EconStor >
Institut für Weltwirtschaft (IfW), Kiel >
Publikationen von Forscherinnen und Forschern des IfW >

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10419/28907
  
Title:Services outsourcing and innovation: An empirical investigation PDF Logo
Authors:Görg, Holger
Hanley, Aoife
Issue Date:2009
Series/Report no.:CEPR Discussion Paper Series, Centre for Economic Policy Research (CEPR), London 7390
Abstract:We provide a comprehensive empirical analysis of the links between international services outsourcing, domestic outsourcing, profits and innovation using plant level data. We find a positive effect of international outsourcing of services on innovative activity at the plant level. Such a positive effect can also be observed for domestic outsourcing of services, but the magnitude is smaller. This makes intuitive sense, as international outsourcing allows more scope for exploiting international factor price differentials, therefore giving the establishment higher profits and more scope to restructure production activities towards innovation. We also find that international services outsourcing has a positive effect on profitability, as predicted by theory, while this is not true for domestic sourcing. The results are robust to various specifications and an instrumental variables analysis.
JEL:F19
O31
Document Type:Working Paper
Appears in Collections:Publikationen von Forscherinnen und Forschern des IfW

Files in This Item:
File Description SizeFormat
609521519.pdf181.19 kBAdobe PDF
No. of Downloads: Counter Stats
Download bibliographical data as: BibTeX
Share on:http://hdl.handle.net/10419/28907

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.