论文部分内容阅读
We develop a model of subcontractor upgrading in which latecomers gap with the frst movers in brand management separates the subcontractors from the brand vendors.By considering growth opportunities through either up-grading subcontracting technology or going further into own-brand manufacturing strategy, we develop an expansion path of subcontractor firms in which the maturity of the good governs the extent to which upgrading can be built up.We show that incrementally subcontracting upgrading is adopted frst, but eventually hit a plateau.When the good becomes sufficiently standardized, the subcontractor firm has already exhausted any possibilities of sub-contracting upgrading, thus encouraging going further into own-brand manufacturing strategy.Our model also demonstrates that while subcontracting relationships could not naturally lead to doing branding, it could be useful for subcontractor firms in facilitating upgrading into OBM players.