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& Methods: Our analytical framework refers to the most recent strand in the new trade theory literature based on the Melitz (2003) model that stresses the importance of firm productivity in entering the export markets. The empirical implementation of the theoretical framework is based on the probit model and the BEEPS data set. Findings: Our empirical results confirm the importance of firm characteristics for export performance in the CEE countries. Also heterogeneity between different country groups within the region has been reported. Implications & Recommendations: Export competitiveness of firms from the CEE countries can be improved through the development of modern educational systems allowing to accelerate the accumulation of human capital. The financial support to research and development and innovation activities should also have a positive impact on the export performance of firms from the CEE countries. Contribution & Value Added: We take into account labor productivity and other firm characteristics that may affect export performance such as the age and the size of the firm, the use of human capital , and the degree of firm internationalization. Article type: research paper

Following the new strand in the new trade theory literature that focuses on firm heterogeneity, in this paper we investigate the determinants of a firm’s export performance in Ukraine. The study is based on the BEEPS firm level data compiled by EBRD and the World Bank. The study covers the period starting in 2005 and ending in 2013. We estimate the probit regressions for each year of our sample as well as for the pooled dataset that includes all years. Our pooled estimation results indicate that the probability of exporting is related to the level of productivity, the firm size, innovation, the share of university graduates in productive employment, as well as the internationalization of firms.

The main objective of this article is to study the empirical relationship between innovations and export performance of Polish firms. Research Design & Methods: Our analytical framework refers to the most recent strand in the new trade theory literature based on the Melitz (2003) model that stresses the role of firm heterogeneity and the importance of firm productivity in entering export markets. We treat innovations as a key element that can increase the level of productivity and study the significance of both product and process innovations. The empirical implementation of the theoretical framework is based on the probit model and the unique Polish CIS firm-level dataset covering the period 2008-2010. Findings: Our estimation results indicate that the probability of exporting is positively related to product and process innovations, firm size, the share of university graduates in productive employment and foreign capital participation. The results depend also on the level of technology used in the analysed sector and the relative importance of export market. Implications & Recommendations: It is necessary to develop an innovation supporting mechanism that would stimulate both product and process innovations in Poland. Contribution & Value Added: The originality of this work lies in the use of the unique Polish CIS firm level dataset that allows distinguishing between product and process innovations. Article type: research paper

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