Examining The Strengthening of Export Survival Through Participation in the Global Value Chain (Case Study: Dairy Industry)

Document Type : Original Article

Authors

1 Associate Prof., Department of Business Management, Faculty of Business Management, College Management, University of Tehran, Tehran, Iran

2 MSc. Student, Department of International Commerce, Faculty of Commerce and Business, School of Management, University of Tehran, Tehran, Iran

3 Assistant Professor, Department of International Commerce, Faculty of Commerce and Business, School of Management, University of Tehran, Tehran, Iran

10.22034/jiba.2026.70258.2392

Abstract

In recent years, globalization and the expansion of global value chains (GVCs) have fundamentally reshaped international trade by shifting countries’ roles from exporters of final goods to active participants in global production processes. Within this framework, export survival has emerged as a key indicator of sustainable export performance. Given the strategic importance of the dairy industry in Iran’s non-oil exports and challenges such as target-market instability, this study examines the effect of GVC participation on the export survival of Iranian dairy firms. It also analyzes the mediating roles of product quality, access to technology and capital, geographical diversification, and membership in trade agreements, as well as the moderating roles of product complexity, industry vertical integration, and product finality within the value chain. This applied study adopts a quantitative analytical approach and employs partial least squares structural equation modeling (PLS-SEM) to test the research hypotheses. Data were collected using a researcher-designed questionnaire developed from an extensive literature review and validated by field experts. The statistical population consists of Iranian dairy companies, with a sample of 12 active firms. Data were obtained from 96 managers and experts and analyzed using SmartPLS software. The results indicate that participation in global value chains has a positive and statistically significant effect on export survival. Mediating variables—including access to technology and capital, improvements in product quality, and geographical diversification—play significant roles in transmitting this effect. Membership in international trade agreements also acts as a significant mediating factor that strengthens the relationship between GVC participation and export survival. In contrast, product complexity, industry vertical integration, and product finality do not exhibit significant moderating effects.The study concludes that engagement in global value chains—particularly through quality upgrading, improved access to advanced technologies, and expansion of export markets—plays a crucial role in sustaining exports in Iran’s dairy industry. The absence of significant moderating effects from product complexity and vertical integration suggests a need to reassess and further develop existing supply chain structures and technological capabilities. Accordingly, export strategies should prioritize deeper GVC participation, technological development, and quality upgrading to enhance Iran’s international competitiveness

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References

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Journal of International Business Administration
Volume 8, Issue 3
December 2025
Pages 217-234

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History

  • Receive Date: 16 November 2025
  • Revise Date: 01 January 2026
  • Accept Date: 05 January 2026

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