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The Offshoring Challenge pp 287–299Cite as

Do Expectations Match Reality When Firms Consider the Risks of Offshoring? A Comparison of Risk Assessment by Firms with and Without Offshoring Experience

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Abstract

The risk associated with offshoring is a recurrent theme in research. However, previous research has mainly given a static picture of offshoring risks even though the strategies of offshoring firms, including their views on risks, may change as they gain experience in the field. In this chapter we investigate the influence of organizational learning on firms’ perceptions of the risks in offshoring. We use survey data from firms in Scandinavia and compare the risk assessments of firms without offshoring experience with firms that engage in offshoring. The findings show that firms without offshoring experience particularly stress exogenous risks while firms with offshoring experience see the endogenous risks as important. We offer two different interpretations of these results.

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Author information

Authors and Affiliations

  1. Department of Strategic Management and Globalization, Copenhagen Business School, Kilevej 14, 2000, Frederiksberg, Denmark

    Peter D. Ørberg Jensen, Torben Pedersen & Bent Petersen

Authors
  1. Peter D. Ørberg Jensen
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  2. Torben Pedersen
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  3. Bent Petersen
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Corresponding author

Correspondence to Peter D. Ørberg Jensen .

Editor information

Editors and Affiliations

  1. Department of Strategic Management, Copenhagen Business School, Kilevej 14, Frederiksberg, DK-2000, Denmark

    Torben Pedersen

  2. Department of Strategic Management, Copenhagen Business School, Sachsenhausenerstr. 43, Schwalbach a. Ts., 3500, Denmark

    Lydia Bals

  3. Center for Strategic Management, Copenhagen Business School, Porcelaenshaven 24, Frederiksberg, DK-2000, Denmark

    Peter D. Ørberg Jensen

  4. Department of Strategic Management, Copenhagen Business School, Kilevej 14, Frederiksberg, DK-2000, Denmark

    Marcus M. Larsen

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Jensen, P.D.Ø., Pedersen, T., Petersen, B. (2013). Do Expectations Match Reality When Firms Consider the Risks of Offshoring? A Comparison of Risk Assessment by Firms with and Without Offshoring Experience. In: Pedersen, T., Bals, L., Ørberg Jensen, P., Larsen, M. (eds) The Offshoring Challenge. Springer, London. https://doi.org/10.1007/978-1-4471-4908-8_16

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  • DOI: https://doi.org/10.1007/978-1-4471-4908-8_16

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  • Publisher Name: Springer, London

  • Print ISBN: 978-1-4471-4907-1

  • Online ISBN: 978-1-4471-4908-8

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