This paper studies how foreign demand affects product quality specialization in international trade. In a model with non-homothetic CES preferences, firms choose quality levels based on global demand conditions, and countries with better access to high-income markets host more high-end...

In einer repräsentativen Unternehmensumfrage im Rahmen des IW-Zukunftspanels unter rund 900 deutschen Firmen aus den Bereichen Industrie und industrienahe Dienstleistungen im März und April 2024 geben rund 350 der befragten Firmen an, chinesische Wettbewerber in ihren Absatzmärkten zu haben....

Objective: The objective of the article is to identify differences in the explanatory value of export market experience and relational capital as variables impacting export performance on markets characterised by high and low levels of psychic distance. We aimed to explore which of these...

This study comprehensively explores how a firm’s market-specific import experience affects its export market exit. By utilizing Chinese Customs Data over the period of 2000-2016, we empirically find that import experience increases an exporter’s export market exit probability. Further, we...

This paper analyzes the determinants of Ecuador's sovereign spreads as measured by the EMBI index. We use Bayesian algorithms to estimate a structural vector autoregressive model with three blocks (international, regional, and domestic). Global variables drive most of the dynamics of the...

Existing literature found both positive and negative relationship between geographical diversification and economic performance. Our research helps reconcile such contradictory results, and stresses that such conflict is associated with relatedness between export markets. Using China’s custom...

This paper analyzes the determinants of Ecuador's sovereign spreads as measured by the EMBI index. We use Bayesian algorithms to estimate a structural vector autoregressive model with three blocks (international, regional, and domestic). Global variables drive most of the dynamics of the...

"The global business landscape is changing - rapidly. The past decade has seen major disruptions like the pandemic, military conflict, and geopolitical tension with severe ramifications for multinational organizations that operate as part of the global economy. It is no longer viable to optimize...

The results of the assessment of the state of trade barriers for the entry of Russian exporters into the foreign market are given. It was established that tariff barriers of Russia with the main trading partners are minimized. An analysis of the level of tariff applied by individual groups of...

We develop a dynamic model of international business-to-business transactions in which sellers and buyers search for each other, with the probability of a match depending on both individual and aggregate search effort. Fit to customs records on U.S. apparel imports, the model captures key...

This paper tries to find an answer to the question of why has Finnish exports performed so poorly during the last two decades. It also tries to assess the related question of why is the level of openness of the Finnish economy much lower than in neighboring countries and countries with similar...

This paper proposes a new link relating export destinations and the organization of the firm. We claim that the production of higher-quality varieties exported to rich destinations induces firms to re-structure their production processes, becoming organizationally more complex. We introduce a...

"This book serves as an introductory volume to Yair Aharoni's remarkable impact on international business (IB) research. Most IB researchers will be familiar with at least one aspect of his work, but relatively few will be familiar with his broader body of work, as it spans so many of the issues...

Countries often perceive themselves as being in competition with each other for profitable international markets. In such a world export subsidies can appear as attractive policy tools, from a national point of view, because they improve the relative position of a domestic firm in noncooperative...

While there is widespread empirical evidence indicating exporting producers have higher productivity than nonexporters, the mechanisms that generate this pattern are less clear. One view is that exporters acquire knowledge of new production methods, inputs, and product designs from their...

When trade involves differentiated products, preferential ties to a group settled abroad facilitate an exporter's entry into the foreign market by providing information and access to distribution channels. This contrasts with the difficulties experienced by an unattached producer unfamiliar with...

This paper examines the decision to enter the export market by German firms. While exports have played an important role in recent German business cycle movements, little is known about the export supply response of German firms. This paper presents a dynamic model of the export decision by a...

This paper argues that the theoretical foundations for the gravity equation are general, while the empirical performance of the gravity equation is specific to the type of goods examined. Most existing theory for the gravity equation depends on the assumption of differentiated goods. We show...

This paper empirically investigates the role of transport costs, trade and investment barriers, production scale economies, and firm- specific advantages in determining the use of overseas production relative to exports. The proximity-concentration hypothesis is robust in explaining the share of...