Template-Type: ReDIF-Paper 1.0
Author-Name: Manuel Portugal Ferreira
Author-Email: portugal@estg.ipleiria.pt
Author-Workplace-Name: Instituto Politécnico de Leiria, Portugal
Author-Name: Sungu Armagan

Author-Email: sungu.armagan@business.fiu.edu
Author-Workplace-Name: Florida International University, USA
Author-Name: Dan Li
Author-Email: lid@indiana.edu
Author-Workplace-Name: Indiana University, USA
Title: VERTICAL INTEGRATION FOR FULL OUTSOURCING: GROWTH AND INTERNATIONALIZATION OF A PORTUGUESE PACKAGING FIRM
Abstract: Based on a case study of a Portuguese packaging firm, this paper examines how vertical integration of the supplier serves as a vehicle for the full outsourcing of the client firms' needs in a solution that reduces transaction costs, favors specialization, and permits small and mediumsized firms to develop competencies that may be exploited in a wide array of projects. Vertical integration by the supplier (a governance decision) is a strategic response to changes in the sourcing model of the clients.
Client-supplier relationships have inter-spatial and inter-temporal value that surpasses spot market exchanges.
Length: 30 pages
Creation-Date: 2007-09
File-URL: https://globadvantage.ipleiria.pt/files/2007/11/working-paper-4_globadvantage.pdf
File-Format: application/pdf
Number: 4
Classification-JEL: M1
Keywords: strategic outsourcing, vertical integration, internationalization, case study
Handle: RePEc:pil:wpaper:4