Year: 2009
Type: report
Abstract: Discussions of location advantages in global product development are largely based on self-reported surveys, and often agnostic to product characteristics. We build on this previous work by investigating location advantages and the influence of product complexity using negative binomial models. We find that the likelihood of developing products in a country increases as its market size, number of engineering graduates and national capability increases. However, it neither varies with labor cost nor market growth rate. We also find that complex products are more likely to be developed in countries with high national capability, and national capability is directly related to firm capability.
Authors: Pedzi Makumbe, Warren Seering, Eric Rebentisch
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W1573484327