Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/92409
Authors: 
Dachs, Bernhard
Ebersberger, Bernd
Kinkel, Steffen
Som, Oliver
Year of Publication: 
2014
Series/Report no.: 
Fraunhofer ISI Discussion Papers Innovation Systems and Policy Analysis 39
Abstract: 
We investigate the effects of production offshoring on the innovation activities of manufacturing firms in the home country. The analysis is based on a dataset of more than 3000 manufacturing firms from seven European countries. We find that offshoring firms on average employ a higher share of R&D and design personnel, introduce new products more frequently to the market, and invest more frequently in advanced process technologies compared to non-offshoring firms. Concerns that offshoring may hurt innovation because of the lost links between production and product development are not supported by the evidence.
Subjects: 
offshoring
R&D
home country effects
investment
product innovation
process innovation
JEL: 
F23
F61
O31
O33
Document Type: 
Working Paper

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