How internationalization affects firms’ growth in the MENA region? A quantile regression approach, Economics Bulletin

Tunisia - 30 April 2019

Trade topics: SMEs

In this paper, we contribute to the literature by studying the effect of internationalization on the conditional firm growth rate distribution in eight countries from the MENA region. We use four measures of internationalization: exporting status, two-way trade, export intensity and export experience. We use the BEEPS data from the Enterprise Survey of the European Bank for Reconstruction and Development, and the World Bank. The main results show that exporting status and export experience play an important role to improve both employment and sales growth in various quantiles. However, two-way trade has an effect on employment growth and export intensity has an effect on lower sales growth quantiles.