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  • Determinants of international sourcing [Elektronski vir] : captive offshoring vs. offshore outsourcing
    Burger, Anže, 1979- ; Ćirjaković, Jelena ; Jaklič, Andreja
    The aim of the paper is to analyze empirically the vertical fragmentation strategies of Slovene firms. The growing significance of international sourcing has been well documented and has spurred the ... emergence of extensive body of theoretical literature analyzing the organization of firms' activities on a global scale. Recent literature on integration strategies and global production sharing combines elements from international trade and industrial organization with the theory of the firm in order to explain endogenously the variety of organizational forms. Using the propositions of various theoretical models, we examine the role of different factors as a determinant of the fragmentation strategy on the data from the recently conducted Eurostat survey of international sourcing. We evaluate how firm-level, industry-level and country-level characteristics influence the choice of sourcing mode (domestic sourcing, offshore outsourcing and captive offshoring). We study the fragmentation strategies by applying discrete choice models, like probit and nested logit models. On the firm level, we mainly focus on firm heterogeneity as a determinant of the offshoring strategy. The determinants in this group include firm productivity, size, capital intensity, financial dependence, and ownership status. At the industry level, our aim is to examine the role of product characteristics and industrial structure on the choice of offshoring strategy. The determinants are product complexity, technological intensity, headquarter intensity, and the presence of scale economies. We also emphasize the role of country characteristics, such as factor differentials, institutional quality, financial development, skilled labour endowment, distance, ICT infrastructure, and transport costs. The main contribution of the paper is to present empirical evidence of the assumptions presented by the theoretical literature and examine the significance and interplay of various factors that determine the mode of the international sourcing.
    Vir: Reshaping the boundaries of the firm in an era of global interdependence [Elektronski vir] (33 str.)
    Vrsta gradiva - prispevek na konferenci
    Leto - 2009
    Jezik - angleški
    COBISS.SI-ID - 29096285

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