Outsourcing and firm performance: evidence from Italian automotive suppliers
Giuseppe Calabrese and
Fabrizio Erbetta
International Journal of Automotive Technology and Management, 2005, vol. 5, issue 4, 461-479
Abstract:
During the last decade a large number of firms operating in most industries have undertaken outsourcing processes. This tendency has involved, above all, automotive suppliers. The proposal of this paper is to investigate whether the outsourcing strategy has positively affected the overall performance of these firms. This has been observed by means of financial statements and under different viewpoints: growth, productivity, financial dependence and profitability. The findings point out that the relationship between outsourcing and performance does not follow a linear tendency. Furthermore, the firms always characterised by low integration or that deverticalised their productive structure over time have shown the highest growth, whereas firms with high integration level or that pursued a verticalisation strategy performed better in respect of profitability and debt ratio.
Keywords: automotive suppliers; outsourcing; ratio analysis; automobile industry; Italy; organisational performance; firm performance; make-or-buy strategy; growth; productivity; financial dependence; profitability. (search for similar items in EconPapers)
Date: 2005
References: Add references at CitEc
Citations: View citations in EconPapers (8)
Downloads: (external link)
http://www.inderscience.com/link.php?id=8585 (text/html)
Access to full text is restricted to subscribers.
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:ids:ijatma:v:5:y:2005:i:4:p:461-479
Access Statistics for this article
More articles in International Journal of Automotive Technology and Management from Inderscience Enterprises Ltd
Bibliographic data for series maintained by Sarah Parker ().