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has to overcome. If production abroad involves a fixed cost, offshoring one intermediate unambiguously facilitates … offshoring of other intermediates. However, if production abroad involves incomplete contracts, offshoring one intermediate …
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South. Offshoring to South however is subject to costly communication reflected by partially incomplete contracting. More …
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Casual observation suggests that cultural differences play an important role in business transactions, yet systematic evidence on this relationship is scarce. This paper provides a novel investigation of the effect of cultural distance on multinational firms’ decisions to integrate their...
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increasing offshoring activity increases competition in the final goods market, leading to a progressive vertical disintegration … of the supply chains. Initially, the firms that decide to explore offshoring potential choose integration. As competition …
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