Munich Personal RePEc Archive

Capable companies or changing markets? Explaining the export performance of firms in the defence industry

Castellacci, Fulvio and Fevolden, Arne (2012): Capable companies or changing markets? Explaining the export performance of firms in the defence industry.

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Abstract

The paper carries out an empirical analysis of the factors explaining the export performance of firms in the defence sector. We focus on the case of Norway, and make use of two complementary methodologies: the first is based on quantitative firm-level data analysis for the whole population of defence companies, and the second is based on qualitative case study research on the three most important defence export products (weapon stations, ammunition, electronics). Our empirical results highlight the importance of four major success factors for exporting firms: (1) the participation in offset agreements; (2) the ability to focus on their set of core competencies; (3) their R&D activities and interactions with the public S&T system; (4) demand opportunities and, relatedly, user-producer interactions.

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