Arbeitspapier

Production Outsourcing, Organizational Governance and Firm’s Technological Performance: Evidence from Italy

Aim of this paper is to study whether and how the firm’s decision to outsource production activities affects its technological performance. In particular, we look at how the alignment between the firm’s governance strategy and the underlying attributes of the transactions affects the capacity of the firm to introduce new products and processes. Using microeconomic data on a repeated cross-section of Italian manufacturing firms for the period 1998-2003, we develop a two-stage approach: first, we estimate the determinants of the firm’s organizational governance (production outsourcing); second, we incorporate a measure of governance misalignment into a technological performance relation. We find (i) that firms not aligned with the optimal organizational governance perform less well in terms of process innovation than more aligned competitors, but (ii) that misalignment has a positive effect on product innovation. However, this counterintuitive result is strongly characterized by non-linear effects that reverse the latter correlation for high values of governance misfit.

Sprache
Englisch

Erschienen in
Series: Nota di Lavoro ; No. 58.2007

Klassifikation
Wirtschaft
Organization of Production
Contracting Out; Joint Ventures; Technology Licensing
Firm Performance: Size, Diversification, and Scope
Innovation and Invention: Processes and Incentives
Thema
Production Outsourcing
Organizational Governance
Misalignment
Technological Performance
Non-Linearity
Outsourcing
Technischer Fortschritt
Innovation
Verarbeitendes Gewerbe
Italien

Ereignis
Geistige Schöpfung
(wer)
Antonietti, Roberto
Cainelli, Giulio
Ereignis
Veröffentlichung
(wer)
Fondazione Eni Enrico Mattei (FEEM)
(wo)
Milano
(wann)
2007

Handle
Letzte Aktualisierung
10.03.2025, 11:41 MEZ

Datenpartner

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Objekttyp

  • Arbeitspapier

Beteiligte

  • Antonietti, Roberto
  • Cainelli, Giulio
  • Fondazione Eni Enrico Mattei (FEEM)

Entstanden

  • 2007

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