Showing 1 - 8 of 8
We develop a theory of a firm in an incomplete contracts environment which decides on the complexity, the organization, and the global scale of its production process. Specifically, the firm decides i) how many intermediate inputs are simultaneously combined to a final product, ii) if the...
Persistent link: https://www.econbiz.de/10010213481
firms that are consistent with stylized facts from the recent empirical literature. -- multinational firms ; outsourcing … ; intra-firm trade ; offshoring ; vertical FDI …
Persistent link: https://www.econbiz.de/10009273125
's organizational structure, and we analyze which sourcing mode (outsourcing or vertical integration) is chosen for which of the …
Persistent link: https://www.econbiz.de/10010345275
multiple complementary inputs and the entry of a supplier into the final good market gives rise to mutual outsourcing of inputs … between the encroaching supplier and the incumbent. We show that, post encroachment, mutual outsourcing between the competing … mutual outsourcing. Our analysis yields novel managerial, empirical and policy implications. …
Persistent link: https://www.econbiz.de/10014306725
Headquarters and their specialized component suppliers have a vital interest in establishing long-term collaborations. When formal contracts are not enforceable, such efficiency-enhancing cooperations can be established via informal agreements, but relational contracts have been largely ignored...
Persistent link: https://www.econbiz.de/10011308523
organizational decision is driven by two countervailing effects: the ownership rights effect favors outsourcing, while the "indirect … outsourcing of the "less important" supplier is chosen in equilibrium. We also consider an open economy setup where the producer … decides whether to offshore inputs. -- multinational firms ; outsourcing ; intra-firm trade ; property rights approach …
Persistent link: https://www.econbiz.de/10009540106
In this paper, we consider a dynamic search-and-matching problem of a firm with its intermediate input supplier. In our model, a headquarter currently matched with a supplier, has an interest to find and collaborate with a more efficient partner. However, supplier switching through search and...
Persistent link: https://www.econbiz.de/10011754216
In this paper, we consider a dynamic search-and-matching problem of a firm with its intermediate input supplier. In our model, a headquarter currently matched with a supplier, has an interest to find and collaborate with a more efficient partner. However, supplier switching through search and...
Persistent link: https://www.econbiz.de/10011741420