 International trade and retail market performance and structure: Theory and empirical evidencePhilipp Meinen and Horst Raff Journal of International Economics, 2018, vol. 115, issue C, 99-114 Abstract: We use Danish microdata for the period 1999 to 2008 to examine how greater consumer goods imports affect retail market performance and structure. Based on a propensity score matching approach, we estimate that retailers that start to import have 8% greater sales, 6% greater profits, and 2% greater markups in the year of import initiation compared to non-importing retailers. These differences are quite persistent. For instance, we estimate that cumulative sales of import starters are up to 30% higher on average after three years than for comparable non-importers. We also find that imports are associated with a higher exit probability of small retailers and greater local retail market concentration. We argue that the observed adjustments may imply additional gains from trade absent from models lacking a distribution sector. Keywords: International trade; Consumer goods; Retailing; Retail chains; Market concentration (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:inecon:v:115:y:2018:i:c:p:99-114 DOI: 10.1016/j.jinteco.2018.08.010 Access Statistics for this article Journal of International Economics is currently edited by Gourinchas, Pierre-Olivier and RodrÃguez-Clare, Andrés More articles in Journal of International Economics from Elsevier |
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