The theoretical literature on industrial organization has been argued that firms hold excess capacity to deter entry … hold excess capacity not for entry deterrence but for getting higher benefit from other business strategy such as licensing …

levels, and that when differences in opportunity costs exit, they can be conveniently represented by fixed costs. Opportunity … the context of the effect of entry on firm selection in a Cournot setting. It is found that inefficient firms are more … induce the exit of low and high cost firms. …

, Melitz and Yeaple in a model that explains the decision of heterogeneous firms to serve foreign markets either trough exports …

While the role of exports in promoting growth in general, and productivity in particular, has been investigated …