Business Networks and Performance: A Spatial Approach

Table 3. Marginal effects of independent variables on PMIR and PSE.

Independent Variables	PMIR		PSE
Independent Variables	Marginal effect	t-value	Marginal effect	t-value
NETINPUT	50.69	5.14**	---	---
NETSALES	---	---	-44.44	-4.39**
NETFINAN	-9.68	-1.21	-1.40	-0.25
CONTINF	8.63	0.73	4.57	0.61
REGION	4.93	0.59	-8.33	-1.34
SECTOR	-14.10	-1.51	-4.90	-0.77

Note: Two asterisks indicate significance at the 5%.

A one percent increase in the use of locally produced inputs increases the probability
that the firm experienced increased employment by 1% and decreases the probability
that the firm experienced increased investments by 2%. Similarly, a one percent
increase in exported product, decreases the probability that the firm experienced
increased sales and/or increase in profit margins by 1%.

Table 4. Coefficient estimates of the logit models for PEREMP, PERTS, PERPM and
PERINV

Independent Variables	PEREMP	PERTS	PERPM	PEINV
Constant	-225	055	066	3.69
	(-3.06)**	(0.99)	(1.18)	(3.23)**
PMIR	0.01	---	---	-0.02
	(1.65)*			(-2.19)**
PSE	---	-0.01	-0.02	---
		(-1.10)	(-1.64)*
REGION	-1.46	-1.95	-1.55	-3.69
	(-2.58)**	(-4.08)**	(-3.46)**	(-4.79)**

... table 4 continued on next page

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