Firm Interdependence In Foreign Production: Leading UK Firms in 1986 and 1993
This Paper estimates econometric models explaining the foreign production of leading UK firms in 1986 and 1993. The principle questions addressed are: (i) what effect does one UK firm’s foreign operations have on the foreign operations of another UK firm?; (ii) what effects do the UK operations of a foreign firm have on the foreign operations of UK firms? I employ a dataset describing the manufacturing production of leading UK firms disaggregated by firm, industry and geographical region. This is used alongside data on the UK production of leading foreign firms, disaggregated by industry and region of origin. Controlling for industry- and country-specific factors, I investigate the role of interdependence between firms’ choices concerning foreign production. The evidence points to there being a significant role. More widely found are negative interdependencies (a firm’s foreign production being decreasing in its rivals’) and those between UK rivals (rather than between UK and foreign firms). Indeed, the negative effect of one UK firm’s foreign production on other UK firms’ foreign production is a result that is robust through time and across all regions.
|Date of creation:||Aug 2001|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: 44 - 20 - 7183 8801
Fax: 44 - 20 - 7183 8820
|Order Information:|| Email: |
References listed on IDEAS
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.:
- S. Lael Brainard, 1993. "An Empirical Assessment of the Factor Proportions Explanation of Multi-National Sales," NBER Working Papers 4583, National Bureau of Economic Research, Inc.
- Demsetz, Harold, 1973. "Industry Structure, Market Rivalry, and Public Policy," Journal of Law and Economics, University of Chicago Press, vol. 16(1), pages 1-9, April.
- Blomström, Magnus & Kokko, Ari, 1997.
"Regional Integration and Foreign Direct Investment,"
CEPR Discussion Papers
1659, C.E.P.R. Discussion Papers.
- Magnus Blomstrom & Ari Kokko, 1997. "Regional Integration and Foreign Direct Investment," NBER Working Papers 6019, National Bureau of Economic Research, Inc.
- Blomström, Magnus & Kokko, Ari, 1997. "Regional Integration and Foreign Direct Investment," SSE/EFI Working Paper Series in Economics and Finance 172, Stockholm School of Economics.
- Kyriacos Aristotelous & Stilianos Fountas, 1996. "An Empirical Analysis of Inward Foreign Direct Investment Flows in the EU with Emphasis on the Market Enlargement Hypothesis," Journal of Common Market Studies, Wiley Blackwell, vol. 34(4), pages 571-583, December.
- Davies, Stephen & Lyons, Bruce, 1996. "Industrial Organization in the European Union: Structure, Strategy, and the Competitive Mechanism," OUP Catalogue, Oxford University Press, number 9780198289739, March.
When requesting a correction, please mention this item's handle: RePEc:cpr:ceprdp:2921. 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: ()The email address of this maintainer does not seem to be valid anymore. Please ask to update the entry or send us the correct address
If references are entirely missing, you can add them using this form.