Evaluation of Strategies for Aeronautical Value Chains and the Implications to the State of Ceará, Brazil

Abstract

Several regions of the world seek to participate in the aeronautical value chain, aiming at employment quality and absorption of technologies. This upgrading movement is studied in industries usually employing concepts and methodologies developed for companies or isolated agglomerations. However, no comparative studies of aeronautical chains’ strategies in emerging countries have been identified. This paper evaluates strategies adopted by segments of the aeronautical value chain and, complementarily, presents the implications for the Brazilian state of Ceará. To achieve this objective, the Value Chain Structure-Conduct-Performance (SCP) framework, recently developed for evaluating value chain strategies is applied, by means of a qualitative comparative analysis of segments located in selected territories outside Europe and the United States. Celebration of international agreements and improvements in infrastructure are identified as structural elements of influence in the determination of strategies aimed at creating jobs in the chain. The aeronautical value chain in the state of Ceará has an attractive structure to services. The study also suggests that the use of Value Chain SCP framework can contribute to the analysis of technology-intensive value chains and, more specifically, provide recommendations on strategies for segments of the aeronautical value chain located in emerging countries.