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Constant market shares analysis: uses, limitations and prospects

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  • Ahmadi-Esfahani, Fredoun Z.

Abstract

In this paper, we generalise the constant market shares (CMS) framework, with particular attention to the underlying theoretical conditions required for diagnostic interpretation. The approach is applied to the analysis of the export performance of the Australian processed food sector in South-East Asia over the period 1980–2003. We conclude that the usefulness of CMS analysis for evaluating a country’s international trade performance depends upon the empirical validity of the aggregation assumptions implicit in the diagnostic interpretation.

Suggested Citation

  • Ahmadi-Esfahani, Fredoun Z., 2006. "Constant market shares analysis: uses, limitations and prospects," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 50(4), pages 1-17, December.
    • Handle: RePEc:ags:aareaj:116983
    DOI: 10.22004/ag.econ.116983
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    1. Fredoun Z. Ahmadi‐Esfahani & Paul H. Jensen, 1994. "Impact of the US–EC price war on major wheat exporters' shares of the Chinese market," Agricultural Economics, International Association of Agricultural Economists, vol. 10(1), pages 61-70, January.
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    Cited by:

    1. Liu, Yan & Shi, Xunpeng & Laurenceson, James, 2020. "Dynamics of Australia's LNG export performance: A modified constant market shares analysis," Energy Economics, Elsevier, vol. 89(C).
    2. Ahasanul Haque & Naila Anwar & Zariyah Ibrahim, 2013. "Export of Furniture Product from Malaysia: Market Prospects and Challenges," Journal of Economics and Behavioral Studies, AMH International, vol. 5(7), pages 406-419.
    3. Gilbert, John & Muchová, Eva, 2018. "Export competitiveness of Central and Eastern Europe since the enlargement of the EU," International Review of Economics & Finance, Elsevier, vol. 55(C), pages 78-85.
    4. Wang, Zheng-Xin & Zheng, Hong-Hao & Pei, Ling-Ling & Jin, Tong, 2017. "Decomposition of the factors influencing export fluctuation in China's new energy industry based on a constant market share model," Energy Policy, Elsevier, vol. 109(C), pages 22-35.
    5. Lenka Fojtíková & Michaela Staníčková, 2017. "Konkurenceschopnost a produktivita vývozu členských zemí Evropské unie [The EU Member States Export Competitiveness and Productivity]," Politická ekonomie, Prague University of Economics and Business, vol. 2017(6), pages 669-689.
    6. Maria Paula Fontoura & Pedro Serôdio, 2017. "The Export Performance of the 2004 EU Enlargement Economies since the 1990s: a Constant Market Share Analysis," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 23(2), pages 161-174, May.
    7. Babu, Suresh Chandra & Shishodia, Mahika, 2017. "Agribusiness competitiveness: Applying analytics, typology, and measurements to Africa," IFPRI discussion papers 1648, International Food Policy Research Institute (IFPRI).
    8. Jorge Chami Batista & Yan Liu, 2017. "Export Quality and the Dynamics of North–South Competition," The World Economy, Wiley Blackwell, vol. 40(1), pages 207-232, January.
    9. Petra Čekmeová, 2016. "Konkurecieschopnosť ako cieľ hospodárskej politiky [Competitiveness as a Goal of Economic Policy]," Politická ekonomie, Prague University of Economics and Business, vol. 2016(3), pages 338-350.
    10. Jing Fu & Guangji Tong, 2024. "Status of Sino–Russian Trade in Agricultural Products: Dual Consideration Based on Characteristics and Growth," Sustainability, MDPI, vol. 16(2), pages 1-20, January.
    11. Zhang Xiuqin & Xing Feifei & Guo Junhui & Khan Yasir, 2023. "Dynamic Fluctuation Measurement and Factor Decomposition of China’s Export Growth to Japan and South Korea in the Context of COVID-19," SAGE Open, , vol. 13(4), pages 21582440231, November.
    12. Asada, Raphael & Stern, Tobias, 2018. "Competitive Bioeconomy? Comparing Bio-based and Non-bio-based Primary Sectors of the World," Ecological Economics, Elsevier, vol. 149(C), pages 120-128.
    13. Goran Buturac & Željko Lovrinèeviæ & Davor Mikuliæ, 2017. "International Competitiveness and Restructuring of the Croatian Food Industry," Acta Oeconomica, Akadémiai Kiadó, Hungary, vol. 67(3), pages 435-462, September.
    14. Kar, Saibal & Kar, Mausumi, 2010. "The multi fibre arrangement and South Asia," MPRA Paper 103801, University Library of Munich, Germany.

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