Choosing between foreign investment and subcontracting: Strategies of Italian firms in Romania
AbstractVertical disintegration in most industries and the globalization of markets has led to significant changes in the pattern of international division of labour among manufacturing firms. At the same time increased competition from low cost producers, exchange rate constraints, the opening up of CEE countries have had huge consequences for the Italian industrial system. This paper deals with the Veneto footwear, furniture and refrigeraion industries and examines the effects of foreign direct investments and subcontracting in Romania. The reorganization of the division of labour, in the most dynamic suppliers induced a change in the “nature of subcontracting”, upgrading along the ladder of the value chain as more and more operations are offshored.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 29174.
Date of creation: 2011
Date of revision:
Foreign direct investment; International subcontracting;
Other versions of this item:
- Tattara, Giuseppe, 2010. "Choosing between foreign investment and subcontracting: Strategies of Italian firms in Romania," MPRA Paper 23787, University Library of Munich, Germany.
- F32 - International Economics - - International Finance - - - Current Account Adjustment; Short-term Capital Movements
- D82 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Asymmetric and Private Information; Mechanism Design
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-03-12 (All new papers)
- NEP-CSE-2011-03-12 (Economics of Strategic Management)
- NEP-EUR-2011-03-12 (Microeconomic European Issues)
- NEP-INT-2011-03-12 (International Trade)
- NEP-TRA-2011-03-12 (Transition Economics)
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.:
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