nep-knm New Economics Papers
on Knowledge Management and Knowledge Economy
Issue of 2011‒05‒30
three papers chosen by
Laura Stefanescu
European Research Centre of Managerial Studies in Business Administration

  1. Technological Knowledge and Offshore Outsourcing: Evidence from Japanese firm-level data By ITO Banri; TOMIURA Eiichi; WAKASUGI Ryuhei
  2. Knowledge in the air and cooperation between firms: Traditions of secrecy and the reluctant emergence of specialization in the ceramic manufacturing district of Lampang, Thailand By Weeranan Kamnungwut; Frederick Guy
  3. Diversification in Private Equity Funds: On Knowledge-sharing, Risk-aversion and Limited-attention By Humphery-Jenner, M.

  1. By: ITO Banri; TOMIURA Eiichi; WAKASUGI Ryuhei
    Abstract: This paper empirically examines the effects of knowledge capital on offshore outsourcing choices based on original survey data of Japanese firms. The results of a multinomial logit model demonstrate that firms' offshoring is positively correlated with knowledge capital measured by their R&D activities or patenting, even after controlling for other firm characteristics including productivity, capital intensity, firm age, and export status. Further, knowledge-intensive firms are more inclined to choose foreign insourcing rather than outsourcing, suggesting that firms tend to internalize their technological knowledge in offshore sourcing.
    Date: 2011–05
  2. By: Weeranan Kamnungwut; Frederick Guy
    Abstract: In the study of industrial clusters, the relative importance, and possible interrelationship, of inter-firm cooperation in production and broad knowledge transfers (both unintentional spillovers and intentional sharing) have long been disputed. To shed light on this we study ceramic tableware manufacturers in the city of Lampang, Thailand. Data consist of face-to-face interviews with principals in thirty-four manufacturers, and with representatives of supporting institutions. We find that an unwillingness to share knowledge with potential competitors retards the development of specialization in production; the outcome of efforts by various government actors and some manufacturers to change this situation is uncertain.
    Keywords: ceramic manufacturing, knowledge, Lampang, networks, secrecy, Thailand
    JEL: D85
    Date: 2011–05
  3. By: Humphery-Jenner, M. (Tilburg University, Center for Economic Research)
    Abstract: This paper examines diversification as a source of value creation and destruction in private equity. The literature has focused on the `diversification discount' in corporations. It has not analyzed diversification in PE-funds, where diversification might increase value by ameliorating managerial risk aversion and by facilitating knowledge sharing. Thus, I examine a sample of 1505 PE-funds to show that industry and geographic diversification increases PE-fund returns on average, this is likely due to knowledge-sharing/learning, and is not due to mere risk-reduction or endogeneity. Diversification can also destroy value if it spreads staff too thinly across industries/regions or is motivated by risk-aversion over performance bonuses.
    Keywords: Diversification;Private Equity;Venture Capital.
    JEL: G24 L25
    Date: 2011

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