CoChat
Sign Up
Cited by 68International Business and FDIInnovation and Knowledge ManagementBusiness Strategy and Innovation

Multinational experience and the creation of linkages with local firms: evidence from the electronics industry

Castellani, D.·2002·Cambridge Journal of Economics
DOI 10.1093/cje/26.1.1
Open this paper in CoChat — free account

Abstract

This paper focuses on multinational companies' creation of linkages with local firms in the electronics industry. Evidence is drawn from a novel data‐set, covering international operations of the top European and US electronics companies, over the period 1984–95. Econometric tests are provided to highlight how firms' multinational experience, measured by the extent of their presence in foreign countries, affects cooperative agreements, as opposed to licensing and foreign direct investments. It is highlighted that multinationals' subsidiary accumulation has a positive and significant impact on collaborative linkages with local firms. This contrasts with the transaction cost view underlying most market‐entry literature, but is consistent with a dynamic efficiency perspective which emphasises the role of linkages in learning and knowledge accumulation and exploitation.

The claims and statistics of this paper haven’t been checked yet.

Run the check — free, no account needed. It reads the open-access text and checks the sources it cites.

A few free checks a day · papers already verified open instantly · results are public

Integrity signals

Registry

Crossref · 10.1093/cje/26.1.1

Cites

86 of 86 references verified0 citation errors · 0 not checkable

Statistics

Claims the paper makes

The claims and statistics of this paper haven’t been checked yet.

Run the check — free, no account needed. It reads the open-access text and checks the sources it cites.

A few free checks a day · papers already verified open instantly · results are public

Self-check

Percentages, sums and reported differences re-computed from the paper’s own numbers.

The self-check needs the paper’s full text.

Cites

Flagged first, then by citations

4 of the 90 references couldn’t be matched to a known paper.

Research works printed but not linked: 20

  1. [2]2. Grabher G. (ed.)The Embedded Firm. On the Socioeconomics of Industrial Networks, Routledge, London (279-295)
  2. [3]3. Anderson E, Gatignon H. (1986) "Modes of Foreign Entry: Transaction Costs and Propositions", Journal of International Business Studies, 17, pp. 1-26
  3. [4]4. Andersson U., Forsgren M. (1995), "Subsidiary Embeddedness and its Implication of Integration in the MNC", in Schiattarella R. (ed.) New Challenges for European and International Business, Proceedings of the 21st EIBA Conference, Urbino, 10- 12/12/95.
  4. [16]16. Cantwell (1991) "The Theory of Technological Competence and its Application to International Production" in McFetridge D.G. (ed.) Foreign Investment, Technology and Economic Growth, University of Calgary Press
  5. [19]19. R., Mehra S. (1986) "Entry of Foreign Multinationals into U.S. Manufacturing Industries", in Porter (ed.) Competition in Global Industries, Harvard Business School Press
  6. [22]22. Cyert R.M., March J.G. (1963) A Behavioral Theory of the Firm, New York: Prentice Hall D'Orazio A, Gambardella A, Pontiggia L., Torrisi S., Trenti S., Zanfei A. (1992) "Growth through External Linkages in the European Electronics Industry" in The Economics of Scientific and Technological Research in Europe, Final Report prepared for the EC, D.G. XII, December
  7. [26]26. Dunning J.H. (1993) Multinational Enterprise and the Global Economy, Addison Wesley, Wokingham, England
  8. [29]29. Duysters G., Hagedoorn J. (1996) "Internationalisation of Corporate Technology through Strategic Partnering: An Empirical Investigation" Research Policy, 20, n.5, pp.393-406
  9. [31]31. Flamm K. (1989) "Technological Advance and Costs: Computers vs. Communications" in R.W.Crandall, K.Flamm (eds.)Changing the Rules: Technological Change, International Competition in Communications,The Brookings Institution, Washington DC
  10. [38]38. Greene W.H. (1997) Econometric Analysis, Prentice Hall, 3rd Edition
  11. [46]46. Jo S.H. (1980) "Direct Foreign Private Investment", in Chong Kee Park (ed.) Macroeconomic and Industrial Development in Korea, Korea Development Institute, Seoul, pp. 129- 182.
  12. [47]47. Johanson J., Vahlne J.E. (1977) "The Internationalisation Process of a Firm -A Model of Knowledge Development and Increasing Market Commitment", Journal of International Business Studies, 8, pp. 23-32..
  13. [48]48. Kobrin S. (1976) "The Environmental Determinants of Foreign Direct Investment: An Ex- Post Empirical Analysis", Journal of International Business Studies, VI, pp. 29-42.
  14. [55]55. Mowery D.C. (Ed.) (1988) International Collaborative Ventures in US Manufacturing, Ballinger, Cambridge, Mass.
  15. [65]65. Rosenzweig P., Nohria N. (1994), "Influences of Human Resource Management in Multinational Corporations", Journal of International Business Studies, 4 (715-251)
  16. [66]66. Sachwald F. (1998) "Cooperative Agreements and the Theory of the Firm: Focussing on Barriers to Change", Journal of Economic Behavior and Organization, 35, 203-225
  17. [67]67. Steinmueller W.E. (1991) "The Economics of Production and Distribution og User-Specific Information via Digital Networks" in C.Antonelli (ed.) The Economics of Information Networks, North Holland, Amsterdam
  18. [70]70. Teece (1986a) "Transaction Costs Economics and the Multinational Enterprise: An Assessment" Journal of Economic Behavior and Organization, 7 pp.21-45
  19. [75]75. Vaccà S., Zanfei A. (1995), "Capturing Value from Local Contexts: The Decentralization of Decisions within Transnational Corporations", in Schiattarella R. (ed.) New challenges for European and International Business, Proceedings of the 21st EIBA Conference, Urbino, December 10-12.
  20. [78]78. Zanfei A. (1996), "Technology and the Changing Organization of Transnational Firms", International Workshop on: Learning and Embeddedness: Evolving Transnational Firm Strategies in Europe, EMOT-ESF, University of Durham, 27-29 June 1996.

Cited by

Sorted by citations

Related

Authors
Castellani, D.
Affiliations
University of Urbino (IT)
Corresponding author
Castellani, D.
ORCID
Castellani, D.
Venue
Cambridge Journal of Economics
Publisher
Oxford University Press (OUP)
Published
2002-01-01
Volume
26
Issue
1
Pages
1-25
ISSN
  • 0309-166X (ISSN-L)
  • 1464-3545
DOI
10.1093/cje/26.1.1
OpenAlex
W2061926936
Semantic Scholar
d95f852019229de9476927bb0a438748bcc98567
Cited by
68
References
90
Citations by year
2026: 2 · 2025: 1 · 2024: 2 · 2023: 1 · 2021: 3 · 2020: 1 · 2019: 2 · 2018: 2 · 2017: 4 · 2016: 4 · 2015: 1 · 2014: 3 · 2013: 3 · 2012: 3
FWCI
16.21
Type
journal article
Language
en
Open access
closed
Locations
Cambridge Journal of Economics (publishedVersion)
Funders
  • European Science Foundation
  • Università Bocconi
Topics
  • Social Sciences › Business, Management and Accounting › Strategy and Management › International Business and FDI
  • Social Sciences › Business, Management and Accounting › Strategy and Management › Innovation and Knowledge Management
  • Social Sciences › Business, Management and Accounting › Strategy and Management › Business Strategy and Innovation
Keywords
foreign subsidiaries, inter-firm linkages, local businesses, electronics industry, cooperation agreement, licensing, foreign direct investment, market entry, transaction costs, dynamic efficiency, knowledge accumulation

About these checks

Registry, retraction, Cites and statistics results are computed, not judged, with one exception: a printed reference that no index lists is read once by a model before it counts as a citation error. Claims are extracted by a model and kept only when their quote appears verbatim in the text; each cited source is then checked, with a model’s help, for whether it says what the claim relies on. Those verdicts can be wrong — read the claim’s quote and the cited source before relying on one.

Statistics and arithmetic are recomputed, not judged.

Confidence bands are shown only for fields calibrated on our annotated test set. None is calibrated yet, so no band is shown.

What counts as a claim ›How we measure confidence ›How we check this ›

Are you an author, or do you see a problem with this page? Request a review