Do sunk exporting costs differ among markets? Evidence from Spanish manufacturing firms

Jose Vicente Blanes (), Marion Dovis (), Juliette Milgram () and Ana Isabel Moro Egido ()
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Ana Isabel Moro Egido: Department of Economic Theory and Economic History, University of Granada.
Authors registered in the RePEc Author Service: Ana Isabel Moro-Egido ()

No 07/02, ThE Papers from Department of Economic Theory and Economic History of the University of Granada.

Abstract: In this paper, we test the hypothesis of sunk exporting costs differing among markets. We use a sample of Spanish firms from Encuesta sobre Estrategias Empresariales (ESEE) for period 1991-2002. Our results confirm the importance of those sunk costs and demonstrate that they differ depending on the market they export to. Although most of the firms exports to developed markets, the costs to enter (and "to re-enter") are greater in those markets.

Keywords: Sunk costs; heterogeneity of firms; Regionalism. (search for similar items in EconPapers)
JEL-codes: F12 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-int and nep-mic
Date: 2007-05-09
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Journal Article: Do sunk exporting costs differ among markets? Evidence from Spanish manufacturing firms (2008)
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Persistent link: http://EconPapers.repec.org/RePEc:gra:wpaper:07/02

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