Financial influences on export status of small and medium-sized enterprises in an emerging economy

Abu Hanifah Ayob, Sveinn Vidar Gudmundsson, Mohd Hasimi Yaacob

Research output: Contribution to journalArticle

6 Citations (Scopus)

Abstract

The purpose of this study is to understand financial and behavioural influences on the export status of small and medium-sized enterprises (SMEs) in an emerging economy. In particular, we tested the direct effects of perceived costs, internal financial resources and external capital constraint on the export status of SMEs. We also tested the moderating effect of cost sensitivity on two types of perceived export costs. Survey data was collected from 356 SMEs in Malaysia and analysed using logistic regression. The results show that exporters perceive higher ongoing costs but lower initiation costs of exporting. They also perceive higher internal financial resources, fewer constraints in accessing external capital and are more sensitive towards costs compared to non-exporters. Furthermore, we found that cost sensitivity moderates the relationship between perceived costs and export status.

Original languageEnglish
Pages (from-to)433-454
Number of pages22
JournalInternational Journal of Entrepreneurship and Small Business
Volume24
Issue number3
DOIs
Publication statusPublished - 2015

Fingerprint

Small and medium-sized enterprises
Costs
Emerging economies
Financial resources
Exporting
Malaysia
Survey data
Direct effect
Logistic regression
Capital constraints
Exporters
Resource constraints
Moderating effect

Keywords

  • Cost sensitivity
  • Export costs
  • Financial constraint
  • Internal resources
  • Perceived costs
  • SME exports

ASJC Scopus subject areas

  • Business and International Management
  • Economics and Econometrics

Cite this

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