Do Multinationals Transplant their Business Model?
Résumé
What determines whether or not multinational firms transplant the mode of organisation to other countries? We embed the theory of knowledge hierarchies in an industry equilibrium model of monopolistic competition to examine how the economic environment may affect the decision of multinational firms about transplanting the mode of organisation to other countries. We test the theory with original and matched parent and affiliate data on the level of decentralisation of 660 Austrian and German multinational firms and 2,200 of their affiliate firms in Eastern Europe. We find that market competition in both home and host markets is an important driver of organisational transfer to host countries: an increase in competition in the home (host) market by ten percentage points lowers (increases) the probability of transplanting by nine (seven) percentage points.
Domaines
Economies et financesFormat du dépôt | Notice |
---|---|
Type de dépôt | Article dans une revue |
Titre |
en
Do Multinationals Transplant their Business Model?
|
Résumé |
en
What determines whether or not multinational firms transplant the mode of organisation to other countries? We embed the theory of knowledge hierarchies in an industry equilibrium model of monopolistic competition to examine how the economic environment may affect the decision of multinational firms about transplanting the mode of organisation to other countries. We test the theory with original and matched parent and affiliate data on the level of decentralisation of 660 Austrian and German multinational firms and 2,200 of their affiliate firms in Eastern Europe. We find that market competition in both home and host markets is an important driver of organisational transfer to host countries: an increase in competition in the home (host) market by ten percentage points lowers (increases) the probability of transplanting by nine (seven) percentage points.
|
Auteur(s) |
Dalia Marin
1
, Linda Rousová
2
, Thierry Verdier
3, 4
1
TUM -
Technische Universität Munchen - Technical University Munich - Université Technique de Munich
( 132871 )
- Arcisstrasse 21, D- 80333 München
- Allemagne
2
European Central Bank
( 81128 )
- Kaiserstrasse 29, D-60311 Frankfurt/Main
- Allemagne
3
PSE -
Paris School of Economics
( 301309 )
- 48 boulevard Jourdan 75014 Paris
- France
4
PJSE -
Paris Jourdan Sciences Economiques
( 578027 )
- 48 boulevard Jourdan 75014 Paris
- France
|
Public visé |
Scientifique
|
Langue du document |
Anglais
|
Nom de la revue |
|
Vulgarisation |
Non
|
Comité de lecture |
Oui
|
Audience |
Internationale
|
Date de publication |
2021-02
|
Volume |
131
|
Numéro |
634
|
Page/Identifiant |
899-945
|
Mots-clés (JEL) |
|
Domaine(s) |
|
DOI | 10.1093/ej/ueaa108 |
UT key WOS | 000637047200013 |
Loading...