Industrial Determinants of Entry and Survival: The case of Ave
The Portuguese region of Ave experienced, in the eighties, a process of crisis, followed by a noticeable recovery. The aim of this paper is to find industry specific determinants of firms’ entry and survival for Ave during that period. Results appear to be different from those of other studies. In Ave, variables like industry profit rates, minimum economic dimension, the importance of foreign trade, and industry relative size seem to have decisively influenced entry. Survival determinants are less clear, though the influence of foreign trade and firms debts look like to have contributed to firms’ survival.
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