Value chain

About: Value chain is a research topic. Over the lifetime, 7206 publications have been published within this topic receiving 224183 citations.

Linking Medicinal Plant Production with Livelihood Enhancement in Bangladesh: Implications of a Vertically Integrated Value Chain

Abstract: In this paper, we analyse the value chain for medicinal plants produced by village-based marginal farmers and homestead growers whose livelihoods are significantly supported by the commercial scale production of several plant species. We also suggest an improved value chain system through economic coordination that links production with the enhancement of the producers’ livelihoods. A field-based investigation was carried out in Natore district of northwest Bangladesh where a total of 160 farmers and households from eight villages, located within two unions, were engaged in the production of medicinal plant species. The research gathered explanations for the resultant improvements in livelihoods and the wider acceptance of such unconventional agricultural practices in the locality. The findings revealed that the primary and wholesale secondary markets were mostly dominated by middlemen who cause inflated prices due to lack of competition in the medicinal plants value chain. A closer linkage between the producers and processors through vertical integration in the value chain could result in a multitude of benefits to both the producers and processors of medicinal plants in terms of price, quality, lead time and overall control of the supply chain.

Local embeddedness, upgrading, and skill development: Global value chains and foreign direct investment in Lesotho's apparel industry

Abstract: Many low-income countries (LICs) are integrated into apparel global value chains (GVCs) through foreign direct investment (FDI). This is also the case in Lesotho that has developed to the largest Sub-Sahara African (SSA) apparel exporter to the US under the African Growth and Opportunity Act (AGOA). More recently, a new apparel export market has emerged in Lesotho the regional market of South Africa. The two export markets US and South Africa are supplied by different types of FDI firms affiliates of largely Taiwanese transnational producers and South African manufacturers that are incorporated into distinct value chains. This paper assesses the implications for upgrading of integration into these two value chains in Lesotho - the value chain characterized by Taiwanese investment and feeding into the US market under AGOA and the value chain characterized by South African investment and feeding into the South African market. These value chains differ with regard to ownership patterns, end markets, export products, governance structures and firm set up, investors motivations, and perceptions on main challenges. These different characteristics have crucial impacts on upgrading possibilities, including functional, process and "local" upgrading. Thus, from the perspective of upgrading and sustainability, ownership patterns, local embeddedness and market diversification matter. The emergence of South Africa as an alternative end market and the different value chain dynamics operating in the South African retailer-governed value chain open up new opportunities from those of the AGOA/Taiwanese-dominated value chain.

Top heavy? Governance issues and policy decisions for the fair trade movement

Abstract: With the advent of mainstreaming, several different business models operate within the fair trade system. These differences are discussed in terms of how the value chain is governed, suggesting the need for a more nuanced understanding of fair trade in the mainstream. Institutional governance, that is, the structures and standards of fair trade, is also discussed. It is argued that if fair trade is to be more than just another consumer standard, it needs to address both value chain and institutional governance. Policy implications, especially with respect to fair trade institutions, particularly Fairtrade Labelling Organisations International, are set out. Copyright © 2009 John Wiley & Sons, Ltd.

Rethinking the Business Model with RFID

Abstract: Radio Frequency Identification (RFID) is an enabling technology that can provide organizations with unprecedented improved visibility and traceability of items throughout their journey in the value chain. This paper explores how RFID can impact traditional business models or create new ones. In particular, we propose an RFID business model framework and use it to show how value can be created for organizations, suppliers, customers, and business partners. We also identify the major dynamic phases of RFID and their corresponding impact on RFID business models. A taxonomy of 12 specific RFID business models is also presented, reflecting the wide spectrum of potential directions and applications of the technology. Finally, we present a case study to test the practical and theoretical relevance of our conceptual models. The paper outlines the need for technology managers to take a holistic approach to RFID business model innovation, taking into account the interrelated technical, strategic, organizational, and external environmental factors.

Making the case for the added‐value chain

Abstract: Purpose – Porter's value chain has been a keystone of strategic analysis. However, because of processes associated with economic globalization: outsourcing, brand marketing and “knowledge economy” phenomena, value drivers have changed dramatically over the last 20 years. The added‐value chain provides an expanded mental model for practitioners and academics to develop and communicate strategies for value creation.Design/methodology/approach – The expanded set of activities in the added‐value chain was developed based on experience using the value chain in real world situations and analyzing leading business and strategy models that are commonly used by firms today.Findings – The added‐value chain incorporates new sources of value creation such as the firm's brand, reputation and “social capital” or goodwill in addition to profit margin. The Added‐Value Chain also adds three primary activities.Practical implications – Managers performing value‐chain analysis need to take into account newly important busine...