Document type
Working paperPublication date
Publication license
Please use this identifier to cite or link to this item: https://hdl.handle.net/2445/115866
Why firms relocate their production overseas? The answer lies inside: corporate, logistic and technological determinants
Journal Title
Director/Tutor
Journal ISSN
Volume Title
Related resource
Abstract
The paper analyses the drivers of international production relocation using a model built on intra-corporate factors. The results of an empirical research on an original and thorough data base for the Spanish automobile parts sector over the period 2001-2008 show the impact of corporate restructuring strategies on flexibility for transferring resources overseas. In particular, the larger the number of alternative plants in other countries, the greater the operational flexibility and, therefore, the more likely relocation will be. Second, lean supply requirements and technological complexity in the product or process at production plant level are both serious barriers to mobility. Finally, our results confirm that sunk costs are irrelevant in comparison with corporate factors.
Subject
Subject (English)
Citation
Citation
LAMPÓN, Jesús F., CABANELAS-LORENZO, Pablo and LAGO PEÑAS, Santiago. Why firms relocate their production overseas? The answer lies inside: corporate, logistic and technological determinants. IEB Working Paper 2013/03. [consulted: 7 of June of 2026]. Available at: https://hdl.handle.net/2445/115866