This paper presents theoretical and empirical analyses of strategic responses to competition from low-cost countries (LCCs). Surveying 423 firms in the U.S. and Germany, we consider the nature of low-cost competition and strategic responses by advanced market incumbents. The theoretical...

Using detailed firm-product level quarterly data, we develop an estimation framework of a Multi-Product Production Function (MPPF) and analyse firm-product level TFP estimations at various levels (industries, products). After documenting our estimation results, we relate productivity estimates...

We study how increased import competition affects the evolution of productivity in a small open economy. We use a production survey of Belgian firms where we observe quarterly firm-product data at the 8-digit level on value and quantities sold together with firm-level labor, capital, and...