20 PM CT 612,400 0.42 (-0.52%) $80.17 Volume Day Change Price
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  • 5. Whirlpool's global network Microwave ovens Refrigerators Washers Engineered- Sweden Made in China Designed (made) America (Tulsa, Okla) Stoves Assembled Brazil American consumers Front - loading Top - loading German- made Export: Mexico Made in Clyde, Ohio Export: Europe
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  • 13. Producer-driven commodity chains Host A MNE HQ Host B Host C Host D control technology capital expertise commodity flows between subsidiaries inputs from ‘host’ economy (Source: Henderson, 1998: 369) value Finland: Nokia Design in London Finish in China Parts in Taiwan Market /Distribute in US
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  • 15. Buyer-driven commodity chains Brazil US India China Malaysia Taiwan Nike Developing economy A Developing economy B Developing economy C Core economy/major markets raw materials manufacturer B (basic production) manufacturer C (organizes production, finishing etc.) buyer (marketing, brand name) value Flows of capital, expertise, designs, materials etc. where relevant (Source: Henderson, 1998: 370)
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