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Patterns and determinants of entry and exit in industrial sectors in Sweden
KTH, School of Architecture and the Built Environment (ABE), Transport and Economics (closed 20110301). KTH, School of Industrial Engineering and Management (ITM), Industrial Economics and Management (Dept.). (Economics)ORCID iD: 0000-0002-1692-8677
2007 (English)In: Journal of International Entrepreneurship, ISSN 1570-7385, E-ISSN 1573-7349, Vol. 5, no 3-4, 85-110 p.Article in journal (Refereed) Published
Abstract [en]

This paper uses a unique dataset which gives a complete picture of the pattern of entry and exit in industrial sectors in Sweden during the period 1997-2001. The importance of profitability, industrial market growth, tangible capital intensity, intangible capital intensity and economies of scale for entry and exit are investigated. A fixed effects panel data model is used, and it is shown that the inclusion of unobserved industry-specific effects explains many of the inter-industrial differences in entry and exit rates. For policymakers, this implies that it is difficult to formulate an entrepreneurship policy that can be expected to be equally successful across all industries. It is also shown that investments in intangible assets is one way to compete, while economies of scale tend to deter entry rates.

Place, publisher, year, edition, pages
2007. Vol. 5, no 3-4, 85-110 p.
Keyword [en]
Entry, Exit, Industrial sectors, Panel data
National Category
Economics and Business
URN: urn:nbn:se:kth:diva-62521DOI: 10.1007/s10843-007-0017-zScopusID: 2-s2.0-37549029212OAI: diva2:480529

QC 20120124

Available from: 2012-01-19 Created: 2012-01-19 Last updated: 2016-08-18Bibliographically approved

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Nyström, Kristina
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Transport and Economics (closed 20110301)Industrial Economics and Management (Dept.)
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