Recent research has led to the empirical regularity that rm growth rate distributionsare heavy tailed. This nding implies that a few rms experience spectaculargrowth rates and decline, but that most rms have marginal growth rates. The literatureon high growth rms shows that high growth rms are...

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 model with nancial imperfections andincomplete contracts. Then, we investigate these...

We present a dynamic model where the probability of outsourcing production is increasing inthe firm’s expectation of technological change. As the pace of innovations in productiontechnologies increases, the less time the firm has to amortize the sunk costs associated withpurchasing and...

Ein großer Anteil der multinational tätigen Großunternehmen ist in technologieintensiven, dynamischen Branchen tätig und verfügt über ein breites Spektrum an technologischen Ressourcen. In den vergangenen Dekaden hat ein Großteil dieser Unternehmen zunehmend Wertschöpfungsleistungen an...

Recent research argues that the management of intangible assets is a key to firms’ longtermsuccess and requires specialized management techniques and a distinctive set ofskills (Rivette & Kline 2000, Standfield 2002, Granstrand 1999). It is further arguedthat the active management of firms’...

A large theoretical literature focuses on the question: What determines firms’ boundaries?Recently, Garicano and Santos and Holmstrom and Milgrom have proposed theories in whichfirms’ boundaries reflect the division of labor across individuals. This paper discussesstrategies for generating...

We study the effects of policy reforms in the South on the decisions of intrafirm and arm’slength production transfers by Northern firms. We show theoretically that relaxing ownershipcontrols and improving contract enforcement can induce multinational companies to expandproduct varieties to...

We apply the property rights theory of Grossman-Hart-Moore in the musicindustry and study the optimal allocation of copyright between the artistswho create music and the labels who promote and distribute it. Digital tech-nology opens up a role for new intermediaries. We …nd that entry of...

The evaluation of consulting services is a widely, but controversially discussed issue. While there is obviously an increasing need for appropriate evaluation, there are critics questioning the applicability of evaluation methods as well as the motivation to assess. We provide a framework that...

This paper examines the determinants of intra-firm trade in U.S. imports using detailed country-productdata. We create a new measure of product contractibility based on the degree of intermediation in internationaltrade for the product. We find important roles for the interaction of country and...