Quality of Management and firm Profitability in Cameroon: The role of exports
This paper analyzes the relationship between quality of management, exports and firm profitability based on a sample of 187 Cameroonian companies in 2013. We estimate a simultaneous equations model, to control for the endogeneity related to this kind of analysis. Findings show that a direct and positive link between the quality of management and profitability, and an indirect link between these variables through exports. But these direct and indirect links are not unequivocal. When the weight of exports is greater than 75% or when the ROA is less than 5%, there is only a direct link. When the ROA is above 5%, there is rather an indirect link.