Characteristics of Producer-Driven and Buyer-Driven Global Commodity Chains

	Producer-Driven Commodity Chains	Buyer-Driven Commodity Chains
Drivers of Global Commodity Chains	Industrial Capital	Commercial Capital
Core Competencies	Research & Development; Production	Design; Marketing
Barriers to Entry	Economies of scale	Economies of scope
Economic Sectors	Consumer Durables; Intermediate Goods; Capital Goods	Consumer Nondurables
Typical Industries	Automobiles; Computers; Aircraft	Apparel; Footwear; Toys
Ownership of Manufacturing Firms	Transnational Firms	Local Firms, predominantly in developing countries
Main Network Links	Investment-based	Trade-based
Predominant Network Structure	Vertical	Horizontal

Source: adapted from G. Gereffi (1999) A Commodity Chains Framework for Analyzing Global Industries, www.yale.edu/ccr/gereffi.doc

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