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Bank Support and Export: Evidence from Small Italian Firms

Author

Listed:
  • Francesca Bartoli

    (Unicredit)

  • Giovanni Ferri

    (University of Bari)

  • Pierluigi Murro

    (Luiss University)

  • Zeno Rotondi

    (Unicredit)

Abstract

The ability of a country and its businesses to grow is tightly related to the possibility of exporting and penetrating into foreign markets. The aim of this paper is to study whether bank support can help small businesses (SBs) exporting at the extensive as well as the intensive margin. We address this issue by using a large database on Italian small firms based on a specific designed survey. We provide an empirical analysis of the role of bank support in a§ecting the firms’ export decisions. Our results show that among the exporting SBs those using bank services to support their exports have a higher probability of being better placed in both intensive and extensive margin. More importantly, these positive impacts on export are statistically significant only when the main bank of the firm is an internationalized bank. These results have relevant policy implications as well as consequences for the business models of internationalized banks.

Suggested Citation

  • Francesca Bartoli & Giovanni Ferri & Pierluigi Murro & Zeno Rotondi, 2012. "Bank Support and Export: Evidence from Small Italian Firms," SERIES 0042, Dipartimento di Economia e Finanza - Università degli Studi di Bari "Aldo Moro", revised Jan 2012.
    • Handle: RePEc:bai:series:economia-series42
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    More about this item

    Keywords

    Small business finance; Margins of export; Bank-firm relationships; External Finance.;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • G20 - Financial Economics - - Financial Institutions and Services - - - General

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