Learning by Exporting: The Case of Mozambican Manufacturing

TY - JOUR

T1 - Learning by Exporting

T2 - The Case of Mozambican Manufacturing

AU - Cruz, Antonio

AU - Newman, Carol

AU - Rand, John

AU - Tarp, Finn

PY - 2017

Y1 - 2017

N2 - In this article, we analyse the learning-by-exporting (LBE) hypothesis in the Mozambican context. Due to the presence of the ‘Born-Global’ phenomenon among exporters, we address the endogeneity introduced by self-selection, combining a generalised Blinder–Oaxaca approach with results from traditional matching techniques. Our results show that very few manufacturing firms export, and that export participation is highly persistent. There is also evidence supporting the LBE hypothesis and the results suggest a significant export premium of between 17 and 21%, controlling for differences in observable characteristics between exporters and non-exporters. Finally, qualitative information on non-exporters seeking new markets suggests that ‘lack of knowledge of potential markets’ is the most severe constraint to international market entry. We conclude that the Mozambican Export Promotion Institute (IPEX) could play an important role in overcoming this information deficit for potential Mozambican exporters.

AB - In this article, we analyse the learning-by-exporting (LBE) hypothesis in the Mozambican context. Due to the presence of the ‘Born-Global’ phenomenon among exporters, we address the endogeneity introduced by self-selection, combining a generalised Blinder–Oaxaca approach with results from traditional matching techniques. Our results show that very few manufacturing firms export, and that export participation is highly persistent. There is also evidence supporting the LBE hypothesis and the results suggest a significant export premium of between 17 and 21%, controlling for differences in observable characteristics between exporters and non-exporters. Finally, qualitative information on non-exporters seeking new markets suggests that ‘lack of knowledge of potential markets’ is the most severe constraint to international market entry. We conclude that the Mozambican Export Promotion Institute (IPEX) could play an important role in overcoming this information deficit for potential Mozambican exporters.

KW - Faculty of Social Sciences

KW - firm level analysis

KW - learning spillovers

KW - export

KW - Mozambique

KW - D22

KW - F14

KW - O12

KW - O55

U2 - 10.1093/jae/ejw019

DO - 10.1093/jae/ejw019

M3 - Journal article

SN - 0963-8024

VL - 26

SP - 93

EP - 118

JO - Journal of African Economies

JF - Journal of African Economies

IS - 1

ER -