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Export Propensities and Intensities of Small and Medium Manufacturing Enterprises in South Africa

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  • V. Gimede

Abstract

The basic premise of this study is that enterprise linkages, export marketing, and sunk costs significantly affect the propensities to export and intensities of exporting of small and medium manufacturing enterprises in South Africa. The hypothesis tested was that small and medium manufacturing enterprises break through into foreign markets with relative ease when involved in linkages because they facilitate information flows, thereby easing the international marketing burden on the shoulders of individual enterprise units. A theoretical perspective adopted by this study was that small- and medium-sized enterprises involved in enterprise linkages that have intermediaries are in a better position to enter and exit international markets. Empirical testing using survey data confirms this. This study, therefore, recommends that export promotion initiatives should take these factors into account. There are many possibilities discussed in this study. The important point is that there is now clarity about the main hindrances to probabilities of exporting and export intensities of small and medium manufacturing enterprises in South Africa. By implication, export market intelligence should be prioritized.

Suggested Citation

  • V. Gimede, 2004. "Export Propensities and Intensities of Small and Medium Manufacturing Enterprises in South Africa," Small Business Economics, Springer, vol. 22(5), pages 379-389, June.
    • Handle: RePEc:kap:sbusec:v:22:y:2004:i:5:p:379-389
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    Cited by:

    1. Gianmarco Ottaviano & Christian Volpe Martincus, 2011. "SMEs in Argentina: who are the exporters?," Small Business Economics, Springer, vol. 37(3), pages 341-361, October.
    2. Zahoor, Nadia & Khan, Zaheer & Meyer, Martin & Laker, Benjamin, 2023. "International entrepreneurial behavior of internationalizing African SMEs – Towards a new research agenda," Journal of Business Research, Elsevier, vol. 154(C).
    3. Hamza El Guili, 2018. "Internationalization of African SMEs: Context, Trends and Challenges," Proceedings of the 11th International RAIS Conference, November 19-20, 2018 020HG, Research Association for Interdisciplinary Studies.
    4. Jiawen Chen & Linlin Liu, 2023. "A historical perspective on informal institutional and international entrepreneurship," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-12, December.
    5. Gonzalo Molina-Sieiro & Katia M. Galdino & R. Michael Holmes, 2023. "Ownership types, institutions, and the internationalization of emerging economy new ventures: evidence from Africa," Small Business Economics, Springer, vol. 60(3), pages 1121-1145, March.
    6. Marianne Matthee & Waldo Krugell, 2011. "Barriers to Internationalisation: Firm-Level Evidence from South Africa," Working Papers 2011/09, Maastricht School of Management.
    7. Martín-Tapia, Inmaculada & Aragón-Correa, J. Alberto & Rueda-Manzanares, Antonio, 2010. "Environmental strategy and exports in medium, small and micro-enterprises," Journal of World Business, Elsevier, vol. 45(3), pages 266-275, July.

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