What Determines Small Champions’ Export Performance? Evidence from Korea Firm-Level Data

2015 ◽  
Vol 14 (2) ◽  
pp. 138-155
Author(s):  
Young Gui Kim ◽  
Jeongmeen Suh
Keyword(s):  
Export Performance ◽  
Policy Implications ◽  
Export Intensity ◽  
Firm Level ◽  
High Productivity ◽  
Policy Interventions ◽  
Level Data ◽  
Firm Level Data ◽  
Entry Decision ◽  
Korean Firm

Small- and medium-sized enterprises (SMEs) often have different export behavior than bigger firms, in spite of their high productivity. To understand the behavior of these small champions, we develop a theoretical framework that analyzes the factors that affect firm export performance, from the decision to start exporting (the extensive export margin) and how much they will export (the intensive export margin). When we use Korean firm-level data to test our model, we find that productivity plays an important role in the firm export entry decision, and fixed export costs are important determinants of fractions of export intensity. We use our empirical results to explore the policy implications of policy interventions focused on SME export.

scholarly journals Institutional environment, competencies and firm export performance: A study of the emerging country

2021 ◽  
Vol 18 (2) ◽  
pp. 169-179
Author(s):  
Areej Aftab Siddiqui ◽  
Parul Singh
Keyword(s):  
Institutional Environment ◽  
Labour Force ◽  
Export Performance ◽  
Political Stability ◽  
Policy Reforms ◽  
Heckman Selection Model ◽  
Export Intensity ◽  
Firm Level ◽  
Skilled Labour ◽  
Level Data

The study is an attempt to examine the determinants and impact of export propensity and export intensity for firm-level performance in India. The factors determining export propensity are political stability, corruption, and competition from the informal sector while the determinants of export intensity in the present study are identified as a skill of the labour force, the technological capability of a firm, and foreign ownership of technology in a firm in India. A two-stage Heckman selection model has been advanced to investigate the linkage between the export performance of Indian firms with the home institutional environment and firm competencies. Firm-level data of approximately 8,000 Indian firms are used as available from the World Bank’s Enterprise Surveys (WBES) database. The results indicate that political stability and competition effect export propensity of Indian firms while export intensity is impacted by access to technology and employing skilled labour. The study has important theoretical implications in terms of understanding the exporting behaviour of firms. It indicates that the decision of firms to export and their export performance are interlinked. It is affirmed that export intensity is dependent on firm-specific competencies while institutions indirectly influence the decision of firms to export. The policy measures of Skill India and Make in India strongly favour increased access to the skilled labour force and strengthening the domestic industry which may lead to an increase in the export intensity of Indian firms. The recent institutional measures adopted favour a stable environment of doing business as well as providing firms opportunities to focus and leverage their competencies in the best possible manner. The current nascent steps of policy reforms need to be aggressively implemented for enhanced export capabilities of Indian firms

Location Proximity and Productivity Spillovers: The Case of Korean Manufacturing Plants

2015 ◽  
Vol 14 (1) ◽  
pp. 104-118 ◽  
Author(s):  
Backhoon Song
Keyword(s):  
Knowledge Spillovers ◽  
Factor Productivity ◽  
Firm Level ◽  
Manufacturing Plants ◽  
High Productivity ◽  
External Knowledge ◽  
Sources Of Knowledge ◽  
Level Data ◽  
Firm Level Data ◽  
New Ideas

Knowledge spillovers have been recognized as an important source of innovation and economic growth in both industry and firm-level data. A firm may reap benefits by locating near other firms in the same geographical region. In this paper, we examine how physical proximity influences a firm's future productivity and its survival possibility. Our results indicate that a firm located in a region with a higher median total factor productivity (TFP) gains higher productivity from other firms in the same region. One possible explanation is that such a firm has more opportunity to access superior external knowledge and to produce more new ideas. Our results also indicate these productivity-enhancing characteristics do not seem to be industry-specific. Finally, we find that high productivity firms are the only significant sources of knowledge spillovers, suggesting that firms benefit most from combining their internal knowledge with the external knowledge of neighboring firms with high TFP on average.

scholarly journals Determinants of export performance of Ukrainian firms

Equilibrium ◽  
2015 ◽  
Vol 10 (3) ◽  
pp. 91
Author(s):  
Andrzej Cieślik ◽  
Jan Jakub Michałek ◽  
Iryna Nasadiuk
Keyword(s):  
World Bank ◽  
Firm Heterogeneity ◽  
Export Performance ◽  
University Graduates ◽  
Trade Theory ◽  
Firm Level ◽  
The World Bank ◽  
Level Data ◽  
The World ◽  
Firm Level Data

Following the new strand in the new trade theory literature that focuses on firm heterogeneity, in this paper we investigate the determinants of a firm’s export performance in Ukraine. The study is based on the BEEPS firm level data compiled by EBRD and the World Bank. The study covers the period starting in 2005 and ending in 2013. We estimate the probit regressions for each year of our sample as well as for the pooled dataset that includes all years. Our pooled estimation results indicate that the probability of exporting is related to the level of productivity, the firm size, innovation, the share of university graduates in productive employment, as well as the internationalization of firms.

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