Growth Expectations of Business Owners Impact of Human Capital, Firm Characteristics and Environmental Transition
This paper presents an empirical study based on a survey of 399 owners of small and medium size companies in Lithuania. Applying bivariate and ordered probit estimators, we investigate why some business owners expect their firms to expand, while others do not. Our main findings provide evidence that SME owner’s generic and specific human capital matter. Those with higher education and ‘learning by doing’ attributes, either through previous job experience or additional entrepreneurial experience, expect their businesses to expand. The expectations of growth are positively related to exporting and non-monotonically to enterprise size. In addition, we analyse the link between the perceptions of constraints to business activities and growth expectations and find that the factors, which are perceived as main business barriers, are not necessary those which are associated with reduced growth expectations. In particular, perceptions of both corruption and of inadequate tax systems seem to affect growth expectations the most.
|Date of creation:|
|Date of revision:|
|Contact details of provider:|| Postal: |
Phone: +44-20-7679 8519
Fax: +44-20-7679 8777
Web page: http://www.ssees.ucl.ac.uk/csesce.htm
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:see:wpaper:50. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gerry, Christopher J.)The email address of this maintainer does not seem to be valid anymore. Please ask Gerry, Christopher J. to update the entry or send us the correct address
If references are entirely missing, you can add them using this form.