David Greenaway;Richard Kneller(2005;University of Nottingham)Firm Heterogeneity, Exporting and Foreign Direct Investment:A Survey
Abstract
A new and rapidly expanding literature on firm heterogeneity and firm level
globalisation strategies has developed over the last decade. New insights on why
some firms export and others do not, why some firms fail to survive in export
markets, whilst others do and why some choose to produce overseas rather than
export have been generated. This paper provides a synthesis and evaluation of this
literature. It reviews both new theories of the firm in an open economy context and
the extensive microeconometric evidence base, which has now developed. As well as
highlighting the implications of this evidence base for policy, the evaluation also
includes an assessment of how the research agenda may evolve in the future.