Survival Is for the Fittest : Export Survival Patterns in Georgia

Martuscelli, Antonio; Varela, Gonzalo

Survival Is for the Fittest : Export Survival Patterns in Georgia

2015

Martuscelli, Antonio | Varela, Gonzalo

This paper analyzes the determinants of export flow survival in Georgia. The paper uses a unique Georgian firm-level data set, in which firms' characteristics and output dynamics are matched with their customs' export transactions, for the period 2006-12. A discrete survival model is used to explore the role of firm level characteristics, diversification strategies, and network effects on the survival rates of export flows. Low survival rates at the product level are found to limit the ability of Georgian firms to consolidate new products in international markets. The analysis finds that it is production efficiency, rather than size, that boosts export survival chances, that firms diversification strategies matter for the prospects of survival, and that there is strong evidence of network effects in export survival. The analysis also finds that ratified foreign trade agreements contribute to increase the survival of export flows by reducing policy-induced trading costs and increasing information about destination markets.

Show more [+]

AGROVOC Keywords

agriculture balance sheets cash flow consumers debt developing countries development economics diversification economic development employment entrepreneurs equipment exports firms fixed costs foreign investment free trade growth rate international bank market research production functions productivity regression analysis sales trade policies

Bibliographic information

Publisher

World Bank Group, Washington, DC

Other Subjects

Trade competitiveness; Export performance; Direct investment; Producer price; Turnover; Development policy; Real exchange rates; Comparative advantage; Foreign markets; Financial markets; Transaction; Domestic market; Market entry; Production efficiency; Book value; Profit margins; Dummy variable; Export growth; Consumer price; Market diversification; Sunk costs; Producer price index; International transactions; International economics; Export markets; Global markets; Product differentiation; Moral hazard; Consumer price index; Foreign partners; Capital stock; Trading; Externalities; Econometric analysis; Job creation; Marketplace; Real exchange rate; Medium enterprises; Firm size; Competitiveness; Benchmark; Foreign market; Potential investors; Total factor productivity; Economic research; Financial sector; Bank policy; Export market; Foreign capital; Trading costs; Multinationals; Market conditions; International markets; Global market; Portfolio; Small firms; Information asymmetries; Production function; Banking system; Economic surveys; Developing country; Exporter; Exporters; Supplier; Comparative advantages; Expansion; Intangible assets; Intangible; Value of assets; Marginal productivity; Optimization; Public funds

Language

English

Type

Publications & Research; Publications & Research :: Policy Research Working Paper

In AGRIS since: 2016-03-15

Format: AGRIS AP

Data Provider

This bibliographic record has been provided by World Bank

Discover this data provider's collection in AGRIS

Lookup at Google Scholar

If you notice any incorrect information relating to this record, please contact us at agris@fao.org