Outsourcing without cost advantages

This paper explores why competing firms outsource to an external common supplier that does not have a cost advantage relative to them in input production. The supplier, through its contract offers, manages to generate asymmetry, to alter product market competition, and to extract profits from the co...

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Bibliographic Details
Published in:International journal of industrial organization 2026-01, Vol.104, p.103245, Article 103245
Main Author: Milliou, Chrysovalantou
Format: Article
Language:English
Subjects:
Common supplier
Make-or-buy
Outsourcing
Sequential contracting
Strategic outsourcing
Two-part tariffs
Citations: Items that this one cites
Online Access:Get full text
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