Sources of export success in small- and medium-sized enterprises: the impact of public programs

Abstract

This paper analyzes differences in firm exporter performance for small- and medium-sized enterprises (SMEs). Traditionally, it is argued that these firms face several disadvantages for competing in international markets. Few studies, however, exploit the fact that successful exporters exist within this group. Using data for Chilean firms, we study various explanations for differences between sporadic and permanent exporters. Our results suggest that greater effort in international business, process innovation, and the utilization of export promotion programs contribute positively to export performance in SMEs. In addition, we find that some forms of intervention are better than others: trade shows and trade missions do not affect the probability of exporting permanently, but exporter committees show a positive and significant impact.