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

Authors: Abu H. Ayob; Sveinn Vidar Gudmundsson; Mohd Hasimi Yaacob

Addresses: School of Management, Faculty of Economics and Management, National University of Malaysia, 43600 Bangi, Selangor, Malaysia ' Toulouse Business School, 20 Boulevard Lascrosses, 31068 Toulouse Cedex, France ' School of Management, Faculty of Economics and Management, National University of Malaysia, 43600 Bangi, Selangor, Malaysia

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.

Keywords: exporting SMEs; exports; small and medium-sized enterprises; export costs; perceived costs; cost sensitivity; internal resources; financial resources; financial constraints; emerging economies; Malaysia.

DOI: 10.1504/IJESB.2015.067464

International Journal of Entrepreneurship and Small Business, 2015 Vol.24 No.3, pp.433 - 454

Received: 24 Jun 2014
Accepted: 26 Aug 2014
Published online: 13 Feb 2015 *

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