Technological upgrading in global value chains and clusters and their contribution to sustaining economic growth in low and middle income economies

Raphael Kaplinsky
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Raphael Kaplinsky: UNU-MERIT

No 2015-027, MERIT Working Papers from United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT)

Abstract: This paper begins with a discussion of the role played by upgrading in the promotion of sustainable growth. Upgrading is discussed in two different contexts, that of industrial clusters and that of global value chains (GVCs). Drawing on global and African experiences, the paper addresses the upgrading agenda required to enable dynamic clusters to meet both domestic needs and progressively also needs in external markets. In the discussion of value chains, the paper distinguishes between vertically specialised and additive GVCs and shows how the upgrading agenda necessarily varies between these two families of GVCs. The paper concludes by briefly discussing two issues. The first is to distinguish between the upgrading agenda which is essential for sustaining economic growth and that which addresses the inclusivity (and thus sustainability) of the growth path. The second addresses the circumstances in which it may be possible to pursue these varied upgrading strategies simultaneously.

Keywords: Global Value Chains; GVC; Industrial Clusters; Upgrading; Africa; Additive Value Chains; Vertically Specialised Value Chains (search for similar items in EconPapers)
JEL-codes: F14 F60 O10 O33 (search for similar items in EconPapers)
Date: 2015
New Economics Papers: this item is included in nep-ino and nep-tid
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:unm:unumer:2015027

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