Does outsourcing increase profitability?
By: by Holger Görg, Aoife Hanley.
Contributors: Hanley, Aoife.
Series: Discussion paper ;; no. 1372; Discussion paper (Forschungsinstitut zur Zukunft der Arbeit : Online) ;; no. 1372
Publisher: IZA
Published: 2004
Place of publication: Bonn, Germany
Language: eng
Format: Electronic resource
Subjects: Contracting out -- Ireland; Electronic industries -- Ireland
Description: "We investigate the relationship between outsourcing and profitability paying particular attention to the endogeneity of outsourcing. The empirical analysis uses unique plant level data for the electronics sector in Ireland. A particular feature of the data is that it records detailed information for 12 electronics sub-sectors covering both manufacturing and services activities. We distinguish outsourcing of materials from outsourcing of services inputs. We find that plants that are substantially larger than the mean employment size benefit from outsourcing materials and services inputs, while this does not appear to be the case for small plants. Results for outsourcing of services are not as clear-cut, however"--Forschungsinstitut zur Zukunft der Arbeit web site.
Notes: Includes bibliographical references.
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