Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/273714 
Year of Publication: 
2023
Series/Report no.: 
DIW Discussion Papers No. 2043
Publisher: 
Deutsches Institut für Wirtschaftsforschung (DIW), Berlin
Abstract: 
Our paper contributes to the discussion about Europe's digital sovereignty. We analyze the relationship between firm performance and the diversification of sourcing countries for imported ICT goods. The analysis is based on administrative data for 3888 German manufacturing firms that imported ICT goods in the years 2010 and 2014. We find that firms that diversify the sourcing of ICT goods across multiple countries perform better than similar firms with a less diversified sourcing structure. This result holds for value added as well as for gross operational surplus as performance measures and for two different indicators of diversification.
Subjects: 
ICT goods imports
global sourcing
digital sovereignty
firm performance
JEL: 
F14
F23
L14
L23
D24
Document Type: 
Working Paper

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