Does export destination affect firm productivity? Evidence from small- and medium-sized enterprises in the Vietnamese manufacturing sector

Vo, Diem Thi Hong, Sun, Sizhong, and Phan, Chung Thanh (2020) Does export destination affect firm productivity? Evidence from small- and medium-sized enterprises in the Vietnamese manufacturing sector. Global Economic Review, 49 (1). pp. 23-42.

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Abstract

This study investigates the impact of export destinations on the productivity of small- and medium-sized enterprises (SMEs) in the Vietnamese manufacturing sector (2007-2013), using fixed effects and instrumental variables to control for possible endogeneity of export in our estimation. Empirical results indicate that export does not significantly improve the productivity of SMEs. In addition, we also consider whether export to developed (and developing) countries differently affects firm productivity in our exercise, and our results suggest no evidence of learning by exporting to developed (and developing) countries. For other factors, firm age and capital intensity are found to have negative impacts on firm productivity, while human capital-related factors, innovation activities, and government assistances show positive and significant productivity effects.

Item ID: 62497
Item Type: Article (Research - C1)
ISSN: 1744-3873
Keywords: Export destination, Productivity, Learning by exporting, Instrument variables, Vietnamese SMEs
Copyright Information: © 2020 Institute of East and West Studies, Yonsei University, Seoul.
Date Deposited: 11 Mar 2020 07:39
FoR Codes: 38 ECONOMICS > 3801 Applied economics > 380109 Industry economics and industrial organisation @ 100%
Downloads: Total: 1
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