Governance and Dynamics of Global Value Chains
Summary
Global value chains (GVCs) describe the full range of activities that firms and workers perform to bring a product from its conception to end use and beyond. Governance of these chains refers to the mechanisms, policies and power relations that coordinate and control the sequence of value‐adding stages, often led by dominant or ‘lead’ firms that set quality, process and delivery standards. Dynamics within GVCs are shaped by technological change, shifting consumer demand, regulatory frameworks and geopolitical realignments. Recent trends highlight the growing importance of digital platforms, sustainability criteria and resilience to shocks such as pandemics or trade disruptions. Research emphasises how inter-organisational learning, upgrading strategies and network evolution influence firms’ capacities to capture value and adapt to evolving governance structures. Understanding these patterns is critical for policymakers and businesses aiming to foster inclusive growth, environmental stewardship and technological innovation across diverse geographies.
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Governance and Dynamics of Global Value Chains publication trend
The graph below shows the total number of articles in governance and dynamics of global value chains across all publications each year (not limited to Nature Index journals).
Technical terms
Global Value Chain (GVC): A network of production stages spanning different countries in which tasks from design to distribution add value to a final product.
Governance: The institutional arrangements and power relations that determine how activities are coordinated, standards are set and compliance is enforced within a value chain.
Lead firm: An entity, often a buyer or brand owner, that wields decision-making authority over product specifications, quality requirements and production schedules in a chain.
Inter-organisational learning: The process by which firms acquire, share and apply knowledge through collaborative ties, joint problem-solving and observation within networks.
References
- Governance in Global Value Chains. IDS Bulletin (2001).
- Sectoral resilience through learning in networks and GVCs: A historical perspective on the food-processing and clothing industries in Poland. Technological Forecasting and Social Change (2023).
- From Niches to Global Value Chains: The Role of Firms' Collaborative Strategies in the Bioeconomy. Business Strategy and the Environment (2024).
- Global value chains: A review of the multi-disciplinary literature. Journal of International Business Studies (2020).
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