Title: Technology spillover effects of international outsourcing to outsourcing suppliers: a case study on Ningbo garment cluster in China

Authors: Yejing Huang; Tieshan Wang

Addresses: Institute of World Economy, Shanghai Academy of Social Sciences, No. 7, Lane 622, Huaihai Zhong Road, Shanghai 200020, China. ' Xi'an JiaoTong University, P.O. Box 0177, No. 74, Yanta West Road, Yanta District, 710061, Xi'an, Shaanxi, China

Abstract: Outsourcing's technology spillover effect to local supplier enterprises is an important issue in the research field of China's involvement in global production network. Focusing on the Ningbo, in Zhejiang province, garment cluster as one of the typical export-oriented garment clusters in China; this paper investigates and analyses the technology spillover effect of outsourcing on local outsourcing suppliers. The research methodology includes factor analysis to evaluate the data collected from field work conducted in 2009, which includes questionnaire surveys on 91 Ningbo garment firms and selected interviews. The paper presents a description of the linkage between export orientation and technology, makes an in-depth analysis on technology spillover effect from the relevant technology linkages, and decomposes the technology spillover effect into four sub-effects, namely demonstration effect, experts' mobility effect, research and development spillover effect and agglomeration effect.

Keywords: international outsourcing; technology spillovers; spillover effect; garment industry; apparel industry; clothing industry; China; garment clusters; local suppliers; export orientation.

DOI: 10.1504/IJVCM.2012.045159

International Journal of Value Chain Management, 2012 Vol.6 No.1, pp.78 - 92

Published online: 16 Aug 2014 *

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