Analysis Of Gereffi's Global Commodity Chains

As we all know, the world has been much closer than before with the technology development of transport and the widely adoption of the internet. The market in the world is becoming more and more competitive thus make people can buy products from different countries and compared them with each other. The industry in the current world cannot fully understand their product market as there are always got new products and advanced technology used into those products to make the market become much more intense than before. In this complicated situation, the industry company need learn the 3 tools to analysis their markets in case to attract more customers and make more profits. The three tools are Porter’s Value Chain introduced in 1985, Gereffi’s Global Commodity Chain and Sector
(Hopkins & Wallerstein, 1966) A global commodity chain contains a series of inside company networks surrounded by one product or commodity, which also has the link with customers, firms in the economy of the whole world. In current world firms, especially the multinational company focus on the business not only inside their own country but also in the big market of other countries. Thus Global Commodity Chain introduced by Gereffi during the middle of 1990s provide them the concept to produce and market their products all over the world. It mainly focus on the analysis of the effect of the globalization in the commodity chains. Ford Company has suppliers from all over the world, according to its 2014 summary reports, Ford has trained 231 Ford suppliers in Mexico, Turkey, Brazil and South Africa through joint industry trainings, thus bringing the total of trained supplier companies to almost 2,100 globally. We can see that Ford is trying to build more and sustainable relationship with their suppliers which is good for them to add values to their cars and earn more