ABSTRACT

The extant research dealing with the determinants of exporting by small and medium enterprises (SMEs) is predominantly focused on enterprise-specific variables like entrepreneurial/managerial competencies, enterprise-level characteristics and their intangible assets and on external factors like characteristics of relevant industry, national markets, business environments and foreign markets (Zou and Stan 1998; Monolova et al. 2002; Obben and Magagula 2003; Majocchi, Bacchiocchi, and Mayrhofer 2005; Tesfom and Lutz 2006; Pradhan and Sahu 2008). However, the roles of regional factors like the stock of technological knowledge, agglomeration and regional distribution of foreign direct investment (FDI) inflows in influencing small business exporting are yet to be included in the literature.