Entry thresholds and actual entry and exit in local markets
AbstractBresnahan and Reiss (1991) derive entry thresholds for local markets but do not investigate actual entry and exit flows. This paper investigates for thirteen Belgian retail and consumer service industries whether markets with actual numbers of firms higher (lower) than the thresholds display exit (entry) in subsequent periods. The results confirm that over a three-year period the rate of (net) entry is positively affected by the presence of âmarket roomâ. The exit rate, however, does not show a negative relation with âmarket roomâ. Copyright Springer 2007
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Bibliographic InfoPaper provided by Maastricht University in its series Open Access publications from Maastricht University with number urn:nbn:nl:ui:27-15263.
Date of creation: 2007
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Publication status: Published in Small business economics : an international journal (2007) v.29, p.203-212
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Other versions of this item:
- Martin Carree & Marcus Dejardin, 2007. "‘Entry Thresholds and Actual Entry and Exit in Local Markets’," Small Business Economics, Springer, vol. 29(1), pages 203-212, June.
- Carree,Martin & Dejardin,Marcus, 2004. "Entry thresholds and actual entry and exit in local markets," Research Memoranda 048, Maastricht : METEOR, Maastricht Research School of Economics of Technology and Organization.
- L80 - Industrial Organization - - Industry Studies: Services - - - General
- R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
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