International industry migration and firm characteristics: some evidence from the analysis of firm data
AbstractThis article examines firm characteristics associated with the probability of relocating part of the activity in a foreign country. Using manufacturing firms’ micro data for the 1999-2005 period, we find evidence that cost-cutting objectives are the main determinants for offshoring production, that firms with lower profits are more likely to undertake in-house offshoring, and that imports from low-wage countries increase the likelihood that part of the activity will be relocated. We also find that most offshoring firms are foreign – nearly 76% of the total.
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Bibliographic InfoPaper provided by Institut d'Economia de Barcelona (IEB) in its series Working Papers with number 2010/20.
Length: 33 pages
Date of creation: 2010
Date of revision:
Offshoring; offshoring determinants; manufacturing firms; firm micro data;
Find related papers by JEL classification:
- L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production
- F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
- D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Karsten Bjerring Olsen, 2006. "Productivity Impacts of Offshoring and Outsourcing: A Review," OECD Science, Technology and Industry Working Papers 2006/1, OECD Publishing.
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