The Bargaining Power, Value Capture, and Export Performance Of Vietnamese Manufacturers In Global Value Chains.

PHAM, Hanh and PETERSEN, Bent (2021). The Bargaining Power, Value Capture, and Export Performance Of Vietnamese Manufacturers In Global Value Chains. International Business Review, 30 (6). [Article]

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Abstract
This study examines the payoff of various initiatives taken by Vietnamese manufacturers to increase their bargaining power relative to global buyers and capture a larger share of the value generated in global value chains. The study focuses on functional upgrade initiatives (i.e., product development, after-sales services, distribution, and promotion) and negotiation process initiatives (i.e., market intelligence and improvement of negotiation skills). A structural equation modelling method is used to analyse the data collected in 2017 from 354 Vietnamese manufacturers inserted in global value chains. The study finds that all initiatives, except after-sales services, significantly strengthen the manufacturers' bargaining power, which, in turn, enhances their export performance.
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