scholarly journals Mexico and China in the US manufacturing market: An empirical analysis

2019 ◽  
Vol 65 (4) ◽  
pp. 192
Author(s):  
Víctor M. Cuevas Ahumada ◽  
Cuauhtémoc Calderón Villarreal
Keyword(s):  
Positive Impact ◽  
Export Performance ◽  
Labor Costs ◽  
Clear Cut ◽  
Market Shares ◽  
Plausible Model ◽  
The Us ◽  
Unit Labor Costs ◽  
Key Variables ◽  
The Impact

<p>This paper conducts a disaggregated comparative analysis of China’s and Mexico’s export dynamism in the US manufacturing market over the period 1994-2015 and, against this backdrop, it estimates a panel data econometric model showing the impact of key variables on Mexico’s export performance across manufacturing subsectors of different technology categories. Export performance is measured in terms of import market shares in the US and numerous econometric issues are addressed to produce a plausible model. In addition to capturing some heterogeneity among different manufacturing subsectors, this study shows that: (i) a depreciation of the real exchange rate calculated for each subsector worsens (rather than improves) Mexico’s export performance, which is likely due not only to the high import content of Mexican manufacturing exports, but also to the increasing weight of the private sector’s external liabilities; (ii) a fall in domestic unit labor costs has a positive impact on Mexico’s export performance, which highlights the importance of raising labor productivity faster than wages; and (iii) a reduction in US unit labor costs deteriorates Mexico’s export performance. In this context, the empirical evidence leads to clear-cut policy recommendations to raise export performance and thus economic growth.</p>

The impact of within-industry diversification on firm performance

2018 ◽  
Vol 13 (6) ◽  
pp. 1475-1501 ◽  
Author(s):  
Varaporn Pangboonyanon ◽  
Kiattichai Kalasin
Keyword(s):  
Financial Performance ◽  
Positive Impact ◽  
Labor Costs ◽  
Institutional Perspective ◽  
Product Lines ◽  
Content Type ◽  
Linear Pattern ◽  
Coordination Costs ◽  
Industry Diversification ◽  
The Impact

Purpose The purpose of this paper is to investigate how within-industry diversification affects the financial performance of small- and medium-sized enterprises (SMEs) in emerging markets (EMs). The authors draw on both the resource-based view and the institutional perspective and argue that within-industry diversification can enhance the financial performance of SMEs in EMs. Due to institutional voids in emerging economies, SMEs can gain additional benefits from scope economies, as well as from market returns, by filling product market voids and gaps in business ecosystems, while also enjoying low input and labor costs that reduce the coordination costs of diversification. This, in turn, enhances benefits of within-industry diversification, thereby resulting in higher financial profitability. Design/methodology/approach This study employs panel data econometrics to estimate the model. The authors test hypotheses on 195 firms, originating from five countries in Southeast Asia, during the period of 2009–2014. Findings The empirical results support the arguments. Within-industry diversification has a positive impact on the performance of SMEs in EMs. These effects become weaker when the institutional contexts are more developed. Nevertheless, such effects become stronger when SMEs in EMs are more efficient. Research limitations/implications The relationship between within-industry diversification and performance is a positive linear pattern, which differs from the pattern in advanced economies. In addition to unrelated diversification, the related diversification is preferable for firms in EMs. Practical implications The paper provides implications for SMEs that aim to enhance their performance by engaging in single product lines and within-industry diversification. Originality/value This paper examines the different ways within-industry diversification can enhance SMEs performance in EM contexts.

The speed of change and performance risk: examining the impacts of IT spending in the US hotel industry

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nan Hua ◽  
Tingting Zhang ◽  
Melissa F. Jahromi ◽  
Agnes DeFranco
Keyword(s):  
Business Performance ◽  
Positive Impact ◽  
Hotel Industry ◽  
Content Type ◽  
Performance Risk ◽  
The Us ◽  
The Usa ◽  
Revenue Volatility ◽  
The Impact ◽  
Speed Accuracy

Purpose This study aims to investigate the impact of the speed of change (trend) in information technology (IT) expenditures on performance risk indicated by revenue volatility in the US hotel industry. Design/methodology/approach To systematically investigate the impacts of IT expenditures on hotel performance risks, this study collects the same store proprietary data of 1,471 hotel properties from CBRE, a leading hotel consulting firm in the USA, from 2011 to 2017, with a total of 10,297 observations. Findings Econometric analyses are performed and results indicate a significant and positive impact of the speed of change of IT systems expenditures on the performance risk after comprehensively controlling for confounding factors following prior research. Originality/value With the increased importance of IT in day-to-day activities, hospitality business owners have started to quickly adjust their investment in IT infrastructure and superstructure to enhance their business performance. However, their fast-changing expenditures may introduce more risks to their businesses based on the speed–accuracy tradeoff, systems theory and the Schumpeterian Growth Model. This study is one of the pioneer projects that ever assessed the impact of IT expenditure and speed of change on performance risks of hotels.

How do relational variables affect export performance? Evidence from Malaysian exporters

2019 ◽  
Vol 31 (1) ◽  
pp. 128-156 ◽  
Author(s):  
Abdel Hafiez Ali Hasaballah ◽  
Omer Faruk Genc ◽  
Osman Bin Mohamad ◽  
Zafar U. Ahmed
Keyword(s):  
Design Methodology ◽  
Positive Impact ◽  
Emerging Market ◽  
Export Performance ◽  
Content Type ◽  
Building Trust ◽  
Path Analyses ◽  
The Impact ◽  
Practical Implications ◽  
Shed Light

PurposeThe purpose of this paper is to analyze the influences of relational variables on export performance and the interactions among relational variables in the emerging market context of Malaysia.Design/methodology/approachThe study used a mail questionnaire sent to Malaysian companies that export to Arab-speaking countries and achieved a response rate of 27.92 percent, resulting in a sample of 106 exporters.FindingsThe results of the path analyses indicate a positive impact of relational variables (adaptation, cooperation and communication) on export performance. However, the authors found that the impact was mediated by trust and commitment, rather than being direct.Research limitations/implicationsThe findings suggest that the impact of relational variables on export performance is complex and indirect. Mediators and moderators play important roles in this relationship.Practical implicationsFirms should invest in export relationships with the aim of building trust and commitment, which are the primary factors that affect export performance.Originality/valueThe authors have shed light on the way relational variables affect export performance. Moreover, this study contributes to a better understanding of small emerging markets, which are poorly represented in studies in this field.

scholarly journals The Impact of Marketing Mix and Market Orientation on Export Performance

2012 ◽  
Vol 4 (1) ◽  
pp. 66-71
Author(s):  
Muhammad Usman ◽  
Muhammad Bilal Kayani . ◽  
Faisal Haroon . ◽  
Muhammad Aslam Khan .
Keyword(s):  
Market Orientation ◽  
Positive Impact ◽  
Export Performance ◽  
Marketing Mix ◽  
Marketing Strategies ◽  
Practical Implementation ◽  
Conceptual Base ◽  
Size Information ◽  
Future Success ◽  
The Impact

The study focuses on the marketing mix and market orientation on export performance due to the significance of foreign businesses. Theory posits that marketing mix and market orientation have a positive impact on export performance. Although the paper is conceptual base and the model proposed is required to check their reliability that firm with size, information system, and commitment with availability of market mix and market orientation formally. However, with the modification of technology enhances the export performance in a better way. The authors concluded that the practical implementation of export’s marketing strategies identically facilitated the companies for future success.

scholarly journals THE IMPACT ON FARM PROFITS OF A COMPANY’S PARTNERSHIP WITH A POTATO FARM

2015 ◽  
Vol 29 (2) ◽  
Author(s):  
Hirwan Hamidi
Keyword(s):  
Local Government ◽  
Significant Influence ◽  
Positive Impact ◽  
Function Analysis ◽  
Future Research ◽  
Profit Function ◽  
Labor Costs ◽  
On Farm ◽  
The Impact ◽  
Potato Farm

This research aims to explain the impact of the partnership on potato farms’ profits inSembalun District, West Nusa Tenggara Province. To achieve this goal, we looked at 142farmers, comprising of 111 partnered farmers and 31 non-partnered farmers. The conclusionsfrom our profit function analysis were: (i) the partnership had a positive impact on potatofarmers’ profits in Sembalun District, West Nusa Tenggara Province; (ii) productivity, inputcosts, and labor costs had a significant influence on profits as an impact of the partneship. Inthis context, it is recomended that the local government encourage and facilitate potato farmerswho have not yet established a partnership to enter such an arrangement with the company, sothat their productivity and incomes increase. In addition, the local government is expected tobuild storage facilities for potato seeds. Future research should search for potato seeds that canreplace the imported ones.Keywords: impact, partnership, profit, potato

scholarly journals A Comparative Cost Disadvantage Driven By Foreign Competition

2011 ◽  
Vol 8 (7) ◽  
Author(s):  
Amaechi Nkemakolem Nwaokoro
Keyword(s):  
Economies Of Scale ◽  
Positive Impact ◽  
Steel Production ◽  
Foreign Competition ◽  
Trade Restrictions ◽  
Steel Making ◽  
Steel Output ◽  
The Us ◽  
Steel Import ◽  
The Impact

This study focuses on the impact of foreign physical steel imports on the output of the US steel industry. This industry faces a comparative disadvantage in costs and from reduced utilized capacity in steel making. The strong desire of many foreign steel producers to export steel to the US lucrative market led to their plant modernization with the associated economies of scale. This led to steel import surge in America. The imposed trade restrictions had mixed outcomes. The domestic steel output is modeled as function of steel imports and from the size of the economy addressed by shipments. The OLS estimate of steel imports is insignificant and this could be explained by the ineffectiveness of the various instituted trade instruments, from increased foreign prices of steel, and from depreciated dollars at some points in time during the period in study. As expected the measure of the economyshipments variable has a positive impact on steel production.

Prospects and Challenges of Indonesian Exports to Non-Traditional Market: Measuring The Competitiveness of Indonesian Products in UAE Market

2021 ◽  
Vol 12 (1) ◽  
pp. 15-31
Author(s):  
Riska Nurhafizhah ◽  
◽  
Fajar B. Hirawan ◽  
Keyword(s):  
United Arab Emirates ◽  
Export Performance ◽  
Secondary Data ◽  
Positive Contribution ◽  
Validity And Reliability ◽  
Traditional Markets ◽  
The Us ◽  
Traditional Market ◽  
Constant Market Share ◽  
The Impact

The US-China Trade War and the COVID-19 pandemic are unprecedented incidents involving Indonesia's traditional markets as the main actors, i.e. the US and China which impacted Indonesia's economy and trade indirectly. Market diversification to new market or non-traditional market is one way out that can be done to minimize the impact of the global crisis on the country, when traditional markets are unreliable, such as the United Arab Emirates (UAE) that has made a positive contribution both in investment and trade for Indonesia in the midst of a pandemic. However, Indonesia's exports to the UAE experienced a significant decline in 2018 after previous two years continued to increase. So that knowing the competitiveness of Indonesia's export products in the UAE is the purpose of this study. This research answers the prospects and challenges of Indonesian export products in the UAE by measuring the export performance in 2016-2018 using the Constant Market Share (CMS) and Revealed Comparative Advantage (RCA) analysis methods. This research uses descriptive quantitative method with secondary data and triangulation of data sources, methods, and theories as the validity and reliability methods. The results of this study indicate that CMS and RCA analysis output are different so that the prospects and challenges for Indonesian products are also explained by the Indonesian approach and trade policies which lead to the conclusion that the UAE is a potential market to become non-traditional market for Indonesian economic development when its traditional markets are unreliable.

Relative efficiency, industry concentration and average stock returns

2019 ◽  
Vol 36 (1) ◽  
pp. 63-82 ◽  
Author(s):  
Giao X. Nguyen ◽  
Wikrom Prombutr ◽  
Chanwit Phengpis ◽  
Peggy E. Swanson
Keyword(s):  
Stock Returns ◽  
Positive Impact ◽  
Stochastic Frontier ◽  
Industry Concentration ◽  
Cross Sectional ◽  
Firm Efficiency ◽  
Content Type ◽  
Profit Margins ◽  
Market Shares ◽  
The Impact

Purpose Previous research has found that industry concentration and firm efficiency affect stock returns. However, it is not clear if concentration is a byproduct of efficiency and hence its effect on stock returns is driven by efficiency. This paper aims to examine the relationships between industry concentration, firm efficiency and average stock returns. Mainly, it aims to answer if the effects of industry concentration and firm efficiency on stock returns are independent and significant. Design/methodology/approach The stochastic frontier approach is used to estimate firm efficiency. The Herfindahl index is used to measure industry concentration. Regression and vector autoregressive analyses are performed to examine cross-sectional and lagged relationships between concentration, efficiency, profitability and stock returns. The characteristics-based benchmark approach is also used to investigate performance of test portfolios. Findings Industry concentration and firm efficiency have independent and significant effects on average stock returns through profit margins and market shares, which are related to firms’ profitability. Industry concentration has a greater positive impact on market shares than on profit margins, whereas firm efficiency has a greater positive impact on profit margins than on market shares. In sum, highly efficient firms in highly concentrated markets have lower distress risks and hence provide lower average stock returns. Originality/value The paper shows the linkages between industry concentration, firm efficiency, profitability and stock returns that have not been documented together in prior studies. Businesses can better understand the impact of concentration and efficiency on market shares and profit margins. Researchers may consider incorporating concentration and efficiency, both of which are meaningful microeconomic variables, into an asset pricing model. Investors can enhance their returns by having a zero-cost portfolio with long and short positions in stocks of firms with different levels of concentration and efficiency.

A Note on Relative Prices and Income Distribution over the US Business Cycle: 1857–2009

2020 ◽  
pp. 048661342096286
Author(s):  
Claudio Alberto Castelo Branco Puty
Keyword(s):  
Income Distribution ◽  
Business Cycles ◽  
Labor Costs ◽  
Market Prices ◽  
Relative Prices ◽  
Industrial Economy ◽  
Us Economy ◽  
The Us ◽  
Unit Labor Costs ◽  
Jel Classifications

This paper investigates the relation between relative prices and the income distribution by examining variations in output and prices occurred over thirty-three US business cycles from 1857 to 2009. Using a broad database, the author shows that average relative prices in twenty-seven industries of the US economy presented a remarkably smaller variation than the corresponding variation in output levels, profits and wages. These time-series results, although not conclusive, may provide additional empirical evidence of the Ricardian claim that even relative market prices in an industrial economy are strongly dominated by the correspondent integrated unit labor costs and that changes along a wage-profit schedule will play only a secondary role in their determination. JEL classifications: E11, E32

scholarly journals The Impact of Airport Managerial Type and Airline Market Share on Airport Efficiency

2021 ◽  
Vol 13 (2) ◽  
pp. 981
Author(s):  
Jae Hee Park ◽  
Ji Hee Kim
Keyword(s):  
Market Structure ◽  
Market Share ◽  
Positive Impact ◽  
Exact Matching ◽  
Coarsened Exact Matching ◽  
Market Shares ◽  
Practical Guidelines ◽  
The Impact ◽  
Data Envelop Analysis

This paper investigates the impact of airport managerial type and airline market structure on airport efficiency. It explores whether the market shares of the largest airlines differ depending on the managerial type of the airport. In this study, the efficiency scores for the sample airport are measured through DEA (Data Envelop Analysis), and the impacts of the airport managerial type and dominant carrier market share on airport efficiency are subsequently estimated through CEM (Coarsened Exact Matching). This paper concludes that group airports are more efficient than the standalone airports, and the market shares of the largest airlines have a positive impact on enhancing airport efficiency. In addition, the market shares of the largest airlines are found to be higher for group airports than for standalone airports. These findings can serve as practical guidelines for governments and airport authorities by suggesting that efficiency improves when multiple standalone airports are operated as a group through the M&A of airports or the establishment of airport operation agencies. While facing unprecedented challenges from the spread of COVID 19, this paper also suggests that an increase in airline market share through airport–airline cooperation has a positive impact on airport efficiency.

Sign in / Sign up

Export Citation Format

Share Document