Competition, regulation, and pricing behavior in the Spanish retail gasoline market

The restructuring of the Spanish oil industry produced a highly concentrated oligopoly in the retail gasoline market. In June 1990 the Spanish government introduced a system of ceiling price regulation in order to ensure that "liberalization" was accompanied by adequate consumer protection. This paper examines the pricing behavior of the retail gasoline market using multivariate error correction models over the period January 1993 (abolishment of the state monopoly)-December 2004. The results suggest that gasoline retail prices respond symmetrically to increases and decreases in the spot price of gasoline. However, one the ceiling price regulation was abolished, the "collaboration" between the government and the major operators, Repsol-YPF and Cepsa-Elf in order to control the inflation rate results in a slower rate of increase (decrease) of gasoline retail prices when gasoline spot prices went up (went down) than elsewhere in the European Union. Finally, retail margins were by the end of our timing period of analysis, as in the first years after the abolishment of the state monopoly, well above the European ones.regulation, pricing behavior, competition, gasoline market

Do entrepreneurial role models influence the nascent entrepreneurial activity of immigrants?

This is the peer reviewed version of the following article: Contín-Pilart, I. and Larraza-Kintana, M. (2015), Do Entrepreneurial Role Models Influence the Nascent Entrepreneurial Activity of Immigrants? Journal of Small Business Management, 53: 1146–1163, which has been published in final form at http://dx.doi.org/ 10.1111/jsbm.12153. This article may be used for non-commercial purposes in accordance with Wiley Terms and Conditions for Self-Archiving.This paper examines how the influence of entrepreneurial role models in the individual’s decision to become a nascent entrepreneur is moderated by their socio-cultural fit. By looking at the entrepreneurial activity of immigrants, the paper proposes that, because of their lower sociocultural fit, immigrants are less likely to be influenced in their entrepreneurial activity by past and present entrepreneurs in the region where they live compared with the native population. Using a large database of 28,306 individuals in 50 Spanish provinces, the results confirm our hypothesis. The moderating effect of cultural distance and time of residence is also analyzed.The authors wish to acknowledge financial support from the Government of Navarra through its Employment Service (Servicio Navarro de Empleo). Financial support from the Spanish Ministry of Science and Innovation (projects ECO2010-21242-C03-03 and ECO2010-21393-C04-03) is also acknowledge

Competition, regulation, and pricing behavior in the Spanish retail gasoline market

The restructuring of the Spanish oil industry produced a highly concentrated oligopoly in the retail gasoline market. In June 1990 the Spanish government introduced a system of ceiling price regulation in order to ensure that "liberalization" was accompanied by adequate consumer protection. This paper examines the pricing behavior of the retail gasoline market using multivariate error correction models over the period January 1993 (abolishment of the state monopoly)-December 2004. The results suggest that gasoline retail prices respond symmetrically to increases and decreases in the spot price of gasoline. However, one the ceiling price regulation was abolished, the "collaboration" between the government and the major operators, Repsol-YPF and Cepsa-Elf in order to control the inflation rate results in a slower rate of increase (decrease) of gasoline retail prices when gasoline spot prices went up (went down) than elsewhere in the European Union. Finally, retail margins were by the end of our timing period of analysis, as in the first years after the abolishment of the state monopoly, well above the European ones.Ignacio Contín-Pilart gratefully acknowledges financial support from the Spanish Ministry of Education project SEJ2004-07242-C03-02

Pricing (A) symmetries and evolution of margins in the Spanish diesel market

With the restructuring of the Spanish oil sector during the 1980s and early 1990s, a highly concentrated oligopoly emerged in the automotive fuels market. The restructuring ended up with the abolishment of the sate oil monopoly in January 1993. A system of price ceiling replaced administered prices in June 1990, which was abolished for automotive diesel in June 1996. This paper analyzes the price dynamics of the Spanish retail automotive diesel market over the period 1993-2005. Concretely, it deals with the issue of asymmetries in the relation between the retail price of diesel before taxes and its spot price. The paper also analyzes the “collaboration” between the government and the major operators in setting prices. For the period 1993-1998, we find symmetric and full adjustment of the Spanish retail diesel prices before taxes to the Rotterdam prices, whereas from the late 1998 onward the empirical evidence suggests a weak positive price asymmetry. Furthermore, the paper shows how the government and the major operators have effectively “collaborated” in setting retail diesel prices since 1999 in order to control the inflation rate.Competition, price asymmetries and diesel.

Publicly funded pre-start support for new firms: who demands it and how it affects their employment growth

This paper examines pre-start determinants of the demand for publicly funded external support to new ventures. It also investigates the effects of different types of such support on subsequent firm growth. Adopting resource-based and information asymmetry approaches, the paper argues that the entrepreneurs who ask for publicly funded pre-start support are more likely to face information asymmetries with regard to resource providers, which in turn depend on their level of human and social capital. It also suggests that intangible support oriented towards knowledge generation would be the most beneficial. A series of two-stage treatment effects models applied to a representative sample of new firms in Navarra (Spain) offer considerable support to our predictions. Implications for research and policy are discussed.The authors wish to acknowledge the financial support received to conduct this research from the Government of Navarra under project PA03018. Support from the Spanish Ministry of Science and Technology is also acknowledged (Projects ECO2010-21242-C03-01, ECO2010-21242-C03-03 and ECO2010-21393-C04-03)

The influence of individual perceptions and the urban/rural environment on nascent entrepreneurship

Individual perceptions have been shown to affect the decision to start a new firm. This decision is also contingent upon the context in which actions are taken. However, not much is known about the joint impact of entrepreneurs' perceptions and the urban/rural environment where the firm is created. The purpose of this paper is to examine how nascent entrepreneurship is influenced by individual perceptions and the urban/rural context. Using data from the Spanish GEM project, the results of a series of logistic regression models indicate that opportunity perception and self-efficacy have a positive influence on the probability of becoming a nascent entrepreneur. Interestingly, we also find that individuals in rural areas who perceive new opportunities are more likely to become nascent entrepreneurs rather than those who live in urban ones.Las percepciones subjetivas de los emprendedores han servido para explicar la decisión al emprender una nueva iniciativa empresarial. Sin embargo, esta decisión también está influida por el entorno en el que se toma. En este sentido, existe poca literatura sobre el impacto conjunto de las percepciones de los emprendedores y el entorno rural o urbano en el que se crea la empresa. Por ello, el propósito de este artículo es analizar cómo el emprendimiento naciente está condicionado por las percepciones individuales y el entorno, rural o urbano, en el que se ubica el emprendedor. Los resultados de una serie de modelos de regresión logística sobre los datos del proyecto GEM para España, indican que la percepción de oportunidad y la confianza en las propias habilidades tienen un impacto positivo en la probabilidad de convertirse en emprendedor naciente. Asimismo destaca que, en comparación con los individuos que residen en entornos urbanos, los individuos en áreas rurales que perciben oportunidades tienen una mayor probabilidad de convertirse en emprendedores nacientes