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Productivity, Growth, and Internationalisation: The Case of German and British High Techs

  • Fryges, Helmut
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    International engagement is often expected to improve firm performance. Especially for small technology-oriented firms, export activities may be important, being regarded as one way to amortise these firms? high product research and development costs. This paper examines the relationship between international business activities and firm performance using a sample of about 200 young high-tech firms in Germany and the UK that were contacted by two surveys in 1997 and 2003. I find out that the performance enhancing effects of internationalisation that were still observed in 1997 are in fact restricted to an early stage of the firms? life cycles and disappear when technology-oriented firms become mature. The results are in line with many other studies: Firms exhibiting superior performance are or will become exporters.

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    Paper provided by ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research in its series ZEW Discussion Papers with number 04-79.

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    Date of creation: 2004
    Date of revision:
    Handle: RePEc:zbw:zewdip:2884
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    10. Arnold, Jens Matthias & Hussinger, Katrin, 2004. "Export Behavior and Firm Productivity in German Manufacturing: A Firm-level Analysis," ZEW Discussion Papers 04-12, ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research.
    11. Aw, Bee Yan & Chung, Sukkyun & Roberts, Mark J, 2000. "Productivity and Turnover in the Export Market: Micro-level Evidence from the Republic of Korea and Taiwan (China)," World Bank Economic Review, World Bank Group, vol. 14(1), pages 65-90, January.
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    23. Sourafel Girma & David Greenaway & Richard Kneller, 2004. "Does Exporting Increase Productivity? A Microeconometric Analysis of Matched Firms," Review of International Economics, Wiley Blackwell, vol. 12(5), pages 855-866, November.
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