Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/68611
Authors: 
Godart, Olivier N.
Görg, Holger
Year of Publication: 
2013
Series/Report no.: 
Kiel Working Paper 1822
Abstract: 
Using information on more than 1000 firms in a number of emerging countries, we find quantitative evidence that suppliers of multinationals that are pressured by their customers to reduce production costs or develop new products have higher productivity growth than other firms, including other host country suppliers of multinationals. These findings provide first empirical support for a 'forced linkage effect' from supplying multinational companies. Our findings hold controlling for other factors within and outside the supplier- customer relationship and when endogeneity concerns are taken into consideration.
Subjects: 
backward linkages
multinational customers
suppliers
forced linkage
JEL: 
F23
O12
Document Type: 
Working Paper

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