大阪大学　数理・データ科学教育研究センター
Center for Mathematical Modeling and Data Science,Osaka University

Relationship-specific investments for up-and downstream firms and credit constraints

Nguyen Thu Hang (Foreign Trade University、HCMC Campus)

1. ホーム
2. セミナー・集中講義
3. セミナー
4. Relationship-specific investments for up-and downstream firms and credit constraints

大阪大学 数理・データ科学セミナー 金融・保険セミナーシリーズ 第144回

Relationship-specific investments for up-and downstream firms and credit constraints

Nguyen Thu Hang (Foreign Trade University、HCMC Campus)

This paper argues that there exists a fundamental asymmetry between relationship-specific investments (RSI) made for downstream firms (customer-specific investments – CSI) and for upstream firms (supplier-specific investments – SSI). Both types of RSI can create a hold-up problem, but everything else equal, suppliers have higher bargaining power, rendering hold-ups by suppliers more dangerous than hold-ups by customers. Using unique data on Vietnamese SMEs that allow for a clean separation between CSI and SSI, we demonstrate that this leads to less frequent SSI and that the few firms making SSI will be more risky and financially constrained. We discuss the implications of this finding for supply chain management and public policy destined to foster RSI.