Arbeitspapier

Blessing or curse? Domestic plants' survival and employment prospects after foreign acquisition

This Paper investigates whether the acquisition of a domestic establishment by a foreign owner has any effects, positive or negative, on the survival prospects and employment growth of that plant. The empirical analysis uses data from the Annual Respondents Database (ARD) for the UK electronics industry for the period 1980–93. Estimating a standard hazard model including a dummy variable for the incidence of acquisition yields the result that foreign take-over reduces the lifetime of the acquired plant. Estimations of the determinants of employment growth in domestic plants provide some evidence that the incidence of take-over reduces employment growth, in particular for unskilled labour. Both survival and employment growth estimations do not appear to be subject to endogeneity problems.

Sprache
Englisch

Erschienen in
Series: CEPR Discussion Paper Series ; No. 2994

Klassifikation
Wirtschaft
Duration Analysis; Optimal Timing Strategies
Multinational Firms; International Business
Microelectronics; Computers; Communications Equipment
Thema
Direktinvestition
Elektronikindustrie
Beschäftigungseffekt
Großbritannien

Ereignis
Geistige Schöpfung
(wer)
Girma, Sourafel
Görg, Holger
Ereignis
Veröffentlichung
(wer)
Centre for Economic Policy Research (CEPR)
(wo)
London
(wann)
2001

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Girma, Sourafel
  • Görg, Holger
  • Centre for Economic Policy Research (CEPR)

Entstanden

  • 2001

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