an intermediate component in-house or purchasing it from a domestic supplier. We model outsourcing as a bilateral …' incentive to outsource. Consumer gains from trade liberalisation are enhanced when it leads to less outsourcing. …

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 …

We show that international outsourcing may reduce welfare of the outsourcing country by deterring market-entry, thus … showing a new effect which is different from the employment and the quality effects creating negative impacts of outsourcing …. Entry deterrence under outsourcing reduces domestic welfare if both the profit extraction and cost saving from outsourcing …

In this paper I investigate, empirically, the outsourcing strategy by firms in French manufacturing industries. I … particularly focus on the effect of the market thickness and of firm heterogeneity on the outsourcing strategy. For this purpose, I … estimate a dynamic probit model where I link the decision to outsource to previous outsourcing behaviour. I am able to estimate …