both crucial for the emergence of outsourcing. The supplier purposefully avoids industry pro.t maximization to enlarge its … profits share. Both consumer and total welfare benefit from the presence of an otherwise redundant supplier in the market. …

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. …

welfare implications of vertical licensing. …

distinguish between domestic and foreign sourcing, as well as between outsourcing and vertical integration. A firm's choice is … model. -- productivity ; outsourcing ; intra-firm trade ; foreign direct investment ; incomplete contracts ; firm-level data …

input supplier (vertical integration vs. outsourcing), as well as the location of intermediate input production (offshore vs … intensity, but favors outsourcing in industries of high sourcing intensity. Moreover, we find that productivity boosts …

international outsourcing and "unethical" production are linked through a novel unethical outsourcing incentive, for which we also … the supplier's country favor international outsourcing (as opposed to vertical FDI). We also provide a microfounded model …

Letters, 124: 122-126) show that in a vertically related market Cournot competition yields higher social welfare compared to … of input they purchase. We show that the welfare ranking may be reversed once we introduce a nonnegativity constraint on …

strategically linked via the incentive compatibility constraint. Importantly, trade costs affect cartel shipments and welfare not …