Financial Constraints and Small and Medium-Sized Firms¿ Export Propensity: Evidence from Portuguese Manufacturing Firms

• Type: Article in International Scientific Journal
• Date: 2018

Authors

Rosa Maria Forte (Author) FEP; Salomé Moreira, A (Author) Other

Journal

Title: International Journal of the Economics of Business

Pages: 1-19

ISSN: 1357-1516

Publisher: Taylor & Francis

Indexing

Scopus - 17 Citations

Other information

Authenticus ID: P-00N-XQ9

DOI: 10.1080/13571516.2018.1437011

Abstract (EN): The internationalization of firms through exports is often crucial to their survival and growth in this era of globalization. This is particularly the case for small and medium-sized enterprises (SMEs) operating in small and saturated markets, as is the case in Portugal. However, firms face several barriers to exporting, and this study aims to verify whether financial constraints influence a firm¿s export propensity. The empirical analysis is based on a sample of 12,732 Portuguese manufacturing SMEs during the period 2008¿2012, and tests two different proxies of financial constraints: the liquidity and leverage ratios. The results indicate that the SMEs in less healthy financial positions are less likely to export than the others are, although the impact of financial constraints on these Portuguese firms appears to be relatively small. © 2018 Informa UK Limited, trading as Taylor & Francis Group

Language: English

Type (Professor's evaluation): Scientific