The present study evaluates the existence of differences in competitiveness of Spanish industrial firms as a consequence of the district effect. A quantitative analysis has been performed in order to assess external competitiveness taking into account whether firms are located in industrial districts—in the sense proposed by Marshall-Becattini—or remain isolated. The methodological approach considers geographical and sectoral variables. It attempts to establish the existence of a relationship between sectoral specialisation and business efficiency— measured as the capacity to export—in local productive systems. Most of the variables come from a 1991 fiscal data-set and the territorial units of analysis are 332 municipalities with a population of over 15 000 inhabitants. From the results on the econometric model, it can be inferred that the geographical concentration of companies in the same activity positively influences their level of competitiveness.
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