Traditional employment relations frameworks:
1. Industrial relations:
Three key actors: management, labor, government. There is interdependencies between actors.
HOWEVER, the theory cannot fully explain “how strategies and practice of firms operating across national borders and national institutional environment
2. Political Economy:
Comparative institutional approaches emphasized the importance of distinct national institutional configurations that result in distinctive national capitalisms and structure firm strategies and practices.
Network-based approaches
1. Global Production Networks
The approach focuses on how companies manage their global operations; three elements - value, power, embeddedness.
2. Global Value Chain
With the globalization of production and trade, firms have increasingly found themselves interacting with and within value chains that cross national and firm boundaries. GVC framework seek better understanding on relationships between lead firm and suppliers, and the governance structures used to coordinate them.
Producer-driven value chain
Buyer-driven value chain lead firm - refers to the firm that is essentially driving the level and type of coordination between the two firms. e.g. multinational corporation
Market value:
舉例:bicycle industry (contracting relationship) suppliers buy and sell standard products -> low levels of lead firm influence tasks are simple/easily codified -> low workforce skill levels little capability is required -> low level of employment stability low coordination -> high levels of local institutional influence
Modular value: (products/services based on customer specifications)
舉例:American eletronics industry low coordination (easily to codified) -> low levels of lead firm influence high supplier competence -> moderate workforce skill levels/employment stability high levels of local institutional influence
Relational value:
舉例:automotive industry
communication

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