We embed a North-South trade model into an incomplete contracts setting where the production of heterogeneous firms can be geographically separated. When a Northern headquarter contracts with a Southern supplier instead of a Northern supplier, the presence of international incomplete contracts...

This study analyzes determinants of business relocation and identifies regional characteristics which attract relocating firms, using register data provided by Statistics Netherlands. Results indicate that the relocation decisions of firms are not only influenced by firm- and location-specific...

This article deals with the domestic location of German multinational firms which have affiliates in the Czech Republic. Due to the common border the Czech Republic represents an attractive target country for both vertical and horizontal direct investments. In the year 2009 the sum of direct and...

Using microdata, we analyse the determinants of firm relocation and conventional outsourcing decisions as a way to reduce employment. The results for a sample of 32 countries show the relevance of factors not considered previously in the literature. Firms that are below average in quality or...

We embed a North-South trade model into an incomplete contracts setting where the production of heterogeneous firms can be geographically separated. When a Northern headquarter contracts with a Southern supplier instead of a Northern supplier, the presence of international incomplete contracts...

This paper reviews and criticizes in depth the empirical literature on foreign entry mode choice providing a motivation to perform a robustness analysis. Through a review of the theoretical approaches behind each study, as well as by comparing the way theoretical constructs are operationalized,...

Using microdata, we analyse the determinants of firm relocation and outsourcing decisions and their effects on firms' employment decisions. The results for a sample of 32 countries show that both strategies have been more intense in the EU-15 countries than in the rest and that, in some cases,...

We embed a North-South trade model into an incomplete contracts setting where the production of heterogeneous firms can be geographically separated. When a Northern headquarter contracts with a Southern supplier instead of a Northern supplier, the presence of international incomplete contracts...

In this paper I investigate the relocation decision of manufacturing plants in the German economy. The relocation decision involves whether a plant moves its location from one region to another over a time period or whether it stays in the same region. To analyze the relocation of plants, I...

This paper analyses the impact of trade liberalization in a model where heterogeneous firms can freely offshore their production. Firms choose whether to produce, and if so whether to sell on the domestic market only or on the export market as well. Simultaneously, they also choose where to...