Advanced Search
MyIDEAS: Login

International plant configuration strategies: a structured decision making approach and product level test

Contents:

Author Info

  • Ren Belderbos
  • Leo Sleuwaegen

    ()
    (Vlerick Leuven Gent Management School)

Abstract

We analyze the determinants of the decision to invest abroad and the choice of spatial configurations of overseas plants for 120 Japanese firms active in 36 well-defined electronic product markets. We find support for a structured internationalization decision model in which the decision to internationalize is taken at the product level after scanning for all possible profitable foreign plant configurations based on the locational advantages of different regions. In addition, strategic drivers related to the competitive position of the firms in the product market and its technology base have a critical impact on the choice between alternative international plant configurations. Regional configurations focused on Asia are chosen by firms with weaker competitiveness for products with established manufacturing technologies. Plant configurations focused on the US and the EU are pulled by restrictive trade policies and are chosen by technology intensive firms facing competitive threats in foreign markets. Global configurations are chosen by firms with a strong competitive position in the Japanese and world market for their core product businesses and are more common in case of strong oligopolistic rivalry between Japanese firms.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL: http://www.vlerick.be/en/2766-VLK/version/default/part/AttachmentData/data/vlgms-wp-2003-02.pdf
Download Restriction: no

Bibliographic Info

Paper provided by Vlerick Leuven Gent Management School in its series Vlerick Leuven Gent Management School Working Paper Series with number 2003-2.

as in new window
Length: 53 pages
Date of creation: 16 Jan 2003
Date of revision:
Handle: RePEc:vlg:vlgwps:2003-2

Contact details of provider:
Postal: Reep 1, 9000 Gent
Phone: +32 9 210 98 99
Fax: +32 9 210 97 00
Email:
Web page: http://www.vlerick.com
More information through EDIRC

Related research

Keywords: Foreign Direct Investment; Plant Location; Multinational Firms;

This paper has been announced in the following NEP Reports:

References

No references listed on IDEAS
You can help add them by filling out this form.

Citations

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:vlg:vlgwps:2003-2. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Isabelle Vandenbroere).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.