| This study attempts to shed light into the question about the extent to which the Vietnamese state plays a developmental role in a transitional economy through the case study of the Vietnamese textile and garment industries (VTGI). This study delineates the dilemmas that Vietnam has been facing in the course of economic transformation in a changing world-economy. In so doing, it explores interesting insights into how an integrative framework can be applied to a Socialist country such as Vietnam, and how the process of economic globalization affects the developmental role of the state.;This study is organized into three parts. Part I reviews the literature on contending perspectives on the economic success of the East Asian NICs, with a focus on the developmental role of the state in the textile and garment industries. This study proposes an integrative framework which transcends the "state versus markets" debates, and analyzes the interactions between state policies and (domestic and foreign) firms in the case of VTGI. It introduces important concepts such as state autonomy, state capacity, triangle manufacturing, subcontracting, integration, backward and forward linkages, flexibility, and reciprocity. It uses the Cobb-Douglas production function and econometrics method to explore the effects of the state policies as well as other factors on the performance of the sampled firms in the VTGI.;Part II analyzes the evolution of the Vietnamese textile and garment industries from a command economy to a market-oriented system, and how the state responds to a combination of internal and external factors. It presents interesting findings about the significance of domestic integration and its relationship with value-added, as well as identifying emerging issues that have significant implications for future policy changes.;Part III embarks on an assessment of the Vietnamese state with some implications for its autonomy and capacity. It also presents some policy recommendations to address the constraints and opportunities arising from a more open economy, as well as suggesting further research. |
