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Subcontracting and outward processing trade as a form of networking in Hungary

Author

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  • Miklos Szanyi

    (Institute of World Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences)

Abstract

Outward processing trade as measured in the macroeconomic statistics became an important factor of Hungarian exports during the 1990s. Likewise, it played an important role in many Hungarian manufacturing companies in the form of subcontracting as a type of business contact. The basic characteristics of subcontracting changed very much during the past decade worldwide, and the relationship of partners in this form of cooperation became more balanced. Another distinct microeconomic development was the establishment of new types of cooperation networks. Outsourcing, for example, became a spreading form of cooperation. These two developments inspired the author to try and check if subcontracting can be interpreted as a special form of outsourcing. If this hypothesis proves true then the previous negative interpretations of subcontracting will also require reconsideration.

Suggested Citation

  • Miklos Szanyi, 2002. "Subcontracting and outward processing trade as a form of networking in Hungary," IWE Working Papers 124, Institute for World Economics - Centre for Economic and Regional Studies.
    • Handle: RePEc:iwe:workpr:124
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    File URL: https://vgi.krtk.hu/publikacio/no-124-2002-04/
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    References listed on IDEAS

    as
    1. Antalóczy, Katalin & Sass, Magdolna, 1998. "A bérmunka szerepe a világgazdaságban és Magyarországon [The role of wage labour in the world economy and in Hungary]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(7), pages 747-770.
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    Citations

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    Cited by:

    1. Iwasaki, Ichiro, 2004. "Foreign Direct Investment and Corporate Restructuring in Hungary," Hitotsubashi Journal of Economics, Hitotsubashi University, vol. 45(2), pages 93-118, December.

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