Entrepreneurial Reinvestment: Local Governance, Ownership, and Financing Matter—Evidence from Vietnam

• DOI: 10.1111/jsbm.12475
• Publication Date: 2018-10-30T04:43:36Z
• Authors: Bach Nguyen
• Keywords: Vietnamese; Value (mathematics); External financing; Access to Finance; Internal financing

This study investigates the relative importance of local governance and external financing on small firms' reinvestments. Using a set more than 300,000 Vietnamese firm‐level observations from 2006 to 2015, this finds that quality is positively associated with However, regarding funds, only informal finance reinvestments while government loans bank serve as substitutes Also, suggests there significant heterogeneity among ownership sectors between micro‐enterprises firms in way they value arrangements sources.