Forming,Breakthrough and Strategies of Captive Network in Developing Countries at Global Outsourcing System:Based on a Comparative Survey of GVC and NVC

Abstract

Separation and integration of GVC form four trade-off relationships between outsourcees in developing countries and MNCs or big buyers as outsourcers in developed countries.Captive network relationship has to be accepted by developing countries in nowadays international trade pattern,which make outsourcees in developing countries not realized to the course of functional upgrading or inter-sectoral upgrading.Captive network comes from technology power of MNCs and market power of big buyers,so the way out of casting off captive network relationship is located at fostering NVC based on home market in developing countries.From on the view of a comparative survey of GVC and NVC,we analysis inner conditions to constructing NVC,probe into path from NVC to GVC and finally put forward the obstacles and four countermeasures to eliminating captive network in China.