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International entrepreneurship and technological capabilities in the Middle East and North Africa

  • Brach, Juliane

    ()

    (University of Copenhagen and German Institute of Global and Area Studies, Hamburg)

  • Naudé, Wim

    ()

    (UNU-MERIT/MGSoG, University of Maastricht)

In this paper we investigate the extent of international entrepreneurship in Algeria, Egypt, Morocco, Oman and Syria using a dataset covering 3,281 firms. We find that weak technological capabilities constrain internationalization. Firms with ISO accreditation, an own website, and those who have introduced new technology have a higher probability of entering export markets than otherwise. Firms in high-tech sectors are more likely to export early. However with foreign shareholding this advantage of high-tech firms disappears. The results suggest that early international entrepreneurs may need to pay more in informal payments if they want to increase the share of their exports once they have entered into export markets. We derive implications for policy and further research.

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File URL: http://www.merit.unu.edu/publications/wppdf/2012/wp2012-020.pdf
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Paper provided by United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) in its series MERIT Working Papers with number 020.

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Date of creation: 2012
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Handle: RePEc:unm:unumer:2012020
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  1. Ricardo Hausmann & Jason Hwang & Dani Rodrik, 2007. "What you export matters," Journal of Economic Growth, Springer, vol. 12(1), pages 1-25, March.
  2. Castellacci, Fulvio & Natera, Jose Miguel, 2011. "A new panel dataset for cross-country analyses of national systems, growth and development (CANA)," MPRA Paper 28376, University Library of Munich, Germany.
  3. Jan Johanson & Jan-Erik Vahlne, 1977. "The Internationalization Process of the Firm—A Model of Knowledge Development and Increasing Foreign Market Commitments," Journal of International Business Studies, Palgrave Macmillan, vol. 8(1), pages 23-32, March.
  4. Marianne Matthee & Wim Naudé, 2008. "The Determinants of Regional Manufactured Exports from a Developing Country," International Regional Science Review, , vol. 31(4), pages 343-358, October.
  5. Neil Rankin & M�ns Söderbom & Francis Teal, 2006. "Exporting from Manufacturing Firms in Sub-Saharan Africa," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 15(4), pages 671-687, December.
  6. Juliane Brach, 2010. "Technological Readiness in the Middle East and North Africa – Implications for Egypt," GIGA Working Paper Series 155, GIGA German Institute of Global and Area Studies.
  7. Michael Funke & Ralf Ruhwedel, 2003. "Export variety and economic growth in East European transition economies," Macroeconomics 0307002, EconWPA.
  8. Juliane Brach & Robert Kappel, 2009. "Global Value Chains, Technology Transfer and Local Firm Upgrading in Non-OECD Countries," GIGA Working Paper Series 110, GIGA German Institute of Global and Area Studies.
  9. Wim Naudé & Stephanié Rossouw, 2010. "Early international entrepreneurship in China: Extent and determinants," Journal of International Entrepreneurship, Springer, vol. 8(1), pages 87-111, March.
  10. Abu-Qarn, Aamer S. & Abu-Bader, Suleiman, 2007. "Sources of Growth Revisited: Evidence from Selected MENA Countries," World Development, Elsevier, vol. 35(5), pages 752-771, May.
  11. Westhead, Paul & Wright, Mike & Ucbasaran, Deniz, 2001. "The internationalization of new and small firms: A resource-based view," Journal of Business Venturing, Elsevier, vol. 16(4), pages 333-358, July.
  12. Dierk Herzer & Nowak-Lehnmann Felicitas, 2006. "What does export diversification do for growth? An econometric analysis," Applied Economics, Taylor & Francis Journals, vol. 38(15), pages 1825-1838.
  13. Soete, Luc, 2008. "Science, Technology and Development: Emerging concepts and visions," MERIT Working Papers 001, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
  14. World Bank, 2010. "Innovation Policy : A Guide for Developing Countries," World Bank Publications, The World Bank, number 2460.
  15. Fahim Al-Marhubi, 2000. "Export diversification and growth: an empirical investigation," Applied Economics Letters, Taylor & Francis Journals, vol. 7(9), pages 559-562.
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