Gohar Ghantarchian will examine the effects of firm-specific micro factors (sunk costs) on the export decisions of Armenian firms and will interpret those factors in the context of macroeconomic constraints (e.g. exchange rate, trade policies). She will conduct an econometric analysis of data on the 1700 largest Armenian companies from the National Statistical Service, recent EBRD business survey results, World Bank reports and other data sources. At the end of the study, in addition to submitting an article to an internationally recognized peer-reviewed journal, the researcher will develop policy recommendations on increasing the export volume of existing exporters; promoting desirable forms of behavior for existing and potential exporters, and will disseminate those recommendations through NGOs and international organizations that assist businesses. The researcher also plans to conduct presentations on the research results for policy makers and other relevant actors (e.g. USAID, Bearing Point).