Network Products

Subject: Economy

Context:

Network products have potential to generate jobs in post COVID economy of India

Concept:

• The Economic Survey 2019-20 promoted this by suggesting “assembly in India for the world”, especially in “networked products”, in a bid to create four crore well-paid jobs by 2025 and eight crore jobs by 2030.
• Network product is one where production processes are globally fragmented and controlled by leading Multi-National Enterprises (MNEs) within their “producer driven” global production networks.
• Examples of network products include computers, electronic and electrical equipment, telecommunication equipment, road vehicles etc.
• The Survey notes that China’s remarkable export performance vis-a-vis India is driven primarily by deliberate specialization at large scale in labour–intensive activities, especially “network product” where production occurs across Global Value Chains (GVCs) operated by multi-national corporations.