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Exports, foreign direct investments and productivity: are services firms different?

Joachim Wagner ()

The Service Industries Journal, 2014, vol. 34, issue 1, 24-37

Abstract: This paper contributes to the literature on international firm activities by providing the first evidence on the link between productivity and both exports and foreign direct investment (FDI) in services firms from a highly developed country. It uses unique new data from Germany, one of the leading actors in the world market for services. Statistical tests and regression analyses indicate that the productivity pecking order found in numerous studies using data for firms from manufacturing industries - where the firms with the highest productivity engage in FDI while the least productive firms serve the home market only and the productivity of exporting firms is in between - does not exist among firms from services industries. There is evidence that firms with FDI are less productive than firms that export; this finding is in line with recent empirical results reported for software firms from India.

Date: 2014
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http://hdl.handle.net/10.1080/02642069.2013.763344 (text/html)
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Related works:
Working Paper: Exports, Foreign Direct Investments and Productivity: Are Services Firms Different? (2011) Downloads
Working Paper: Exports, Foreign Direct Investments and Productivity: Are Services Firms different? (2011) Downloads
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The Service Industries Journal is currently edited by Eileen Bridges, Professor Domingo Ribeiro, Ronald Goldsmith, Barry Howcroft and Youjae Yi

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