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Does Multinationals Entry Mode Affect Local Firms’ Export Behaviours? Evidence from Cameroon

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  • Amza Mounchili Youwa

    (Ph.D Student, Faculty of Economics and Management, University of Yaounde 2, Cameroon)

  • Henri Ngoa Tabi

    (Professor, Faculty of Economics and Management, University of Yaounde 2, Cameroon)

Abstract

This study verifies whether foreign presence namely Greenfield and Joint venture reduce or push up local firms’ exports behaviours using the Heckman sample selection model pooled over a survey firm-level panel data in Cameroon during 2006-2016 provided by the World Bank. we found that (i) Joint venture activities have more significant positive impact on Cameroonian export behaviours than greenfield affiliate; and (ii) such externalities are heterogeneous and depend on Cameroonian firm-level characteristics. Firm size, and firm age are found to have significantly positive impacts on the joint venture export externalities magnitude, while access land and financing and transport-related obstacles exert significant negative impacts on their side. Only the transport obstacle has a statistically significant negative effect on the greenfield export spillovers magnitude. Our findings present significant implications for policy makers seeking to help domestic firms benefit more from foreign-linked export spillovers such as promoting export-oriented joint venture and reducing obstacles related to accessing land and financing formalities and less complex appropriate customs measures

Suggested Citation

  • Amza Mounchili Youwa & Henri Ngoa Tabi, 2022. "Does Multinationals Entry Mode Affect Local Firms’ Export Behaviours? Evidence from Cameroon," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 6(8), pages 413-423, August.
    • Handle: RePEc:bcp:journl:v:6:y:2022:i:8:p:413-423
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    References listed on IDEAS

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