Tattara, Giuseppe (2011): Choosing between foreign investment and subcontracting: Strategies of Italian firms in Romania.
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Vertical disintegration in most industries and the globalization of markets has led to significant changes in the pattern of international division of labour among manufacturing firms. At the same time increased competition from low cost producers, exchange rate constraints, the opening up of CEE countries have had huge consequences for the Italian industrial system. This paper deals with the Veneto footwear, furniture and refrigeraion industries and examines the effects of foreign direct investments and subcontracting in Romania. The reorganization of the division of labour, in the most dynamic suppliers induced a change in the “nature of subcontracting”, upgrading along the ladder of the value chain as more and more operations are offshored.
|Item Type:||MPRA Paper|
|Original Title:||Choosing between foreign investment and subcontracting: Strategies of Italian firms in Romania|
|English Title:||Choosing between foreign investment and subcontracting: Strategies of Italian firms in Romania|
|Keywords:||Foreign direct investment; International subcontracting;|
|Subjects:||F - International Economics > F3 - International Finance > F32 - Current Account Adjustment; Short-Term Capital Movements
D - Microeconomics > D8 - Information, Knowledge, and Uncertainty > D82 - Asymmetric and Private Information; Mechanism Design
|Depositing User:||Giuseppe Tattara|
|Date Deposited:||05. Mar 2011 19:44|
|Last Modified:||16. Feb 2013 17:00|
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