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'Learning to Export' and 'Learning By Exporting': Revisiting the Relationship Between Innovation and Exports in African Firms

delete2025-02-12
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OA
AI
E
Elvis Korku Avenyo *
F
Fiona Tregenna
DOI:10.1111/1467-8268.70001delete
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Abstract

Abstract

En 中文
This article examines the relationship between innovation and export performance for African firms. We estimate a censored Tobit IV simultaneous model with selection, using a cross-sectional data set from the World Bank's Enterprise Surveys for 28 African economies. The results show a two-way positive relationship between innovation and export performance in African firms: innovation is important for both the ability to export (export propensity) and for export intensity, while exporting also increases the likelihood of innovating. These effects are driven mainly by direct exports and apply to both product and process innovations. The positive two-way relationship is strengthened through two key mechanisms: a higher share of foreign ownership in firms, and firms having an internationally recognised quality certification. We argue that these results point to a two-way relationship in which innovation enables firms to 'learn to export', while firms also 'learn by exporting'. We discuss the implications of these findings for African firms and policymakers.
Keywords:
Africa
exports
firms
innovation
learning
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Key information extracted from the uploaded paper, including a brief overview, abstract, background, key highlights, visual analysis, and future outlook.

Journal

A
African Development Review and Revue Africaine de Developpement
IF:
3.1
Papers:
884
Citations:
1.8K

Organization

U
University of Johannesburg
Scholars:
6.8K
Papers: 6.8K
Citations: 1.2W
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