Export-Oriented Entrepreneurship Intensity and Economic Growth in Developing and Developed Countries

This paper analyzes the impact of export-oriented entrepreneurship intensity on national economic growth using data for 64 countries over the 2006-2013 period. We draw on entrepreneurship, entrepreneurship and economic growth, export-oriented entrepreneurship and economic growth, and export intensity of entrepreneurship and economic growth theories to affirm that export-oriented entrepreneurship and export-oriented entrepreneurship intensity is profound for the national economic growth of countries. The findings suggest that greater total entrepreneurial activity (TEA) is associated with a higher rate of economic growth in developed countries but not in developing countries. Also, greater export-oriented entrepreneurial activity (EEA) is associated with a higher rate of economic growth in both developing and developed countries. This paper classifies entrepreneurial activity into low, medium, and high levels of export orientation, produces evidence of differential growth impact between developing and developed countries. A rise in entrepreneurial activity with the low orientation group, for instance, raises growth in developing countries, but not in developed countries. In the case of medium export orientation, however, greater entrepreneurship is associated with higher growth in both developing and developed countries. However, the high level of total early-stage export-oriented entrepreneurial activity (E high) is not associated with a higher rate of economic growth. In developing countries, when E high is greater than 9%, the percentage of all the TEA business entities in the E high group has a significantly negative impact on economic growth. In developed countries, in contrast, when E High is greater than 8%, the TEA business entities with a high level of EEA has a positive impact on economic growth