Modular Production Networks in Electronics: the Nexus between Management and Economics Research

Byron Gangnes () and Ari Van Assche ()
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Ari Van Assche: University of California at Davis

No 21-2004, Working Papers from Singapore Management University, School of Economics

Abstract: In the last two decades, the electronics industry has evolved from a vertically integrated industry to a vertically segmented one. This transformation has often been attributed to the modularization of electronic products. In this paper, we argue that the degree of modularity is an active choice variable for a firm. As a result, it is necessary to focus on the underlying factors that drive both modularity and the organization of production. This provides insights into the transformation taking place in global electronics production, with vertical fragmentation, horizontal consolidation, and the growth of Asian electronics production.

Keywords: modularity; electronics; outsourcing; contract manufacturing; East Asia (search for similar items in EconPapers)
JEL-codes: L14 L23 L63 (search for similar items in EconPapers)
Pages: 25 pages
Date: 2004-09
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Citations: View citations in EconPapers (2)

Published in SMU Economics and Statistics Working Paper Series

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