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Foreign
outsourcing and firm-level characteristics: evidence from Japanese manufacturers
Eiichi Tomiura, Kobe University Abstract By using micro data
of 118,300 firms without thresholds in all manufacturing industries in
Japan, this paper investigates the foreign outsourcing, distinguished
from domestic outsourcing, at the firm level. Less than three percent
of the firms, which are substantially large-sized, are involved in foreign
outsourcing. The high non-production wage is related positively with foreign
outsourcing, but negatively with domestic outsourcing. The productivity,
R&D intensity, and computer usage are significantly more strongly related
with foreign outsourcing than domestic outsourcing. Thus, the outsourcing
across national borders is concentrated among a limited numbers of large-sized
firms with high management and technological capability. |