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Export behaviour of micro firms in the Swedish computer and business service industries

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Listed:
  • Falk, Martin
  • Hagsten, Eva

Abstract

he export participation of SMEs in the Swedish computer and business service industries has increased rapidly over the last decade. Despite this, export participation rates-including those of micro enterprises-remained low at 13 per cent in computer services and 8 per cent in business services in 2010. Based on uniquely linked firm-level datasets with full coverage of micro enterprises, this study investigates the determinants of the export participation of Swedish SMEs in the computer and business service industries. Exports include both goods and services. Estimates based on the conditional fixed-effects logit model show a significantly positive relationship between initial labour productivity and the decision to export. One new and interesting finding is that the magnitude of the relationship between the probability to export and initial labour productivity is low when controlling for firm effects. Surprisingly, the impact of labour productivity on exporting in computer services does not differ between micro enterprises and other SMEs (10-249 employees). In business services, the relationship between export probability and labour productivity on the one hand and skill intensity on the other is significant for micro enterprises, but not for other SMEs (10-249 employees).

Suggested Citation

  • Falk, Martin & Hagsten, Eva, 2015. "Export behaviour of micro firms in the Swedish computer and business service industries," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy (IfW), vol. 9, pages 1-24.
  • Handle: RePEc:zbw:ifweej:201532
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    File URL: http://dx.doi.org/10.5018/economics-ejournal.ja.2015-32
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    File URL: https://www.econstor.eu/bitstream/10419/121393/1/837487498.pdf
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    References listed on IDEAS

    as
    1. Henk Kox & Hugo Rojas-Romagosa, 2010. "Exports and Productivity Selection Effects for Dutch Firms," De Economist, Springer, vol. 158(3), pages 295-322, September.
    2. Hansson, Pär & Lundin, Nan Nan, 2003. "Exports as an Indicator on or Promoter of Successful Swedish Manufacturing Firms in the 1990s," Working Paper Series 189, Trade Union Institute for Economic Research.
    3. Heinz Hollenstein, 2005. "Determinants of International Activities: Are SMEs Different?," Small Business Economics, Springer, vol. 24(5), pages 431-450, June.
    4. Martin Andersson & Hans Lˆˆf, 2009. "Learning-by-Exporting Revisited: The Role of Intensity and Persistence," Scandinavian Journal of Economics, Wiley Blackwell, vol. 111(4), pages 893-916, December.
    5. Yvonne Wolfmayr & Elisabeth Christen & Michael Pfaffermayr, 2013. "Pattern, Determinants and Dynamics of Austrian Service Exports – A Firmlevel Analysis," FIW Research Reports series IV-005, FIW.
    6. Alexander Eickelpasch & Alexander Vogel, 2010. "Determinants of the export behaviour of German business services companies," The Service Industries Journal, Taylor & Francis Journals, vol. 31(4), pages 513-526, May.
    7. David Greenaway & Richard Kneller, 2007. "Firm heterogeneity, exporting and foreign direct investment," Economic Journal, Royal Economic Society, vol. 117(517), pages 134-161, February.
    8. Siri Terjesen & Colm O'Gorman & Zoltan J. Acs, 2008. "Intermediated mode of internationalization: new software ventures in Ireland and India," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 20(1), pages 89-109, January.
    9. Peter Hill, 1999. "Tangibles, intangibles and services: a new taxonomy for the classification of output," Canadian Journal of Economics, Canadian Economics Association, vol. 32(2), pages 426-446, April.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    exports; productivity; computer service industry; business services; human capital; conditional logit model;

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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