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I develop a theoretical model of firms’sourcing decisions along the productivity dimension as in Antrás and Helpman (2004), while also incorporat- ing task trade as in Grossman and Rossi-Hansberg (2008). The combination of these two effects permits a framework for sourcing strategies along...
Persistent link: https://www.econbiz.de/10009358943
We study ex post outsourcing of production in an imperfectly discriminating contest, interpreted here as a research … tournament or a procurement contest for being awarded some production contract. We find that the possibility of outsourcing …, outsourcing reduces the procurement costs of inducing a given level of effort if the contest organizer can collect entry fees …
Persistent link: https://www.econbiz.de/10008918560
Outsourcing is one of the top priorities on the strategic agenda of Original Equipment Manufacturers [OEMs] in many … industries. The decision of outsourcing an activity as opposed to doing it in-house and the development of a part or parts system … specifications might play in outsourcing decisions. Based on how the specification is generated and on the nature of the data it …
Persistent link: https://www.econbiz.de/10008796072