Article
Producing goods and services to meet social needs remains fundamental even as socio-economic crises continue to reshape organizational structures, institutional responses, and the overall production system. Global production has progressively highlighted its fragmented side within the Global Value Chains (GVCs). This paper introduces a Global Sectorial Framework designed to be a decision tool to enhance the identification, allocation, and governance of social investments across geographically dispersed activities. Although social investments have risen, the absence of a unified framework and an integrated digital system that integrates value chains and social investments continues to constrain policy coherence and informed decision-making. The research study introduces a Global Sectorial Framework to improve social investment effectiveness through a digital system and an identificatory labelling method. By aligning national priorities with commodity and sector-based value chains, the framework stands on three main pillars: (i) identification of value chains and stakeholders, (ii) Allocation of resources according to national priorities and sectoral flows, and (iii) governance through accountability. These three pillars are formalized into composite indices that aggregate into a social investment value effectiveness (SIVE) index. This study advances an illustrative application to space economy demonstrating the framework capacity to gauge the potential for socio-economic returns across high-value sectors, such as aerospace, energy, critical infrastructure, and advanced manufacturing. By enabling alignment between social investments and global networks, this research contributes to a more resilient, inclusive, and effective economic system.
Scroll to read the preview. Download for the complete document.
Antras, P., Gortari, A. (2020). On the Geography of Global Value Chains. Econometrica, Vol. 88, No.4, 1553-1598.
Baffo, I., Leonardi. M., Alberti, V., Petrillo, A. (2024). Optimizing public investments: A Sustainable Economic, Environmental, and Social Investment Multi-criteria Decision Model. Regional Science Policy & Practice.
Bazaz, A., Ghoge, K., Krishnaswamy, J., Revi, A., (2024). Water in a Changing Climate: Navigating Risks and Pathways to a More Resilient Future Bangalore, India. The Indian Institute for Human Settlements and the Global Commission for the Economics of Water. http://doi.org/10.24943/9788195847358
Clarkson, M. (1995). A Stakeholder Framework for Analyzing and Evaluating Corporate Social Performance.
Comune, A., & Engel, T. (2026). The oxford Handbook of the New Space Economy: Supply Chain Management in the New Space Economy. Oxford Handbooks.
Cnes. (2026). Systèmes productifs. https://cnes.fr/geoimage/systemes-productifs.
De la Porte, C., & Palier, B. (2022). The Politics of European Union’s Social investment initiatives: The World Politics of Social Investment. Sciences Po.
DGFiP. (2024). DGFiP Analyses. Dons et mécénat de 2011 à 2021. https://www.impots.gouv.fr/dgfip-analyses-dons-et-mecenat-de-2011-2021
Donaldson, T., & Preston, L., (1995). The Stakeholder Theory of the Corporation: Concepts, Evidence, and Implications. The Academic Management Review, Vol.20, No.1.https://doi.org/10.2307/258887
Dowling, E. (2016). In the Wake of Austerity: Social Impact Bonds and the Financialization of the Welfare State in Britain, 22 NEW POLITICAL ECON. 294, 297−98 (2016), http://dx.doi.org/10.1080/13563467.2017.1232709
Eden, C., Ackermann.F. (1998). Making strategy: The Journey of strategic Management. Sage publications. https://doi.org/10.4135/9781446217153
Edmiston, D., & Nicholls, A. (2017). Social Impact Bonds: The Role of Private Capital in Outcome-based Commissioning. Cambridge University Press.
Eriksen, S., et al., (2021). Adaptation interventions and their effect on vulnerability in developing countries: help, hinderance or irrelevance? https://doi.org/10.1016/j.worlddev.2020.105383
European Central Bank. (2017). Financial integration in Europe.
European Commission. (2021). Directorate General for Research and Innovation. Industry 5.0: Towards sustainable, Human centric and resilient European industry.
European Commission. (2023). Supply Chain analysis and material demand forecast in strategic technologies and sectors in the EU.
European Commission. (2021). Building an economy that works for people: an action plan for the social economy. https://doi.org/10.2767/12083.
European Pillar of Social Rights. (2017)
European Social Taxonomy Report. (2022). Platform on sustainable finance.
Eurostat. (2023). Developing a space economy thematic account for Europe.
Fabe, A. et al., (2009). Value Chain Analysis Methodologies in the Context of Environment and Trade Research. Discussion Paper No. 429.
Freeman, E. (1988). A stakeholder theory of the modern corporation.
Freeman, E et al., (2010). Stakeholder theory: The State of the art.
Gereffi.G. (2014). Global value chains in post-Washington Consensus world. Review of International Political Economy.
Gereffi.G., and Korzeniewicz. M. (1994). Commodity Chains and Global Capitalism
Gereffi.G., Humphrey.J., and Sturgeon.T. (2005). The Governance of Global value chains. Review of International Political Economy. https://doi.org/10.1080/096922905000049805
Hopkins, T., and Wallerstein, I. (1996). The age of transition: Trajectory of the World System, 1945-2025.
International Labor Office. (2024). World Social Protection Report 2024-26. Universal social protection for climate action and a just transition.
Joy, M., & Shields, J. (2013). Social Impact Bonds: The Next Phase or Third Sector Marketization? Canadian Journal of Nonprofit and Social Economy Research.
Kirby, A. (2021). Analyzing climate change adaptation policies in the context of the local state. Environmental Science & Policy. https://doi.org/10.1016/j.envsci.2021.05.013
Markusen, J., & Venables, A. (1996). Multinational Production Skilled labor, and real wages. National Bureau of Economic Research.
Mazzucato, M. (2018). The Value of Everything : Making and Taking in the Global Economy.
Mchugh, M., et al., (2013). Social impact bonds: a wolf in sheep’s clothing? Journal of Poverty and Social Justice, 21,3, 247-257.
Megginson, W., & Munteanu, A. (2026). The financial economics of spaceflight. https://ssrn.com/abstract=4901992 or http://dx.doi.org/10.2139/ssrn.4901992
Mundell, R. (1957). International Trade and Factor Mobility. The American Economic Review, Vol. 47, No.3, 321-335.
Nalau, J. et al., (2015). Is adaptation a local responsibility. Environnemental Science & Policy. http://dx.doi.org/10.1016/j.envsci.2014.12.011
Naveretti, G et al., (2020). Multinational firms in the world economy. Princeton University Press.
Newman,R & Noy I. (2023). The global costs of extreme weather are attributable to climate change. Nat Commun. 2023 Sep 29;14(1):6103. doi: 10.1038/s41467-023-41888-1. PMID: 37775690; PMCID: PMC10541421.
Nutt, P.C., & Backoff, R.W. (1992). Strategic management of public and third sector organizations.
OECD. (2020). Taxation and Philanthropy. Policy Brief. Université de Genève.
Pelling, M., et al., (2024). Normative future visioning for city resilience and development. Climate and Development. Vol.16, NO. 4, 335-348. https://doi.org/10.1080/17565529.2023.2223564
Olazabel, M., et al., (2024). What is limiting how we imagine climate change adaptation. Environmental Sustainability. https://doi.org/10.1016/j.cosust.2024.101476
Porter, M. (1985). Competitive advantage. Creating and sustaining superior performance.
Ricardo, D. (2004). On the Principles of Political Economy and Taxation. The works and correspondence of David Ricardo.
Sawik, B. (2023). Space Mission Risk, Sustainability and Supply Chain: Review, Multi-Objective Optimization Model and Practical Approach Sustainability
Space Foundation. (2025). https://www.spacefoundation.org/2025/07/22/the-space-report-2025-q2/
Smith, A. (1776). The Wealth of Nations
Sturgeon, T. (2012). Global Value Chains and Economic Globalization: Towards a New Measurement Framework. Industrial Performance Center. Massachusetts Institute of Technology.
US Bureau of Statistics, 2020, National Income and Product Accounts, Table 1.3.5 Gross Value Added by Sector. Available at: https://apps.bea.gov/iTable/iTable.cfm?reqid=19&step=2#reqid=19&step=2&isuri=1&1921, Accessed 9 November 2020.
United Nations. (2026). World Social Report: A New Policy Consensus to Accelerate Social Progress.
United Nations. (1992). United Nations Framework Convention on Climate Change.
World Bank. (1991). Subject Files of the Director, Policy and Review Department (PRDDR). Records of the Office of the Vice President: Defining Governance.
World Bank. (2022). Determinants of Global Value Chain Participation Cross-Country Evidence. The world Bank Economic Review. http://doi.org10.1093/wber/lhab017
Wulfert, T., Woroch, R., and Gero, S. (2024). Follow the flow: An exploratory multi-case study of value creation in e-commerce ecosystems. https://doi.org/10.1016/j.im.2024.104035.
Zitelmann, R. (2025). Exploring the space economy. The present and future of capitalism beyond our planet. IEA Discussion Paper No.138.
Metrics are updated in real time as the article is accessed and downloaded.
Comments
Leave a Comment