Although outsourcing input production has long been considered as an important approach to help downstream manufacturers enhance structural efficiency, we provide a theoretical explanation for why outsourcing may negatively affect downstream firms' profitability. We consider a duopoly model...

Fragmentation of production into more and more complex supply chains is a prominent feature of globalisation. It implies that transaction costs as part of total costs of ownership carry a large weight in procurement decisions. An analysis of the various types of transaction costs is also...

Due to the complexity of the business as well as humanitarian supply chain structure the interest of collaboration significantly increased. Collaboration in supply chains is fundamental to gain success, to share information as well as risks, to reduce costs and to increase customer satisfaction....