Our focus is the effects of exchange rate movements on firm decisions on export market entry and export intensity …. Using data on UK manufacturing firms we find that exchange rate movements have little effect on firm export participation … but have a significant impact on export shares. We also investigate the effects of exchange rate movements on the export …

firms can profitably cover these and enter export markets. This is the standard explanation for the regularity with which … differences are important in determining whether learning effects boost productivity after export market entry …