Foreign outsourcing, exporting, and FDI: A productivity comparison at the firm level
By Eiichi Tomiura. 2007
529 citations recorded by the source corpus.
This paper compares the productivity of firms active in foreign outsourcing, exporting, foreign direct investment, or only in domestic operations by a firm-level data of more than 118 thousand Japanese manufacturers. Only a small fraction of firms outsource, export, or invest across borders. The group averages, inter-firm distributions, regressions controlling for industry-effects, and multinomial response models unanimously demonstrate that FDI firms are distinctively more productive than foreign outsourcing firms, which are equally productive as exporters and are clearly more productive than domestic firms. Productive, innovative, or computerized firms are likely to globalize. The firms outsourcing overseas are particularly labor-intensive.
Subfields: Economics and Econometrics, Strategy and Management
View Paper: https://www.semanticscholar.org/paper/bd611352d9702de9d9b186b161b1e850de5c2628
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In Economics and Econometrics
In Strategy and Management
Citations in the corpus
- Global value chains participation and productivity gains for North African firms (2017, unknown): “…of a ‘‘pecking order’’, as firms active in multiple globalization modes and importers tend to have a better performance than exporters only which, however, tend to be more productive than domestic firms (Tomiura 2007; Kohler and Smolka 2012; Bas and Strauss-Kahn 2014; Foster-McGregor et al. 2014).”
- Global Sourcing of Complex Production Processes (2014, unknown): “In particular, Tomiura (2007) shows that rms which rely on hybdrid sourcing tend to be more productive than rms which rely on a single sourcing mode in the global economy.”
- Internationalization and Innovation of Firms: Evidence and Policy (2013, unknown): “For Japanese firms, Tomiura (2007) finds firms that are FDI active or are involved in multiple globalization modes are more productive than foreign outsourcers and exporters.”
- Productivity Impacts of Offshoring and Outsourcing: A Review (2006, background): “With the same objective of analysing the linkage between international fragmentation decisions and productivity, in a later study Tomiura (2005) uses the same data as above but distinguishes firms according to three international activity categories; i) offshore outsourcing, ii) foreign affiliate ow”
- Outsourcing versus integration at home or abroad and firm heterogeneity (2010, unknown): “By comparison, Tomiura (2007) finds that the number of foreign-outsourcing firms was equal to 2.7%.”
- Expanding to outward foreign direct investment or not? A multi-dimensional analysis of entry mode transformation of Chinese private exporting firms (2014, unknown): “This predication has received empirical support in a number of recent studies of developed countries including Germany (Arnold & Hussinger, 2010; Wagner, 2006), Italy (Castellani & Zanfei, 2007), France (Engel & Procher, 2011), Ireland (Girma et al., 2004), UK (Girma et al., 2005), Japan (Head & Rie”