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The size of the firm in a transitional economy: Downsizing and economies of scale: The case of Russian footwear

  • Rinaldi, Gustavo

Did Russian reforms alter the privileged position enjoyed in Soviet times by large firms? This paper considers the size of firms in one industry (footwear) during the years 1992-2000 and its relation to productivity. Soviet footwear firms were much larger than their foreign counterparts. With the transition to a market-based economy these large firms might lose their advantage relative to smaller firms. This study finds that while firms in each size category in this industry did substantially downsize, this process did not significantly affect relative productivities. It does not appear that larger firms created in Soviet times were relatively disadvantaged.

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Article provided by Elsevier in its journal Economic Systems.

Volume (Year): 32 (2008)
Issue (Month): 4 (December)
Pages: 389-409

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Handle: RePEc:eee:ecosys:v:32:y:2008:i:4:p:389-409
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  1. Saul Estrin & Alan A. Bevan & Boris Kuznetsov & Mark E. Schaffer & Manuela Angelucci & Julian Fennema & Giovanni Mangiarotti, 2001. "The Determinants of Privatised Enterprise Performance in Russia," William Davidson Institute Working Papers Series 452, William Davidson Institute at the University of Michigan.
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  4. Gustavo Rinaldi, 2008. "The disadvantage of entrants: did transition eliminate it? The case of the Russian footwear industry (1992–2000)," Empirica, Springer, vol. 35(1), pages 105-128, March.
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  8. Wendy Carlin & Steven Fries & Mark Schaffer & Paul Seabright, 2001. "Competition and enterprise performance in transition economies: evidence from a cross-country survey," Working Papers 63, European Bank for Reconstruction and Development, Office of the Chief Economist.
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