TY - JOUR
T1 - Locational and managerial decisions as interdependent choices in the headquarter-manufacturing plant relationship
T2 - A theoretical approach
AU - e Silva, Carlos Eduardo Lobo
AU - Hewings, Geoffrey J.D.
PY - 2012/6/1
Y1 - 2012/6/1
N2 - The main purpose of the paper is to provide a link between the location decision and the internal organization of vertically integrated firms. The results of the model show that the decisions about location and managerial (de)centralization are interdependent: For certain parameters, firms should change both aspects simultaneously as a response to lower communication costs. The positive correlation between the decentralization of decision-making and geographic decentralization predicted by the model is supported by empirical research.
AB - The main purpose of the paper is to provide a link between the location decision and the internal organization of vertically integrated firms. The results of the model show that the decisions about location and managerial (de)centralization are interdependent: For certain parameters, firms should change both aspects simultaneously as a response to lower communication costs. The positive correlation between the decentralization of decision-making and geographic decentralization predicted by the model is supported by empirical research.
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U2 - 10.1007/s00168-010-0410-8
DO - 10.1007/s00168-010-0410-8
M3 - Article
AN - SCOPUS:84861001022
VL - 48
SP - 703
EP - 717
JO - Annals of Regional Science
JF - Annals of Regional Science
SN - 0570-1864
IS - 3
ER -