Firm entry and firm growth

Details

Serval ID
serval:BIB_A8FE6CEB59BE
Type
Article: article from journal or magazin.
Collection
Publications
Title
Firm entry and firm growth
Journal
Review of Industrial Organization
Author(s)
Mata J.
ISSN
0889-938X
Publication state
Published
Issued date
1993
Peer-reviewed
Oui
Volume
8
Number
5
Pages
567–578
Language
english
Abstract
This paper reports on the importance of firm entry and growth flows in Portuguese manufacturing during the period 1982–86, and investigates their determinants. We find that both movements are induced by past profitability and deterred by economies of scale, product differentiation and sunk costs. The analysis does not reject the hypothesis that the determinants of firm entry and growth are quantitatively the same, thereby giving some support to the hypothesis that entry and expansion are close substitutes in absorbing industry excess profits, and that the choice between them does not depend on the height of the entry/mobility barriers.
Keywords
Entry and mobility barriers, Sunk costs
Create date
28/04/2017 13:47
Last modification date
20/08/2019 15:13
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