Managerial Characteristics and Export Performance – Empirical Evidence from Kosovo

Kotorri Mrika () and Krasniqi Besnik A. ()
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Kotorri Mrika: Assistant Professor of Economics, Head of the Department of Economics, University of Prishtina, Faculty of Economy,Prishtina, Kosovo
Krasniqi Besnik A.: Associate Professor of Entrepreneurship and Small Business University of Prishtina, Faculty of Economy,Prishtina, Kosovo

South East European Journal of Economics and Business, 2018, vol. 13, issue 2, 32-48

Abstract: Guided by managerial theory and behavioural economics, as well as the literature on exporting, this study combines the upper echelons perspective with the Melitz model to analyse the export behaviour of firms. Hence, it controls for the influence of managerial characteristics, neglected thus far in the literature on firms’ export choice and volume in transition countries. The empirical analysis is based on a random sample of 500 Kosovan SMEs. The results support the key hypothesis that both subjective and objective managerial characteristics are crucial for export decisions. In line with the strategic choice paradigm and behavioural economics, the findings provide support regarding the influence of the habituation and rational expectations effect, as well as the manager’s education and international exposure concerning export performance. Further, the Kosovan firms are self-selective in their export behaviour in terms of productivity supporting the Melitz model. No evidence, however, is found for the significance of institutional factors, even after performing factor analysis.

Keywords: export performance; management attitude; transition economies; Kosovo; tobit; factor analysis (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:vrs:seejeb:v:13:y:2018:i:2:p:32-48:n:1

DOI: 10.2478/jeb-2018-0008

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