We study the determinants of the firm-level choice to produce following an order placed by a downstream firm (production to order) or to produce in advance. We rationalize this choice through a simple theoretical model and apply it to a firm-level empirical analysis. Relying on a large panel of...

This (revised) study seeks to examine the rise, expansion, and ultimate decline of the Italian wool-based textile industries over a period of six centuries (from ca. 1100 to ca. 1730). An international trade model combining transaction costs and comparative advantage is employed to explain the...

This study of the Italian wool-based textile industries (woollens, worsteds, and serges) seeks to examine its rise, expansion, and ultimate decline, over a period of five centuries (from ca. 1200 to ca. 1730) in the context of both international competition and economic conjoncture, in the...

A firm’s choice of location is very important because it reveals the firm’s dynamics. Using a unique firm-level data set, we examine whether and how the presence of incumbent transaction partners (i.e., suppliers, customers, and lender banks) affects this choice. To this end, we focus on...

Entrepreneurship is an important process in regional economic development. Especially the continued growth of a minority of new firms is of major significance to the commercialization of new ideas and employment growth. These growing new firms are transforming on a structural basis, like...

This paper provides an overview and critical assessment of co-location and clustering in space. Basic location conditions include accessibility to customers, input suppliers including knowledge providers, and regional endowments. A distinction is made between slow and fast location adjustments....

The location-triangle framework, which was originally established by Alfred Weber, has been expanded in various ways and generalized as the Weber-Moses location-triangle model. However, several essential elements, in particular, regarding agglomeration economies have been excluded from the model...

The location-triangle framework, which was originally established by Alfred Weber, has been expanded in various ways and generalized as the Weber-Moses location-triangle model. However, several essential elements, in particular, regarding agglomeration economies have been excluded from the model...

The lack of access to formal credit at affordable cost (effective interest) is the most critical constraint faced by the rural entrepreneurs to get involved in productive profitable business activities. This study explores the causes behind the widespread existence of informal credits as...

It is well established in the literature that foreign affiliates are subject to a series of governance and assimilation costs that deteriorate their performance. This is particularly relevant for firms which have been recently acquired by foreign investors. We employ the variation in civic...