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mode of entry. One type of this mode is offshoring which makes easier the relocation of business activity from developed … economies to developing economies. The study of offshoring activities is the focus of this paper, with the data coming from a … multinational firms to be engaged in foreign direct investment via offshoring. …
Persistent link: https://www.econbiz.de/10011512752
Fragmentation of production into more and more complex supply chains is a prominent feature of globalisation. It implies that transaction costs as part of total costs of ownership carry a large weight in procurement decisions. An analysis of the various types of transaction costs is also...
Persistent link: https://www.econbiz.de/10010325237
We investigate the issue of offshoring in a model of two countries and one sector of increasing returns to scale. Our … model uncovers that in a setting of footloose capital, offshoring occurs and evolves in an inverted-U pattern when transport … costs decline. This result can explain China's offshoring soaring in the past decades as well as its recent decline. We also …
Persistent link: https://www.econbiz.de/10014169759
Global Value Chains (GVCs) started to play an increasing and key role in the global economy from the 1990s on. The market mechanism in GVCs supports industrialisation in the Global South and under certain conditions product and process upgrading. But GVCs do not lead to the catching-up of...
Persistent link: https://www.econbiz.de/10012061427
Multinational enterprises are often accused to have a preference for investing in countries in which the working populations' civil and political rights are largely disregarded. This paper presents an empirical investigation of the popular political repression boosts FDI hypothesis and arrives...
Persistent link: https://www.econbiz.de/10011397998
This paper studies the emergence of new countries as contributors to technology generation in the world economy and assesses the relationship between this and globalisation (through trade, inward FDI and international migration). It considers two measures of technology generation, viz. a...
Persistent link: https://www.econbiz.de/10003466743
Over the last few decades, advances in transportation and production technology, in conjunction with economic globalization and the emergence of multinational corporations, have consolidated fragmented production processes into long and complex supply chains across jurisdictions. While there are...
Persistent link: https://www.econbiz.de/10014348900
Supermarkets have spread extremely rapidly in developing countries after the take-off in the early to mid-1990s. Former analyses of supermarket diffusion have not adequately explained the sudden burst and then exponential diffusion of supermarkets in the late 1990s and early 2000s. We argue that...
Persistent link: https://www.econbiz.de/10012716046