IBS Lunchtime Research Seminar - Green Global Value Chains for Sustainable Regional Development

You are cordially invited to attend an International Business and Strategy Departmental Research Meeting, during which there will be a presentation by Oliver Harman, Cities Economist, London School of Economics and Political Science. A reminder that attendance for IBS (full time, research oriented) staff and full-time students is compulsory, and where possible, must be in person. Individuals unable to attend in person, due to legitimate reasons will be provided a Teams link on request. Non-IBS staff are welcome to attend, but must register prior to the event. If you have not received the email invite please email Angie Clark

Please join us in Room 108, Henley Business School, if you would like to attend, please register using the link below:

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Please make sure you let me know in advance if you intend to attend in person so that the correct amount of catering is booked.

Date: Wednesday 28th February 2024, HBS Room 108

Time: 13.00 - 14.15pm

Abstract:

This paper explores Green Global Value Chains (GGVCs)---an environmental evolution of GVCs---emphasising their role in sustainable regional development. We identify a significant policy gap at the regional level in the intention to harness the green transition for development. We also argue that GGVCs offer a viable pathway for sustainable development accessible to all regions, irrespective of their developmental status.

The emergence of GGVCs represents a critical intersection of traditional GVCs with environmental sustainability. Despite their potential for socio-economic growth, GGVCs remain underutilised in regional policies. Leveraging PATSTAT and RIS-3 data from 2014-2020 we analyse two common strategies for sustainable development: green technologies and green industries. Both approaches have inherent limitations—green technologies are geographically concentrated and capital-intensive, while green industries require significant time and resources for development.

Our response is a novel approach focusing on greening products and services, especially intermediate goods, enabling rapid regional benefit of the green transition. This involves environmental upgrading in GGVCs, considering sustainability throughout the entire value chain. We propose a new green 'smile curve' model to illustrate the potential value enhancement across all stages of the value chain through environmental upgrading. This response is underpinned by new Green-FDI data analysis at the European regional level. To address the regional policy gap, we introduce a 'green public policy matrix', categorising policies based on their place-based, or place-neutral focus as well as GVC orientation. We advocate for policies that are both place-based and GVC-oriented, and show successful cases of such policy in action. These policies can fill the aforementioned gap, and enable effective building, embedding, and reshaping of GGVCs---being accessible and beneficial to all regions