Go Global or Stay Local? Understanding How Fiscal Incentives Reshape Supply Networks
Main Article Content
Abstract
This study investigates the way firms reconfigure their supply base and reshape their production network to capture value from Free Trade Zone incentives to capture value from incentives. Six production networks located in Manaus, Brazil are analyzed using the Global Production Network framework and factors related to plant type and supplier relationships. A multiple case study was conducted. Data was collected using in-depth semi-structured interviews administered in loco, and the selected the firms were leaders in three different industries: transportation, mechanical assembly and chemicals. The results indicate that, if effectively applied, incentives can impact production network configuration from an embeddedness perspective, causing a firm to change its strategic role. Based on the analysis, we propose five propositions that challenge the relationships among autonomy, value creation, plant types and levels of embeddedness. The propositions are particularly useful for suppliers and distributors, as well as public agencies, including infrastructure providers and policymakers.
Downloads
Download data is not yet available.
Download data is not yet available.
Article Details
How to Cite
Martins, R. S., Siegler, J., Souza-Junior, A., Flynn, B., & Martins, G. S. (2019). Go Global or Stay Local? Understanding How Fiscal Incentives Reshape Supply Networks. Journal of Contemporary Administration, 23(5), 654-671. https://doi.org/10.1590/1982-7849rac2019180295
Section
Articles
This journal remains the copyright holder of articles published. In order to be published, authors must sign the Transfer of Copyrights Document, which is sent to the authors by e-mail, thus granting rights, including on translation, to the Journal of Contemporary Administration. The journal grants third parties the right to use, reproduce, and share the article according to the Creative Commons license agreement (CC-BY 4.0), as stated in the article’s PDF documents.