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Export Intensity and Impacts from Firm Characteristics, Domestic Competition and Domestic Constraints in Vietnam: A Micro-data Analysis


  • Nguyen Hiep

    (Research Institute for Economics & Business Administration (RIEB), Kobe University, Japan)

  • Shoji Nishijima

    (Research Institute for Economics & Business Administration (RIEB), Kobe University, Japan)


This study examines how a firm's characteristics, perceived competition intensity and constraints in the domestic market affect the intensity of its exports in a transition country that is pursuing export-led growth strategies. Specifically, we employ a cross-sectional micro-data set derived from the World Bank's survey on productivity and investment climate in Vietnam in 2005 in an empirical analysis that properly controls for possible sample selection and endogeneity. Besides observing that those firms that have acquired some level of integration and taken advantage of labor-abundant economy have higher export intensity, we can also find that perceived competition in the domestic market induces firms to intensify their sales in foreign markets relative to that in the domestic one. Furthermore, it is interesting to find that even in a developing country like Vietnam, it is not constraints in domestic physical infrastructure and factor markets that hinder firms from increasing their intensity of exports, but obstacles in policy, administration and social environments that do matter. These findings support the implication that it is reasonable and feasible in the context of recent global crisis that priorities should be set for reforms in "soft" infrastructure in order to help firms boost exports.

Suggested Citation

  • Nguyen Hiep & Shoji Nishijima, 2009. "Export Intensity and Impacts from Firm Characteristics, Domestic Competition and Domestic Constraints in Vietnam: A Micro-data Analysis," Discussion Paper Series 238, Research Institute for Economics & Business Administration, Kobe University.
  • Handle: RePEc:kob:dpaper:238

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    References listed on IDEAS

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    Cited by:

    1. Daniela Federici & Valentino Parisi, 2012. "Corporate Taxation and Exports," Working Papers 2012-01, Universita' di Cassino, Dipartimento di Scienze Economiche.
    2. Ganeshan Wignaraja, 2012. "Engaging Small and Medium Enterprises in Production Networks : Firm-level Analysis of Five ASEAN Economies," Governance Working Papers 23316, East Asian Bureau of Economic Research.
    3. Ganeshan Wignaraja, 2015. "Factors Affecting Entry into Supply Chain Trade: An Analysis of Firms in Southeast Asia," Asia and the Pacific Policy Studies, Wiley Blackwell, vol. 2(3), pages 623-642, September.
    4. Tanja Goodwin & Martha Denisse Pierola, 2015. "Export Competitiveness," World Bank Other Operational Studies 23658, The World Bank.
    5. Daniela Federici & Valentino Parisi, 2014. "Corporate Taxation and Exports: Evidence from Italian Firm-Level Data," Review of Economics & Finance, Better Advances Press, Canada, vol. 4, pages 23-38, May.
    6. Magnus Lodefalk, 2014. "The role of services for manufacturing firm exports," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 150(1), pages 59-82, February.
    7. Ganeshan Wignaraja, 2014. "Joining the supply chain: a firm-level perspective," Chapters,in: A World Trade Organization for the 21st Century, chapter 4, pages 71-109 Edward Elgar Publishing.

    More about this item


    Export intensity; domestic competition; Domestic constraints; Vietnamm;

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General


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