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The structure and the determinants of the trade of SME products

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  • Sawako Maruyama

    () (Graduate School of Economics, Kobe University)

Abstract

This paper aims to investigate the structure and the determinants of the trade of products manufactured by small- and medium-sized enterprises. For this purpose, trade database for selected SME-based industries is prepared. Analyzing this database, the following three findings are obtained. First, firms in SME-based industries are facing a large inflow of imported goods, while the volume of their export is relatively small. Secondly, the share of Asian countries in the trade of SME products is larger than overall trade. Thirdly, the gravity model can be applied for the trade of SME products. In some cases, distance and difference of income level tend to be more sensitive for SME products than overall trade. These results are consistent with the labor-intensive characteristics of SME products.

Suggested Citation

  • Sawako Maruyama, 2013. "The structure and the determinants of the trade of SME products," Discussion Papers 1304, Graduate School of Economics, Kobe University.
  • Handle: RePEc:koe:wpaper:1304
    as

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    File URL: http://www.econ.kobe-u.ac.jp/RePEc/koe/wpaper/2013/1304.pdf
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Trade; Gravity model; Small and Medium-sized Enterprises(SMEs); Manufacturing;

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