Does it pay to venture abroad? Exporting behavior and the performance of firms in Indian industry

Pradeep K. Chhibber and Sumit K Majumdar ()
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Pradeep K. Chhibber: Department of Political Science, University of Michigan, Ann Arbor, MI 48109, USA, Postal: Department of Political Science, University of Michigan, Ann Arbor, MI 48109, USA

Managerial and Decision Economics, 1998, vol. 19, issue 2, 121-126

Abstract: Using contemporary data for a firm-level sample of over 600 Indian firms, this paper investigates the impact that an export-orientation has on the profitability of the firms studied. The results, based on a two-stage least squares method, establish a positive and significant relationship between firms' levels of exports and profitability. For firms from developing and transition economies like India it does pay to venture abroad, and the ability to sell goods overseas has a significant impact on firms' economic performance. © 1998 John Wiley & Sons, Ltd.

Date: 1998
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Persistent link: https://EconPapers.repec.org/RePEc:wly:mgtdec:v:19:y:1998:i:2:p:121-126

DOI: 10.1002/(SICI)1099-1468(199803)19:2<121::AID-MDE871>3.0.CO;2-1

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