Antecedents and Performance Consequences of International Outsourcing

Michael J. Mol, Rob J.M. Van Tulder, Paul R. Beije

Publikation: Bidrag til tidsskriftTidsskriftartikelForskningpeer review

Abstract

The outsourcing of intermediate products to international suppliers is believed to improve firm performance. We investigate this claim and test key dimensions of the decision to outsource internationally using survey data on 200 manufacturing firms located in the Netherlands. We find that most international outsourcing is intra-regional in nature. Furthermore, international outsourcing is a consequence of a firm's ability to search and evaluate foreign suppliers, which is co-determined by its size, multinationality, and frequency of cross-border communications. Finally, no performance effects were observed for international or global outsourcing. We conclude international outsourcing is a balancing act between lower production costs abroad and lower transaction costs locally.
OriginalsprogEngelsk
TidsskriftInternational Business Review
Vol/bind14
Udgave nummer5
Sider (fra-til)599-617
ISSN0969-5931
DOI
StatusUdgivet - okt. 2005
Udgivet eksterntJa

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