Introduction

Abstract

Over the past few years, the value chain concept has increasingly gained attention both from the world of business and the world of academia (Humprey, 2004; Gualani et al. 2005; Schmitz, 2006; Gereffi, 2009; Gereffi and Lee, 2012). Research has focused on the governance structure of global value chains (GVC) and its implication for firms to learn, innovate and upgrade their relative position in the value chain. As revealed by export-oriented growth and development strategies that were successfully pursued by Asian countries, this is not merely of academic interest. The so-called Asian Tigers (Hong Kong, Singapore, South Korea and Taiwan) show that a country can achieve growth and prosperity even if it starts out at the wrong end of the international labour division, or in other words, on the lowest point in the value chain.