Discussion Paper

No. 2015-14 | March 06, 2015
Export Behaviour of SMEs in the Swedish Computer Service Industry

Abstract

Export participation of SMEs in Swedish computer services has increased rapidly over the last decade. Despite the increase, export participation rates of SMEs including micro enterprises remain rather low at 13 percent in 2010. Based on uniquely linked firm-level datasets with full coverage of micro enterprises and sole proprietors, this study investigates the determinants of export participation of Swedish SMEs in the computer service industry. Exports include both goods and services. Estimates based on the conditional logit model show a significantly positive relationship between initial labour productivity and the decision to export. An interesting and new finding is that the magnitude of the relationship between the probability to export and initial labour productivity is low once firm effects are controlled for. Surprisingly, the impact of labour productivity on exporting does not differ between micro enterprises and the remaining SMEs (10–249 employees). Furthermore, skill intensity is significantly related to the probability of exporting with low marginal effects. Overall, labour productivity and skill intensity only explain a small proportion of the export boom of Swedish software SMEs.

Data Set

JEL Classification:

F14

Assessment

  • Downloads: 1699

Links

Cite As

Martin Falk and Eva Hagsten (2015). Export Behaviour of SMEs in the Swedish Computer Service Industry. Economics Discussion Papers, No 2015-14, Kiel Institute for the World Economy. http://www.economics-ejournal.org/economics/discussionpapers/2015-14


Comments and Questions


Anonymous - Referee Report 1
March 24, 2015 - 13:20

See attached file


Anonymous - Referee Report 2
April 13, 2015 - 10:29

see attached file


Martin Falk and Eva Hagsten - Responses to Reports
June 10, 2015 - 09:38

see attached file