2009Economic management journalRequires access

The Deepening Disassembly of Value Chain,Outsourcing Network and Core Competency——a Study of Pharmaceutical Industry

Yang Dan-hui

Open publisher page 1 citations

Abstract

As the result of globalization and the development of knowledge economy,the RD activities is becoming more dispersed and the global value chain(GVC) is keeping deepenly disassembled.This paper makes an analysis on the relationship between outsourcing network and the core competency of an enterprise by a study of the pharmaceutical industry.The conclusion is that the characteristics and status of some parts of GVC changes along with the process of globalization and knowledge evolvement of pharmaceutical industry.Not only the conformation and governance of the outsourcing network has become one of important means for the giant pharmaceuticals to cultivate their core competency,the outsourcing network itself has turned into the main component of core competency.

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What this paper is about

As the result of globalization and the development of knowledge economy,the RD activities is becoming more dispersed and the global value chain(GVC) is keeping deepenly disassembled.This paper makes an analysis on the relationship between outsourcing network and the core competency of an enterprise by a study of the pharmaceutical industry.The conclusion is that the characteristics and status of some parts of GVC changes along with the process of globalization and knowledge evolvement of pharmaceutical industry.Not only the conformation and governance of the outsourcing network has become one of important means for the giant pharmaceuticals to cultivate their core competency,the outsourcing network itself has turned into the main component of core competency.

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Available abstract

As the result of globalization and the development of knowledge economy,the RD activities is becoming more dispersed and the global value chain(GVC) is keeping deepenly disassembled.This paper makes an analysis on the relationship between outsourcing network and the core competency of an enterprise by a study of the pharmaceutical industry.The conclusion is that the characteristics and status of some parts of GVC changes along with the process of globalization and knowledge evolvement of pharmaceutical industry.Not only the conformation and governance of the outsourcing network has become one of important means for the giant pharmaceuticals to cultivate their core competency,the outsourcing network itself has turned into the main component of core competency.

Key concepts: Outsourcing, Globalization, Business, Global value chain, Core competency, Industrial organization, Core (optical fiber), Value (mathematics)

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