Showing 1 - 10 of 497
This paper documents the extent and characteristics of plants and firms in the US that are outside the manufacturing sector according to official government statistics but nonetheless are heavily involved in activities related to the production of manufactured goods. Using new data on...
Persistent link: https://www.econbiz.de/10011083862
manufacturers where IP rights are weaker, and a switch from integration to outsourcing over the product cycle. Empirical evidence on …
Persistent link: https://www.econbiz.de/10011084191
This paper investigates the determinants of vertical integration. We first derive a number of predictions regarding the relationship between technology intensity and vertical integration from a simple incomplete contracts model. Then, we investigate these predictions using plant-level data for...
Persistent link: https://www.econbiz.de/10005123944
We develop a model in which multinational investors decide about the modes of organization, the locations of production, and the markets to be served. Foreign investments are driven by market-seeking and cost-reducing motives. We further assume that investors face costs of control that vary...
Persistent link: https://www.econbiz.de/10005791570
I survey the influence of Grossman and Hart's (1986) seminal paper in the field of International Trade. I discuss the implementation of the theory in open-economy environments and its implications for the international organization of production and the structure of international trade flows. I...
Persistent link: https://www.econbiz.de/10009320400
We investigate the roles of productivity and the specificity of inputs for the international sourcing strategy of firms which are part of a multinational network. We present a framework in which firms decide to import from a foreign independent supplier or from their related party abroad...
Persistent link: https://www.econbiz.de/10009365648
There exist two approaches in the literature concerning the multinational firm's mode choice for foreign production between an owned subsidiary and a licensing contract. One approach considers environments where the firm is transferring primarily knowledge-based assets. An important assumption...
Persistent link: https://www.econbiz.de/10005504703
decisions of the firms, examine their intertemporal pricing behavior, their incentives to merge, as well as the welfare … capacity instalment cost, a merger that turns the duopoly into a monopoly is welfare improving. …
Persistent link: https://www.econbiz.de/10005661999
the presence of search friction and incomplete outsourcing contracts, we show that the ex-post bargaining power of … a tension between the static and dynamic effects of outsourcing. The reason is that firms make their organizational … choices weighting the higher searching and contracting costs of outsourcing against the higher entry and foregone …
Persistent link: https://www.econbiz.de/10005656287
A buyer seeks to procure a good characterized by its price and its quality from suppliers who have private information about their cost structure (fixed cost + marginal cost of providing quality). We solve for the optimal buying mechanism, i.e. the procedure that maximizes the buyer’s expected...
Persistent link: https://www.econbiz.de/10005123964