Importing boosts productivity for small firms, reshaping global trade landscape.
The study looked at how importing affects the productivity of small and medium-sized businesses in the Netherlands. They found that firms that import goods tend to be more productive than those that don't trade at all. Larger firms and those owned by foreign companies also tend to be more productive. Importing seems to attract already productive firms, rather than making them more productive over time. Small firms find exporting more challenging than importing.