Understanding Firm Networks in Global Agricultural Value Chains

Anne Helene Beck, Sunghun Lim and Daria Taglioni

No 10774, Policy Research Working Paper Series from The World Bank

Abstract: This paper explores the evolution and resilience of global value chains (GVCs) in the agrifood sector, which intensified since the 1994 Uruguay Round Agreement. Using unique data from the FactSet database, along with Fortune 500 lists, the comprehensive analysis of approximately 17,500 agribusiness companies worldwide examines more than 150,000 supplier and customer connections from 2014 to 2022. The findings reveal that large corporations, acting as central nodes, have increased their network centrality in global value chains, particularly through geographic diversification and a concentrated supply strategy. The study also indicates that there is a correlation between the complexity and depth of firm-to-firm linkages and increased resilience, suggesting that firms with greater connectivity are less likely to exit the industry. The analysis not only contributes new insights into the structure and dynamics of agribusiness networks, but also highlights the role of firm linkages in navigating recent disruptive global events, such as the United States-China Trade War, the COVID-19 pandemic, extreme weather episodes, and geopolitical tensions.

Date: 2024-05-16
New Economics Papers: this item is included in nep-int and nep-net
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
http://documents.worldbank.org/curated/en/09925240 ... 11e17c9fd0189bda.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wbk:wbrwps:10774

Access Statistics for this paper

More papers in Policy Research Working Paper Series from The World Bank 1818 H Street, N.W., Washington, DC 20433. Contact information at EDIRC.
Bibliographic data for series maintained by Roula I. Yazigi ().