The export performance of Chilean firms: Some stylized facts

Abstract

Al though Chilean exports have performed well in recent decades, they are still largely confined to a few products, a few markets and a small number of firms. The present paper explores this last point, discussing the export behaviour of companies. The main stylized facts are as follows: only a small group of firms are capable of exporting on a permanent basis, and these companies are much larger and have much higher levels of productivity and human capital than the rest.

International diversification, ownership structure and performance in an emerging market: evidence from Chile

“…Chile is a country that has responded to changes in the global economy with an export-based growth model (L opez & Yadav, 2010;ORyan et al, 2011). We found an international diversification discount for Chilean exporting multinationals (see Table 2), which is also observed in the study developed by Alvarez (2004). In addition, the results in columns 1 through 4 show that the performance of Chilean multinationals is represented through an inverted U-shaped curve.…”

“…For this we considered Chile, country with a French civil-law-based system (La Porta et al, 1998), with a relatively low legal investor protection (Lefort & Gonz alez, 2008), high ownership concentration (Espinosa, 2009;Lefort & Walker, 2000), with an important role of business groups (Lefort & Walker, 2000;Majluf et al, 1998) and with important pyramidal ownership structures of its firms (Lefort & Gonz alez, 2008). Although Chilean exports have performed well in recent decades, they are still largely confined to a few products, a few markets and a small number of firms ( Alvarez, 2004). This despite the fact that Chile has a long history of liberalization and, through reciprocal trade deals, it has been able to build a sizable number of informal trading relationships with various countries (Aulakh et al, 2000), and that the largest firms from Chile began looking for mechanisms for growth other than their domestic market, searching for partners, allies, and markets to enter (Aguilera et al, 2017).…”

“…The form that the international diversification-performance relationship takes is explained by the characteristics of Chilean exporting companies, which when compared with companies from developed countries or other emerging economies, are relatively smaller, despite the fact that companies exporters are much larger and have much higher levels of productivity and human capital than the rest ( Alvarez, 2004). In the first section of the inverted U shape where the relationship between international diversification and performance is positive, the firm would export in those foreign countries with which it is more familiar, probably both geographically and culturally close, and in which it could exploit its competitive advantages (FSAs) developed in its country of origin and during its prior internationalization experience (therefore reducing risk).…”

Trade and Integration Sector Note

“…As with many other issues in economics, the assessment of Chile's export performance, particularly with respect to diversification, suffers from the "glass-half-full-glass-half-empty" syndrome. Some analysts are very enthusiastic about the growth and diversification of Chile's exports (e g. Alvarez andCrespi 2000 and Figure 2 shows how the composition of Chile's exports has evolved in the last two decades, aggregating products by factor intensity. 3 The biggest inroad into a more diversified export structure was 4…”

The Relationship between Marketing and Export Sales: On The Food Stuff Industry Companies Quoted in BIST

“…Bunun yanında, yarattığı rekabet ortamı ile firmaların teknoloji yatırımlarını tetikleyerek ulusal olan firmaların uluslararası bazda rekabet gücünü arttırmaktadır (Balassa, 1988) 1980 sonrası dönemde artan küreselleşme olgusu firmaları yeni stratejiler geliştirmeye ve özellikle ihracat performanslarını arttırmaya yönlendirmiştir (Al-Aali vd., 2013). Konu ile ilgili yapılan ampirik çalışmalar, ihracat yapan firmaların ihracat yapmayanlara göre çok daha verimli üretimler gerçekleştirdiğini ortaya koymaktadır (Alvarez, 2004;Mengistae ve Pattillo, 2004;Moral-Pajares vd., 2015) İhracatın hem makro hem de mikro düzeyde verimliliği arttırarak, firmaların karlılığını arttırdığı ve bu yolla ülkenin rekabet düzeyini yükselttiği belirlenmiştir. Bu durum firmaların ihracat kapasitesini etkileyen faktörleri belirlemenin önemini ortaya koymaktadır.…”