The Emergence of International Outsourcing Agents in China: A New Type of Player in International Supply Networks

DOIhttps://doi.org/10.1108/15587890780001278
Pages1-13
Published date01 September 2007
Date01 September 2007
AuthorZheng Liu,Yongjiang Shi
Journal of Asia Business Studies FALL 20071
INTrODuCTION
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
  
    
 
  

    

    

      


      
The Emergence of International Outsourcing Agents in China:
A New Type of Player in International Supply Networks
Zheng Liu
University of Cambridge, U.K.
Yongjiang Shi
University of Cambridge, U.K.
aBSTraCT
As China emerges as a centre of manufacturing of the world, more and more small and medium sized enterprises (SMEs) start
to outsource their production and related supply chain management in China. But it is very difficult to effectively manage the
international outsourcing and supply chain mainly because their limited size and resources. International outsourcing agents
emerge as a potential solution pursued by many western companies. Currently it has very limited information from both practical
and theoretical aspects to understand the agents and their characteristics. This paper, based on four case studies of agents in three
major industrial sectors in China, introduces business models and growth paths of the international manufacturing outsourcing
agents, and establishes a set of key performance indicators (KPIs) for evaluation. The paper seeks to help western SMEs and high-
tech startups recognize the Chinese maturing and an ideal system for implementation, and to provide theoretical insights about the
agents role and characteristics in international supply networks.
Keywords: Outsourcing, Agent, International Supply Network

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