@article{f62fbc08e6ce4f0e9244a2b513a2ebf1,
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.",
keywords = "China, Southeast Asia, foreign direct investment, local procurement, vertical backward linkages",
author = "Kozo Kiyota and Toshiyuki Matsuura and Shujiro Urata and Yuhong Wei",
note = "Funding Information: The data used in this paper were prepared and analyzed in cooperation with the Research Institute of Economy, Trade, and Industry (RIETI). We wish to thank Ren{\'e} Belderbos, Kyoji Fukao, Keiko Ito, Fukunari Kimura, Hyeog Ug Kwon, Yoshiaki Omori, Etsuro Shioji, Robert Stern, Deborah Swenson, Eichi Tomiura, Ryuhei Wakasugi, Rossitza Wooster, and seminar participants at Keio University, RIETI, and Yokohama National University for their helpful comments on an earlier draft of the paper. This paper also benefited significantly from the comments of Beata Smarzynska Javorcik and three anonymous referees. Kozo Kiyota gratefully acknowledges the financial support of the Japan Society for the Promotion of Science (JSPS) 2006 Postdoctoral Fellowships for Research Abroad. The views expressed herein are those of the authors. ",
year = "2008",
month = aug,
doi = "10.1016/j.worlddev.2007.08.006",
language = "English",
volume = "36",
pages = "1398--1414",
journal = "World Development",
issn = "1873-5991",
publisher = "Elsevier BV",
number = "8",
}
