Market Size, Competition, and the Product Mix of Exporters

Thierry Mayer (), Marc J. Melitz and Gianmarco .P. Ottaviano ()

No 16959, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We build a theoretical model of multi-product firms that highlights how competition across market destinations affects both a firm's exported product range and product mix. We show how tougher competition in an export market induces a firm to skew its export sales towards its best performing products. We find very strong confirmation of this competitive effect for French exporters across export market destinations. Theoretically, this within firm change in product mix driven by the trading environment has important repercussions on firm productivity. A calibrated fit to our theoretical model reveals that these productivity effects are potentially quite large.

JEL-codes: F12 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-com and nep-int
Date: 2011-04
Note: ITI
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (16) Track citations by RSS feed

Downloads: (external link)
http://www.nber.org/papers/w16959.pdf (application/pdf)
Access to the full text is generally limited to series subscribers, however if the top level domain of the client browser is in a developing country or transition economy free access is provided. More information about subscriptions and free access is available at http://www.nber.org/wwphelp.html. Free access is also available to older working papers.

Related works:
Working Paper: Market Size, Competition, and the Product Mix of Exporters (2012)
Working Paper: Market Size, Competition, and the Product Mix of Exporters (2011)
Working Paper: Market Size, Competition, and the Product Mix of Exporters (2011)
Working Paper: Market Size, Competition, and the Product Mix of Exporters (2011)
Working Paper: Market size, competition and the product mix of exporters (2010)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:nbr:nberwo:16959

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w16959
The price is Paper copy available by mail.

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc
Address: National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.
Contact information at EDIRC.
Series data maintained by ().