Internationalization as a strategy for small and medium‐sized enterprises and the impact of regulatory environment: An emerging country perspective

This study focuses on identification, categorisation and comparison of regulatory barriers to internationalisation for the SMEs from an emerging market context. Primary data were collected to develop and validate a structural model to assess the salient regulatory barriers of internationalisation with a particular attention to the SMEs in Bangladesh. Structured questionnaire has been used to collect data from 212 SMEs operating in Bangladesh. The results indicate that both administrative and economic regulatory barriers are significant for the internationalisation of SMEs whereby administrative regulatory barriers are slightly more substantial. This study provides further discussion from both theoretical and methodological aspects. By developing and validating structural model, this study contributes to the literature on small business and regulation with particular attention to the emerging markets

Partial privatization and yardstick competition

We analyse the dynamics of public and private sector employment in Bangladesh, using the natural experiment provided by the partial privatization of the jute industry. The public sector had substantial excess employment of workers initially, but this excess was substantially eroded by the end of the period we studied. The extent of erosion differs between white-collar and manual worker categories, with excess employment persisting only in the former. Our findings suggest that partial privatization increases the efficacy of yardstick competition in the regulation of public firms, because heterogeneous ownership undermines collusion between public sector managers, and also makes excess employment more transparent to the general public