Sector Switching: An Unexplored Dimension of Firm Dynamics in Developing Countries



Table 3: OVERVIEW OF FIRM DYNAMICS

2001

2002

2003

2004

Total

Sector switch IN

..

214

466

489

1,169

(SW1)

..

[212]

[330]

[250]

[792]

..

(2,0)

(3,9)

(3,5)

(2,6)

Sector switch OUT

301

607

523

..

1,431

(SW2)

[298]

[483]

[295]

..

[1,076]

(3,6)

(5,7)

(4,4)

..

(3,2)

Entrants

..

2,125

2,581

3,419

8,125

(ENTRY)

..

..

..

..

..

..

(19,8)

(21,8)

(24,8)

(18,2)

Exits

682

1,088

1,308

..

3,078

(EXIT)

[682]

[662]

[593]

..

[1,937]

(8,2)

(10,1)

(11,1)

..

(6,9)

Total

8,351

10,743

11,814

13,804

44,712

[8,339]

[8,608]

[7,416]

[6,580]

[30,943]

Note: Total number of firms (percentage in parenthesis). In brackets the number of observations
without missing information on firm age. Sector switch IN (SW1): The number of firms that switched
from another 2-digit ISIC sector. Sector switch OUT (SW2): The number of firms that switch main
sector the coming year.

32



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