Reconsidering the Backward Vertical Linkages of Foreign Affiliates: Evidence from Japanese Multinationals

Kozo Kiyota; Toshiyuki Matsuura; Shujiro Urata; Yuhong Wei

doi:10.1016/j.worlddev.2007.08.006

Reconsidering the Backward Vertical Linkages of Foreign Affiliates: Evidence from Japanese Multinationals

Kozo Kiyota^*, Toshiyuki Matsuura, Shujiro Urata, Yuhong Wei

^*Corresponding author for this work

Graduate School of Asia-Pacific Studies

Research output: Contribution to journal › Article › peer-review

44 Citations (Scopus)

Abstract

This paper examines the determinants of the backward vertical linkages of Japanese foreign affiliates in manufacturing for the period 1994-2000, focusing on the local backward linkages, or local procurement in the host country. Our major findings are twofold. First, the unobserved affiliate-specific characteristics explain the large part of the variation of the backward linkages among foreign affiliates. Second, the experience of the affiliate has positive and sometimes nonlinear effects on local procurement for the affiliates, especially in Southeast Asia and China.

Original language	English
Pages (from-to)	1398-1414
Number of pages	17
Journal	World Development
Volume	36
Issue number	8
DOIs	https://doi.org/10.1016/j.worlddev.2007.08.006
Publication status	Published - 2008 Aug

Keywords

China
foreign direct investment
local procurement
Southeast Asia
vertical backward linkages

ASJC Scopus subject areas

Economics and Econometrics
Development
Geography, Planning and Development
Sociology and Political Science

UN SDGs

This output contributes to the following UN Sustainable Development Goals (SDGs)

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10.1016/j.worlddev.2007.08.006

Cite this

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title = "Reconsidering the Backward Vertical Linkages of Foreign Affiliates: Evidence from Japanese Multinationals",

abstract = "This paper examines the determinants of the backward vertical linkages of Japanese foreign affiliates in manufacturing for the period 1994-2000, focusing on the local backward linkages, or local procurement in the host country. Our major findings are twofold. First, the unobserved affiliate-specific characteristics explain the large part of the variation of the backward linkages among foreign affiliates. Second, the experience of the affiliate has positive and sometimes nonlinear effects on local procurement for the affiliates, especially in Southeast Asia and China.",

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author = "Kozo Kiyota and Toshiyuki Matsuura and Shujiro Urata and Yuhong Wei",

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AU - Matsuura, Toshiyuki

AU - Urata, Shujiro

AU - Wei, Yuhong

PY - 2008/8

Y1 - 2008/8

N2 - This paper examines the determinants of the backward vertical linkages of Japanese foreign affiliates in manufacturing for the period 1994-2000, focusing on the local backward linkages, or local procurement in the host country. Our major findings are twofold. First, the unobserved affiliate-specific characteristics explain the large part of the variation of the backward linkages among foreign affiliates. Second, the experience of the affiliate has positive and sometimes nonlinear effects on local procurement for the affiliates, especially in Southeast Asia and China.

AB - This paper examines the determinants of the backward vertical linkages of Japanese foreign affiliates in manufacturing for the period 1994-2000, focusing on the local backward linkages, or local procurement in the host country. Our major findings are twofold. First, the unobserved affiliate-specific characteristics explain the large part of the variation of the backward linkages among foreign affiliates. Second, the experience of the affiliate has positive and sometimes nonlinear effects on local procurement for the affiliates, especially in Southeast Asia and China.

KW - China

KW - foreign direct investment

KW - local procurement

KW - Southeast Asia

KW - vertical backward linkages

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JO - World Development

JF - World Development

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Reconsidering the Backward Vertical Linkages of Foreign Affiliates: Evidence from Japanese Multinationals

Abstract

Keywords

ASJC Scopus subject areas

UN SDGs

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