Global Commodity Chain Model - Essay Example

Only on StudentShare

Extract of sample
Global Commodity Chain Model

This has given rise to the concept of commodity chain. Different firms with heterogeneous geographical distribution engaged in production activities of a commodity is said to constitute a global commodity chain. This is known as the Global Commodity Chain (GCC) model. (Dicken P., 2003)
According to Hopkins and Wallerstein a commodity chain is defined as "a network of labor and production processes whose end result is a finished commodity". The process of production of a commodity is of main importance in the commodity chain. The entire process can be thought of being comprised of a network of points where each point is related to its preceding one in terms of procuring raw material, production, distribution and consumption. These interorganaisational points are technically defined as 'nodes'. The geographical location of the nodes is generally different from one another. This explanation provides an innovative view for explaining the global inequalities in development. The nodes that are located at the periphery of the network are open to more competition than the nodes at the centre. As a result, central nodes are subject to more aggregate wealth than the peripheral nodes. This distribution is augmented by competitive pressures of innovation that flows from the centre to the periphery. ...Show more


Topic: Using an extended example critically examine whether the 'sector matrix' framework gives a better strategic understanding of product markets than the concepts of 'product' or 'commodity' chains.
The present scenario of globalization has brought an interesting change to the way production of commodities has usually taken place…
Author : sean34
Save Your Time for More Important Things
Let us write a custom essay on your topic
"Global Commodity Chain Model"
with a personal 20% discount.
Find out more

Related Essays

Global supply chain management
The organization has made significant effort towards addressing the distribution crisis that had threatened to trim its wings of expansion. This process has witnessed what may not only be termed as an address to a challenge, but also an overhaul to the delivery industry.
10 pages (2500 words) Assignment
Economic Effects of Terrorism
The economic effects of terrorism are undeniable altogether especially when put in context of the September 11 attacks. Our group composed of Amanda, Brenna, Evelyn, Kayla and Rob agreed to put down to paper on the economic effects of terrorism that America has felt.
3 pages (750 words) Essay
Global Supply Chain Management
This implies that every stage that characterizes the transfer of a commodity to the final consumer right from the producer is vital considering the long-term goal of bringing the commodity closer to the reach of the consumer. As such, in the absence of supply chains, the business world would be rendered inefficient.
10 pages (2500 words) Assignment
Supply Chain Assignment
The recent trends in SCM attest to the revolution SCM has undergone in the past decade and the rise in the number of organisations seeking to improve their performance and ensuring success (Robert, Ernest 2002). From a review of numerous literature relevant to study, there exists three types of supply chain.
20 pages (5000 words) Essay
Global Supply Chain Management
This led to a significant reputational and financial damage to the meat industry. The present report will give a detailed situational analysis of the meat adulteration scandal which took place in Europe and later migrated to other parts of the world. The report will throw a light on the origin of the horse meat scandal and its subsequent contamination to other countries.
10 pages (2500 words) Essay
Commodity Chain Analysis
This layout allows the all-wheel-drive to attain similar fuel consumption compared to a two-wheel-drive model. Comfort on vibration and acoustic are a standard feature normally found in the current luxury models. Finest traction is guaranteed at all times, together with the utmost directional constancy and perfect handling.
10 pages (2500 words) Case Study
Discussions, Findings, Recommendations, Conclusion
It is important to note and mention that it would become practically impossible to achieve high quality and standards of education if the tutors are not qualified to offer the same. In the same line of thought and reasoning, it would call on the qualifications of the
8 pages (2000 words) Assignment
Find out how much would it cost
to get a custom paper written by a pro under your requirements!
Win a special DISCOUNT!
Put in your e-mail and click the button with your lucky finger
Your email