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Export status and firm growth of European SMEs

Author

Listed:
  • Martin Falk

    () (Austrian Institute of Economic Research (WIFO))

  • Eva Hagsten

    () (Statistics Sweden)

Abstract

This paper provides new evidence on the link between the export status and growth of small and medium-sized enterprises. The data consists of CIS 2010 data for 20 EU countries with about 113,000 firm-level observations. The results show that growth rates of both output and employment of exporting SMEs are significantly higher than those for non exporting SMEs. On average exporting SMEs have a 0.6 percentage points higher average employment growth rate and a 0.9 percentage points higher average output growth rate (in current prices) per year for the period 2008-2010. However, there is a large variation in the strength of the link between firm growth and export status with higher magnitudes for SMEs in manufacturing and business services and lower in the remaining service industries.

Suggested Citation

  • Martin Falk & Eva Hagsten, 2015. "Export status and firm growth of European SMEs," Economics Bulletin, AccessEcon, vol. 35(2), pages 1330-1338.
  • Handle: RePEc:ebl:ecbull:eb-14-01039
    as

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    File URL: http://www.accessecon.com/Pubs/EB/2015/Volume35/EB-15-V35-I2-P134.pdf
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    References listed on IDEAS

    as
    1. Bernard, Andrew B. & Bradford Jensen, J., 1999. "Exceptional exporter performance: cause, effect, or both?," Journal of International Economics, Elsevier, vol. 47(1), pages 1-25, February.
    2. Robson, Paul J A & Bennett, Robert J, 2000. "SME Growth: The Relationship with Business Advice and External Collaboration," Small Business Economics, Springer, vol. 15(3), pages 193-208.
    3. Andrew Bernard & Joachim Wagner, 1997. "Exports and success in German manufacturing," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 133(1), pages 134-157, March.
    4. Agiomirgianakis, G. & Asteriou, D., 2003. "The Determinants of Small Firm Growth in the Greek Manufacturing Sector," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 18, pages 817-836.
    5. Becchetti, Leonardo & Trovato, Giovanni, 2002. "The Determinants of Growth for Small and Medium Sized Firms: The Role of the Availability of External Finance," Small Business Economics, Springer, vol. 19(4), pages 291-306, December.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    export status; exports of goods and services; SMEs; firm growth; Community Innovation survey;

    JEL classification:

    • F1 - International Economics - - Trade
    • L2 - Industrial Organization - - Firm Objectives, Organization, and Behavior

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