Empirical issues concerning studies of firm entry

Alex Coad (), Masatoshi Kato and Stjepan Srhoj

Industrial and Corporate Change, 2024, vol. 33, issue 1, 277-296

Abstract: We discuss that entry can be considered from various levels of analysis: entrepreneur-level, firm-level, and also at higher levels of aggregation, such as the industry-level and country-level. We also formulate a list of six challenges for econometric studies of firm entry, highlighting the data sources, typical empirical setups, potential sources of bias, and appropriate econometric techniques. While progress can be made with sophisticated econometric estimators, a pressing need for entry studies concerns detailed data on the gestation process, entry modes, and the value of resource endowments and knowledge endowments.

Date: 2024
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