THE POST-ENTRY PERFORMANCE OF FIRMS - INTRODUCTION

This article summarizes the contents of the special issue of the Inter national Journal of Industrial Organization on the post-entry performa nce of firms, as well as placing it in the context of a growing litera ture on industry demographics. A series of studies focusing on the pro cess of entry has led to the conclusion that what happens to firms sub sequent to their entry is at least as important as the entry process i tself. Understanding the post-entry performance of firms is important because it sheds light on the selection process of markets enabling so me firms to survive and grow, while others stagnate and ultimately exi t.