Why do firms locate r&d outsourcing agreeements offshore? the role of ownership, location, and externalization advantages
- Martínez Noya, Andrea
- García Canal, Esteban
- Guillén, Mauro F.
ISSN: 1988-8767
Año de publicación: 2010
Número: 526
Tipo: Documento de Trabajo
Otras publicaciones en: Notas técnicas: [continuación de Documentos de Trabajo FUNCAS]
Resumen
We examine the decision to outsource R&D services to an offshore supplier instead of a domestic one. Building on the OLI paradigm, we argue that the decision to outsource offshore an R&D service is dependent on: �ownership� advantages (governance capabilities); �location-specific advantages� offshore; and �externalization advantages� for the activities outsourced. Our hypotheses were confirmed using original survey data from European and U.S. firms in high-tech industries. We found that firms with more governance capabilities are the ones showing a higher propensity to outsource offshore and that the specific location of the agreement is conditioned by the motivation to outsource.