Industry 4.0, global value chains and international business
Open accessAbstract
Purpose This paper aims to provide an assessment of how the widespread adoption of new digital technologies (i.e. the Internet of things, big data and analytics, robotic systems and additive manufacturing) might affect the location and organisation of activities within global value chains (GVCs). Design/methodology/approach The approach in this paper is to review various sources about the potential adoption and impact of the new digital technologies (commonly known collectively as Industry 4.0), to contrast these technologies with existing technologies, and to consider how the new technologies might lead to new configurations involving suppliers, firms and customers. Findings The authors report that the new digital technologies have considerable potential to disrupt how and where activities are located and organised within GVCs), and who captures the value-added within those chains. They also report that Industry 4.0 is still in its infancy, but that its effects are already having an impact upon the nature of competition and corporate strategies in many industries. Social/implications In particular, the authors draw attention to the potential cyber-risks and implications for the privacy of individuals, and hence, the need for regulation. Originality/value This is the first published paper to consider the likely separate and joint impacts of the new digital technologies on the practice and theory of international business.
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Big Data Analytics allows companies to observe emerging patterns and possibilities in foreign markets without having to invest significant resources in local marketing subsidiaries.
“Specifically, companies will have the capability to observe emerging patterns and possibilities in foreign markets without having to invest significant resources in local marketing subsidiaries.”
From Digital Transformation in International Trade: Opportunities, Challenges, and Policy Implications (2025) · cites this paper as Strange & Zucchella, 2017
Cites
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Industry 4.0 and the Circular Economy: A Literature Review and Recommendations for Future Research
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International Business, digital technologies and sustainable development: Connecting the dots
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Structuring Reference Architectures for the Industrial Internet of Things
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Digital Transformation in International Trade: Opportunities, Challenges, and Policy Implications
Mirzaye, S., & Mohiuddin, M. (2025) · Journal of Risk and Financial Management · doi:10.3390/jrfm18080421 · Cited by 43 · see citing works
Dymora, P., & Paszkiewicz, A. (2020) · Applied Sciences · doi:10.3390/app10238521 · Cited by 18 · see citing works
He, Y., Wang, M., & Yuan, C. (2025) · Sustainability · doi:10.3390/su17010274 · Cited by 5 · see citing works
- Authors
- Strange, R., & Zucchella, A.
- Affiliations
- University of Sussex (GB)
- University of Pavia (IT)
- Venue
- Multinational Business Review
- Publisher
- Emerald
- Published
- 2017-09-18
- Volume
- 25
- Issue
- 3
- Pages
- 174-184
- ISSN
- 1525-383X (ISSN-L)
- OpenAlex
- W2620247453
- Cited by
- 631
- References
- 3
- Citations by year
- 2026: 43 · 2025: 66 · 2024: 84 · 2023: 89 · 2022: 92 · 2021: 93 · 2020: 88 · 2019: 51 · 2018: 24
- FWCI
- 88.62
- Type
- journal article
- Language
- en
- Open access
- green
- figshare.com
- Licence
- Locations
- Multinational Business Review (publishedVersion)
- Anglia Ruskin Research Online (Anglia Ruskin University) (submittedVersion)
- Sussex Research Online (University of Sussex) (submittedVersion)
- Figshare (submittedVersion, cc-by)
- Topics
- Social Sciences › Business, Management and Accounting › Strategy and Management › Global trade, sustainability, and social impact
- Physical Sciences › Engineering › Industrial and Manufacturing Engineering › Digital Transformation in Industry
- Social Sciences › Decision Sciences › Management Science and Operations Research › Impact of AI and Big Data on Business and Society
- Keywords
- Industry 4.0, global value chains, digital technologies, Internet of Things, robots, additive manufacturing, industrial location, international business, cybersecurity risks, privacy, regulation, business strategy, competition
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