Journal of Quantitative & Technological Economics, 2017, Issue 6

Authors: Lv Yue, Liu Zhiyang, Lv Yunlong

Abstract: Research objective: To investigate the duration and determining factors of Chinese enterprises' participation in the global value chain. Research method: Using panel data of Chinese enterprises from 2000 to 2007, a survival analysis model was used for the study. Research has found that the number of Chinese companies entering and exiting the global value chain(GVC) is generally on the rise, and the overall duration of companies' embedding in GVC is relatively short with an average of 1827 years. As the duration increases, the risk of survival for companies gradually decreases. Among them, enterprises in the eastern region, processing and trade enterprises, private enterprises, and foreign-funded enterprises have a higher survival rate and lower risk rate in GVC, and have a stronger ability to continue embedding in GVC. Enterprises exporting to developed countries, processing and trade enterprises, private enterprises foreign-finded enterprises, and enterprises with good research and development capabilities, high total factor productivity, large scale, less financing constraints, and younger age have a lower probability of exiting GVC and a longer duration of embedding into GVC. Research innovation: Construct an indicator of the degree of value chain embedding at the enterprise level, and use survival analysis to innovatively examine the entry and exit behavior of Chinese enterprises in the global value chain. Research value: It has important theoretical significance for analyzing the benefits of trade openness and seeking a sustainable business model for "Made in China" in the global value chain.

Keywords: global value chain; Enterprise; Survival model; Enter and exit; Duration: