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Abstract ▼ AI-Helper

This paper is concerned with the relationships between large firms with global reaches in their markets and subcontracting firms, mostly small and medium-sized firms. It then attempts to focus in more detail on the dynamic relational dimensions between the two. In doing so, we draw upon the secondar...

This paper is concerned with the relationships between large firms with global reaches in their markets and subcontracting firms, mostly small and medium-sized firms. It then attempts to focus in more detail on the dynamic relational dimensions between the two. In doing so, we draw upon the secondary data and the results of interviewing survey with some senior managers. The empirical study shows that the localisation of subcontracting networks have been increasingly reinforced thanks to the increasing tendency of vertical disintegration by LC. However, it is identified that there is a tendency that local subcontractors are specialised in producing relatively low value-added and low technology-intensive electronic parts/components. Based on these results, the author suggests the implications of regional economic development in the context of innovation and learning.

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