A Study Of Global Production Networks In Electronics Industry

Economy globalization and technology innovation, especially fast growing in Internet, makes strong connection among different countries throughout the world. Needless to say, MNCs are the main bodies in economy activities. They do their best to make the optimization and best combination of resources, and maximize the profit worldwide. The activities of companies drive industry chain distributing in the whole world. The most impressive things are dividing work worldwide and area industry cluster. All these complicated distribution come to global product networks in some industry and related industry. Electronics industry shows impressive the characteristic of globalization. Global production networks in electronics industry not only drive technology innovation, but also carry out knowledge diffusion and diversion. Global production networks research can help us understand MNCs'global strategies, and make sense for developing countries (areas) how to fulfill industry upgrading under global production networks.This paper first introduces conception of global production networks and its new development, and expatiate global production networks in electronics industry, including modular production and CM (Contract Manufacture), then discuss the knowledge diffusion system and innovation system in global production networks and local suppliers how to absorb the knowledge and achieve self-innovation, finally, give some suggestions to Chinese electronics industry.