Comprehensive Review on Social and Environmental Practices in GVCs

Global value chains (GVCs) have become a key framework for understanding the complexities of international production divisions and sustainability outcomes. Despite their potential for enhancing sustainability, GVCs often present mixed economic, environmental, and social impacts due to the specialization and scale effects of offshoring and international trade. This paper systematically reviews the literature on sustainability in GVCs, focusing on the interplay between economic, environmental, and social outcomes. Drawing on a content analysis of over 74 articles published between 2010 and 2023, we identify key trends, theoretical frameworks, and gaps in the current body of knowledge. Our findings reveal that while GVCs can enhance sustainability and reduce social inequalities through improved technologies and practices, they also contribute to carbon leakage and the uneven distribution of social benefits. We propose a conceptual integrative model that incorporates these findings and offers directions for future research, particularly in addressing industry-specific sustainability challenges and the need for more equitable social and environmental outcomes in both emerging and advanced economies.