Replication data for: Too Many Products: Decentralized Decision Making in Multinational Firms

Principal Investigator(s): View help for Principal Investigator(s) Catherine Thomas

Name	File Type	Size	Last Modified
AEJMicro-2010-0028_Programs			10/12/2019 11:15:PM
LICENSE.txt	text/plain	14.6 KB	10/12/2019 07:15:PM

Project Citation:

Thomas, Catherine. Replication data for: Too Many Products: Decentralized Decision Making in Multinational Firms. Nashville, TN: American Economic Association [publisher], 2011. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E114378V1

Project Description

Summary: I analyze country-level product ranges offered by multinational laundry detergent manufacturers in Western Europe. Observed product range variation across countries exceeds the optimal firm-level response to differences in consumer preferences and retail environments. Counterfactual analysis reveals that increased product range standardization would reduce firm costs and increase profits. These findings are consistent with theory models of local agency, where decentralized decision making can be the constrained optimal organizational form despite the resulting lack of coordination across divisions. My analysis suggests that organizational structure affects product market outcomes and firm performance. (JEL D23, F23, L21, L25, L65)

Scope of Project

JEL Classification:
      D23 Organizational Behavior; Transaction Costs; Property Rights
      F23 Multinational Firms; International Business
      L21 Business Objectives of the Firm
      L25 Firm Performance: Size, Diversification, and Scope
      L65 Chemicals; Rubber; Drugs; Biotechnology; Plastics

Related Publications

Download this project

Published Versions

V1 [2019-10-12]

Export Metadata

Dublin Core

DDI 2.5

Report a Problem

Found a serious problem with the data, such as disclosure risk or copyrighted content? Let us know.

This material is distributed exactly as it arrived from the data depositor. ICPSR has not checked or processed this material. Users should consult the investigator(s) if further information is desired.