We investigate the effects of offshoring on job security using matched employer-employee data from Sweden. Between 1997 and 2011, share firms fell around 25 to 22% while per worker within almost doubled. use this variation contribute literature by examining neighboring firms’ (external offshoring) separation in small medium-sized enterprises (SMEs). Our results suggest that external has a signi...

This study uses new employment micro data to evaluate how offshoring affects the employment of US-based IT workers. Our estimates suggest that workers providing services that do not require personal delivery are being displaced at firms that are offshoring. Offshoring firms appear to be retaining some of these workers and promoting them into new roles. However, workers that are displaced are le...

This paper studies the effects of tariffs on intra-firm trade. Building on the Antràs and Helpman (2004) North-South theoretical framework, the author shows that higher Northern tariffs reduce the incentives for outsourcing and offshoring, while higher Southern tariffs have the opposite effects. The author also shows that increased offshoring and outsourcing imply a descrease in the ratio of No...

Which firms find it optimal to integrate their input suppliers into the firm boundaries of control (vertical integration)? Which firms choose to expand their sourcing activities across the national border (offshoring)? This letter provides novel evidence on these questions based on a Spanish firm-level data set. We find that firms selecting into strategies of vertical integration and of offshor...

This article covers four issues. First, it examines evolving international conventions to determine whether countries, especially developed countries, can take any steps to inhibit offshoring with the objective of protecting jobs in their respective countries. Second, it looks at statistics from independent sources to see if outsourcing exceeds insourcing, or vice versa, in the case of the U.S....

Software development in offshoring settings with distributed teams presents particular challenges for all participants. Process models that work well for conventional projects may have to be adapted. In this paper we present casestudy-reinforced advice on how to extend the Tools & Materials approach – a well established communication-centered agile design and development approach – to the field...

Strategic actions by firms are often triggered by emerging contingencies. In this research, using contingency theory and strategic change literature, we conceptualize offshore sourcing decision as a strategic response to declining firm performance. Further, using secondary data, we empirically test the proposed model. Overall, the findings suggest that a firm’s degree of offshoring is not assoc...

Companies in high-cost developed economies are increasingly migrating whitecollar activities at offshore low-wage locations. Recent researches confirm that firms are progressively sourcing abroad higher-skilled technical, engineering and scientific jobs. The purpose of this study is to investigate why and how companies currently offshore product development activities. We develop hypotheses on ...

Think business process offshoring and the imagery is usually one of standardized, routine activities that can be well documented. While this may well have been true in the past, that era is now officially over. In a recently completed study, we found that the offshoring industry has evolved to the point that on average, whether a process is standardized or not matters little for its being offsh...

Fragmentation of stages of the production process is determined by international cost differences and by the benefits of co-location of related stages. The interaction between these forces depends on the technological relationships between these stages. This paper looks at both cost minimising and equilibrium fragmentation under different technological configurations. Reductions in trade costs ...