Kiel Working Papers, Kiel Institute for World Economics
No 1822:
Suppliers of Multinationals and the Forced Linkage Effect: Evidence from Firm Level Data
Olivier N. Godart and Holger Görg
Abstract: Using information on more than 1000 firms in a number of
emerging countries, we find quantitative evidence that suppliers of
multinationals that are pressured by their customers to reduce production
costs or develop new products have higher productivity growth than other
firms, including other host country suppliers of multinationals. These
findings provide first empirical support for a “forced linkage effect” from
supplying multinational companies. Our findings hold controlling for other
factors within and outside the supplier- customer relationship and when
endogeneity concerns are taken into consideration
Keywords: backward linkages, multinational customers, suppliers, forced linkage; (follow links to similar papers)
JEL-Codes: F23,; O12; (follow links to similar papers)
31 pages, January 2013
Before downloading any of the electronic versions below
you should read our statement on
copyright.
Download GhostScript
for viewing Postscript files and the
Acrobat Reader for viewing and printing pdf files.
Downloadable files:
KWP_1822.pdf 
Download Statistics
Report other problems with accessing this service to Sune Karlsson ()
or Helena Lundin ().
Programing by
Design Joakim Ekebom
