Global sourcing and firm selection

Arbeitspapier

Which firms find it optimal to integrate their input suppliers into the firm boundaries of control (vertical integration)? Which firms choose to expand their sourcing activities across the national border (offshoring)? This letter provides novel evidence on these questions based on a Spanish firm-level data set. We find that firms selecting into strategies of vertical integration and of offshoring tend to have been more productive ex ante than firms choosing not to do so. This finding is in line with the recent heterogeneous-firm literature on input sourcing under incomplete contracts.

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• Language: Englisch

References and Relationships

• Bibliographic citation: Series: University of Tübingen Working Papers in Economics and Finance ; No. 63

Classification and Topics

• Classification: Wirtschaft ; Empirical Studies of Trade ; Multinational Firms; International Business ; Firm Organization and Market Structure ; Organization of Production
• Subject: vertical integration ; offshoring ; firm selection ; firm productivity

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Kohler, Wilhelm ; Smolka, Marcel
• Event: Veröffentlichung
• (who): University of Tübingen, Faculty of Economics and Social Sciences
• (where): Tübingen
• (when): 2013

Further information

• Handle: http://hdl.handle.net/10419/87701
• URN: urn:nbn:de:bsz:21-opus-71054