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Title: Bank finance and export activities of small and medium enterprises
Authors: Abor, J.,
Agbloyor, E. K.,
Kuipo, R.,
Keywords: Bank finance
Issue Date: 2014
Publisher: Sciencedirect
Abstract: This study examines SMEs’ access to bank finance and how that affects their export activities. The study adopts a probit model to assess the empirical relations. The findings of the study suggest that SME access to bank finance improves their likelihood to export. Such finance is critical to cater for the high fixed costs of exporting, international marketing and branding, and meeting higher quality standards required for overseas markets. The results of the study also indicate that older firms, more productive firms, and larger firms are more likely to take the important step of entering into the export market. Policy interventions should therefore be directed at reducing the bottlenecks that prevent SMEs from accessing funding from the commercial banks.
Appears in Collections:Department of Accounting

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