TY - JOUR
T1 - Market rebalancing of global production networks in the Post-Washington Consensus globalizing era
T2 - Transformation of export-oriented development in China
AU - Yang, Chun
N1 - Funding Information:
An earlier version of the paper was presented at the international workshop on “Value Chains, Production Networks, and the Geographies of Development: Emerging Challenges and Future Agenda” held at the National University of Singapore (NUS), December 1–2, 2011. I would like to thank Henry Yeung at NUS, Jeff Nielson and Bill Pritchard both at the University of Sydney for inviting and funding me to present my paper at the workshop. I am very grateful to the participants of the workshop and three anonymous referees of RIPE for their constructive comments and suggestions. Financial supports of the General Research Grant (HKBU 457210 and HKBU 251712) from Hong Kong Research Grant Council for conducting the research are gratefully acknowledged.
PY - 2014/1/2
Y1 - 2014/1/2
N2 - The current global financial crisis has prompted researchers to revisit the export-oriented development models, known as the 'Washington Consensus' paradigm, that have prevailed in East Asia during the past few decades. Host domestic markets have been generally neglected in the conceptual construct and empirical analysis of export-oriented development. Drawing upon the global production networks (GPNs) perspective, the study advances an evolutionary framework to shed light on the rising domestic market in China as emerging dynamics of regional transformation in contemporary economic globalization. The study is conducted based on updated investigations of the market rebalancing of transnational corporations (TNCs) in China, and particularly the Pearl River Delta (PRD), in response to the post-crisis global-local interaction. It argues that the institutional and network embeddedness of TNCs in the processing trade regime have hampered their 'recoupling' with the domestic market and 'decoupling' from external markets. Instead, a domestic market oriented production network is emerging, driven by strategic contract manufacturers through relocation to inland China. As a pilot attempt to articulate the domestic market in the GPN framework, this study urges more research to reflect the implications of the restructuring of GPNs and market reorientation of TNCs for reshaping regional trajectories in the post-Washington Consensus global economy.
AB - The current global financial crisis has prompted researchers to revisit the export-oriented development models, known as the 'Washington Consensus' paradigm, that have prevailed in East Asia during the past few decades. Host domestic markets have been generally neglected in the conceptual construct and empirical analysis of export-oriented development. Drawing upon the global production networks (GPNs) perspective, the study advances an evolutionary framework to shed light on the rising domestic market in China as emerging dynamics of regional transformation in contemporary economic globalization. The study is conducted based on updated investigations of the market rebalancing of transnational corporations (TNCs) in China, and particularly the Pearl River Delta (PRD), in response to the post-crisis global-local interaction. It argues that the institutional and network embeddedness of TNCs in the processing trade regime have hampered their 'recoupling' with the domestic market and 'decoupling' from external markets. Instead, a domestic market oriented production network is emerging, driven by strategic contract manufacturers through relocation to inland China. As a pilot attempt to articulate the domestic market in the GPN framework, this study urges more research to reflect the implications of the restructuring of GPNs and market reorientation of TNCs for reshaping regional trajectories in the post-Washington Consensus global economy.
KW - China
KW - export-oriented development
KW - global production networks
KW - market rebalancing
KW - Pearl River Delta
KW - recoupling and decoupling
KW - regional transformation
KW - transnational corporations, strategic coupling
UR - https://www.ingentaconnect.com/content/routledg/rrip/2014/00000021/00000001/art00006
UR - http://www.scopus.com/inward/record.url?scp=84893932989&partnerID=8YFLogxK
U2 - 10.1080/09692290.2013.776616
DO - 10.1080/09692290.2013.776616
M3 - Journal article
AN - SCOPUS:84893932989
SN - 0969-2290
VL - 21
SP - 130
EP - 156
JO - Review of International Political Economy
JF - Review of International Political Economy
IS - 1
ER -