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Market Access, Export Performance and Survival: Evidence from Peruvian Firms

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  • Marco Fugazza
  • Alain McLaren

Abstract

This paper explores the effect of market access on firms' export performance and their survival in foreign markets. The data used covers all Peruvian exporting firms between 2002 and 2008, a period during which Peru was active in joining the global economy. This is done using two indices, one that summarizes the tariffs faced by exporters, the other that measures the preferential margin at the bilateral level. Results show that more than market access conditions per se, it is market access conditions relative to those faced by competitors that significantly influences export performance and survival. About a fifth of the increase of exports directed to Mercosur countries is due to improvement in preference margins.

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  • Marco Fugazza & Alain McLaren, 2014. "Market Access, Export Performance and Survival: Evidence from Peruvian Firms," Review of International Economics, Wiley Blackwell, vol. 22(3), pages 599-624, August.
    • Handle: RePEc:bla:reviec:v:22:y:2014:i:3:p:599-624
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    2. Thomas Kopp & Sören Prehn & Bernhard Brümmer, 2016. "Preference Erosion – The Case of Everything But Arms and Sugar," The World Economy, Wiley Blackwell, vol. 39(9), pages 1339-1359, September.
    3. Laura D'Amato & Máximo Sangiácomo & Martin Tobal, 2020. "Export survival and foreign financing," BIS Working Papers 877, Bank for International Settlements.
    4. MAJUNE, Socrates, 2015. "A discrete time analysis of export duration in Kenya: 1995 -2014," MPRA Paper 68727, University Library of Munich, Germany.
    5. Olarreaga, Marcelo & Fugazza, Marco & Ugarte, Cristian, 2018. "On the heterogeneous effects of market access barriers: evidence from small and large Peruvian exporters," CEPR Discussion Papers 12876, C.E.P.R. Discussion Papers.
    6. Türkcan, Kemal, 2016. "On the role of vertical differentiation in enhancing survival of export flows: Evidence from a developing country," MPRA Paper 71023, University Library of Munich, Germany.
    7. Boker Poumie & Edmond Noubissi Domguia & Borice Augustin Ngounou & Thierry Messie Pondie & Joseph Nzomo Tcheuta, 2023. "The effect of the informal economy on bilateral exports from sub‐Saharan African countries," African Development Review, African Development Bank, vol. 35(1), pages 65-78, March.
    8. Shilinde, John S.M. & Aikaeli, Jehovaness, 2022. "The Presence and Effects of Foreign Multinational Firms on the Survival of Domestic Agricultural Products Export Firms in Tanzania," African Journal of Economic Review, African Journal of Economic Review, vol. 10(5), December.
    9. Majune Kraido Socrates & Eliud Moyi & Kamau Gathiaka, 2020. "Explaining Export Duration in Kenya," South African Journal of Economics, Economic Society of South Africa, vol. 88(2), pages 204-224, June.
    10. Pişkin, Erhan, 2017. "Türkiye İhracatının Ölüm-Kalım Meselesi [The Matter of Survival for Turkish Exports]," MPRA Paper 81459, University Library of Munich, Germany.
    11. Kadochnikov, Sergey M. & Fedyunina, Anna A., 2017. "The impact of financial and human resources on the export performance of Russian firms," Economic Systems, Elsevier, vol. 41(1), pages 41-51.
    12. Shadrack Muthami Mwatu & Charity Kageni Mbaka & John Gakuu Karanja & Grace Mukami Muriithi, 2024. "Trade Agreements, Technical Regulations, and Standards: Competitiveness Implications for Kenyan Exporters to European Union," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 36(2), pages 381-410, April.

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