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Abstract The purpose of this study is to examine the effects of government subsidies and private research and development (R&D) on global value chains position (GVCP) and the moderating role of task complexity in China. It utilizes regional data from official Chinese statistics and the Trade in Value Added 2018 database from the period of 2005–2016. The results indicate that different sources of R&D funds have different effects on GVCP. In particular, government subsidies promote GVCP, while private R&D impedes GVCP. Furthermore, the results indicate that task complexity positively moderates the relationship between private R&D and GVCP, and it negatively moderates the relationship between government subsidies and GVCP. Therefore, this study highlights the importance of task complexity for regional enterprises seeking to enhance their GVCP and provides policymakers with new insights into their subsidy policies.
Furong Qian (Tue,) studied this question.