Global production networks of computer industry and its development in mainland China

The development of globalization and advancement of production technology further lead to the transformation of social production organization. New international division of labor has penetrated into the inner layer of products, and the global value chain and the global production networks have been brought into multidisciplinary research. The new theories can better explain the new changes of production organization in modern world. Based on introducing the concepts and remarks of global production networks, this paper firstly discusses the general organization of global production networks of computer industry. Secondly, according to two indexes of value increment and profitability, the paper proposes two kinds of smiling curve and takes the GPN framework to explain it, including value analysis and its spatial competition, corporation organization and power distribution. Thirdly, the paper studies the smiling curve of Chinese computer industry, and holds discussions on value and its spatial competition, and then discusses embeddness of Chinese computer industry to global production networks.