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Firm Heterogeneity in the Choice of Offshoring: Evidence from Korean Manufacturing Firms

Author

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  • Hea-Jung Hyun

    (Korea Institute for International Economic Policy)

Abstract

Using firm-level data on offshoring of Korean manufacturers, the paper examines the relationship between firm heterogeneity and the probability of adopting offshoring. The results of the paper suggest that firm productivity may not be an important determinant for Korean firms' offshoring decision. Firm's global sourcing decision may rather depend on other characteristics such as factor intensity, R&D intensity, ICT level, and affiliation with foreign markets, when industry specificity is controlled for.

Suggested Citation

  • Hea-Jung Hyun, 2009. "Firm Heterogeneity in the Choice of Offshoring: Evidence from Korean Manufacturing Firms," Working Papers 09-3, Korea Institute for International Economic Policy.
  • Handle: RePEc:ris:kiepwp:2009_003
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    Cited by:

    1. is not listed on IDEAS
    2. Fabienne Rasel, 2017. "ICT and global sourcing – evidence for German manufacturing and service firms," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 26(7), pages 634-660, October.
    3. Andrea F. Presbitero & Matteo G. Richiardi & Alessia A. Amighini, 2015. "Is labor flexibility a substitute to offshoring? Evidence from Italian manufacturing," International Economics, CEPII research center, issue 142, pages 81-93.
    4. Rasel, Fabienne, 2012. "Offshoring and ICT: Evidence for German manufacturing and service firms," ZEW Discussion Papers 12-087, ZEW - Leibniz Centre for European Economic Research.
    5. Huang, Shihping Kevin, 2014. "The emergence of the outsourcing market and product technological performance," Technological Forecasting and Social Change, Elsevier, vol. 82(C), pages 132-139.

    More about this item

    Keywords

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    JEL classification:

    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production

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