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- Title
Products or markets: What type of experience matters for export survival?
- Authors
Lawless, Martina; Studnicka, Zuzanna
- Abstract
Previous research has generally shown that increased export experience is positively correlated with the subsequent survival of newly launched export flows by a firm. In this paper, we find that there are important differences in the relationship between firm experience and export survival depending on the source of the experience. Specifically, experience built up by a firm from previously exporting a particular product before launching it in a new market is positively associated with the survival of a new product-market flow. In contrast, experience within a market prior to adding a new product has a mainly negative correlation with the survival probability of the new product-market export flow. This shows that taking a successful product to new markets is more likely to succeed than expanding product range within a market. We further find evidence suggestive of firms bringing their most established products to a wider range of markets while launching new product lines in their more established markets.
- Subjects
PRODUCT launches; EXPORT trading companies; NEW product development; RELATIONSHIP marketing; PRODUCT lines
- Publication
Review of World Economics, 2024, Vol 160, Issue 1, p75
- ISSN
1610-2878
- Publication type
Article
- DOI
10.1007/s10290-023-00507-3