Make and Buy: Outsourcing, Vertical Integration, and Cost Reductions
成果类型：
Article
署名作者：
Loertscher, Simon; Riordan, Michael H.
署名单位：
University of Melbourne; Columbia University
刊物名称：
AMERICAN ECONOMIC JOURNAL-MICROECONOMICS
ISSN/ISSBN：
1945-7669
DOI：
10.1257/mic.20160347
发表日期：
2019
页码：
105-123
关键词：
摘要：
Globalization reshaped supply chains and the boundaries of firms in favor of outsourcing. Now, even vertically integrated firms procure substantially from external suppliers. to study procurement and the structure of firms in this reshaped economy, we analyze a model in which integration grants a downstream customer the option to source internally Integration is advantageous because it allows the customer to avoid paying markups sometimes, hut disadvantageous because it discourages investments in cost reduction by independent suppliers. The investment-discouragement effect more likely outweighs the markup-avoidance effect if the upstream market is more competitive, as is so in a more global economy.
来源URL：