This paper explores the determinants of firm survival in export markets. Our theoretical framework includes a geometric Brownian motion for firm profitability, market-specific sunk and fixed exporting costs that are common across firms, and firm- and market-specific profitability shifters that...

We develop a model of international trade with export quality requirements and two dimensions of rm heterogeneity. In addition to \productivity", rms are also heterogeneous in their \caliber" { the ability to produce quality using fewer xed inputs. Compared to single-attribute models of rm...