Editing Value chain (section)

=== Cross border / cross region value chains ===
Often multinational enterprises (MNEs) developed global value chains, investing abroad and establishing affiliates that provided critical support to remaining activities at home.  To enhance efficiency and to optimize profits, multinational enterprises locate "research, development, design, assembly, production of parts, marketing and branding" activities in different countries around the globe. MNEs [[Offshoring|offshore]] labour-intensive activities to [[China]] and [[Mexico]], for example, where the cost of labor is the lowest {{harv|Gurría|2012}}.<ref name="OECD5nov2012"/> The emergence of global value chains (GVCs) in the late 1990s provided a catalyst for accelerated change in the landscape of international investment and trade, with major, far-reaching consequences on governments as well as enterprises.{{harv|Gurría|2012}}<ref name="OECD5nov2012" />