Article

Vertical Ties Across Borders: Do Japanese Production Networks Jeopardize Competitive Markets in Southeast Asia?

Author: Walter Hatch (University of Washington)

Abstract

In this Article, I strive to fill part of the void in the academic literature by carefully considering the impact of vertical integration and quasi-integration via foreign direct investment (FDI) on markets in developing economies. More specifically, I ask the following question: under what conditions are MNCs able to use vertical restraints-particularly exclusionary supply and distribution arrangements-to raise entry costs for prospective competitors, thereby securing dominant positions in host country markets?

Keywords: Japan, Multinational corporations, Vertical integration, Foreign direct investment

How to Cite: Hatch, W. (2002) “Vertical Ties Across Borders: Do Japanese Production Networks Jeopardize Competitive Markets in Southeast Asia?”, Washington University Global Studies Law Review. 1(1 and 2).