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The impact of ISO 9000 diffusion on trade and FDI: A new institutional analysis

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  • Joseph A Clougherty

    ([1] Wissenschaftszentrum Berlin (WZB), Germany [2] CEPR, London, UK)

  • Michał Grajek

    (ESMT European School of Management and Technology, Berlin, Germany)

Abstract

The effects of ISO 9000 diffusion on trade and foreign direct investment (FDI) have gone understudied. We employ panel data reported by OECD nations over the 1995–2002 period to estimate the impact of ISO adoptions on country-pair economic relations. We find ISO diffusion to have no effect in developed nations, but to positively pull FDI (i.e., enhancing inward FDI) and positively push trade (i.e., enhancing exports) in developing nations. Journal of International Business Studies (2008) 39, 613–633. doi:10.1057/palgrave.jibs.8400368

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Article provided by Palgrave Macmillan in its journal Journal of International Business Studies.

Volume (Year): 39 (2008)
Issue (Month): 4 (June)
Pages: 613-633

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Handle: RePEc:pal:jintbs:v:39:y:2008:i:4:p:613-633

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Cited by:
  1. Hallak, Juan Carlos & Sivadasan, Jagadeesh, 2011. "Firms' Exporting Behavior under Quality Constraints," Working Papers 628, Research Seminar in International Economics, University of Michigan.
  2. Munasib, Abdul B.A. & Roy, Devesh, 2011. "Nontariff Barriers as Bridge to Cross," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 125025, International Association of Agricultural Economists.
  3. Goedhuys, Micheline & Sleuwaegen, Leo, 2013. "The Impact of International Standards Certification on the Performance of Firms in Less Developed Countries," World Development, Elsevier, vol. 47(C), pages 87-101.
  4. Zwinkels, Remco C.J. & Beugelsdijk, Sjoerd, 2010. "Gravity equations: Workhorse or Trojan horse in explaining trade and FDI patterns across time and space?," International Business Review, Elsevier, vol. 19(1), pages 102-115, February.
  5. Joseph A. Clougherty & Michal Grajek, 2012. "International Standards and International Trade: Empirical Evidence from ISO 9000 Diffusion," NBER Working Papers 18132, National Bureau of Economic Research, Inc.
  6. Munasib, Abdul & Roy, Devesh, 2011. "Sanitary and phytosanitary standards as bridge to cross:," IFPRI discussion papers 1140, International Food Policy Research Institute (IFPRI).
  7. Hallak, Juan Carlos & Sivadasan, Jagadeesh, 2008. "Productivity, quality and exporting behavior under minimum quality constraints," MPRA Paper 24146, University Library of Munich, Germany.
  8. Joseph A. Clougherty & Michal Grajek, 2009. "ISO 9000: New form of protectionism or common language in international trade?," ESMT Research Working Papers ESMT-09-006, ESMT European School of Management and Technology.

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