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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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    4. MAJUNE, Socrates, 2015. "A discrete time analysis of export duration in Kenya: 1995 -2014," MPRA Paper 68727, University Library of Munich, Germany.
    5. 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.
    6. Fugazza, Marco & Olarreaga, Marcelo & 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.
    7. 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.
    8. Laura D'Amato & Máximo Sangiácomo & Martin Tobal, 2020. "Export survival and foreign financing," BIS Working Papers 877, Bank for International Settlements.

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