[Publisher:] Institut für Weltwirtschaft (IfW) [Place:] Kiel [Year:] 1994
Kiel Working Paper 631
Our paper explores the recent trends in outward processing (OP) of German firms in former centrally planned economies (CPEs). We argue that OP is an interesting alternative to cross-border trade and equity foreign arrangements. We present the theoretical framework to understand OP as well as some facts and figures which may prove the empirical evidence. Finally, we discuss consequences for corporate restructuring in CPEs.