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Developing Countries Exports Survival in the OECD: Does Experience Matter?

Author

Listed:
  • Strauss-Kahn, Vanessa
  • Carrère, Céline
Abstract
This paper focuses on developing countries that export for the first time to the OECD and obtains several important results on export dynamic, linking exports experience and exports survival. Using product level data at the SITC 5 digit level for 114 developing countries on the 1962-2009 period, we show that prior exports experience obtained in non-OCDE markets increases survival in the OECD market. The effect of experience depreciates however rapidly with time: gaining experience for more than two years is worthless. Moreover, a break in export experience prior to entering the OECD reduces the benefit on survival. Geographic export dynamic reveals that experience is acquired in neighbor, easy to access markets before reaching more distant, richer partners and ultimately serving the OECD. Where the experience is acquired does not however matter for survival.

Suggested Citation

  • Strauss-Kahn, Vanessa & Carrère, Céline, 2014. "Developing Countries Exports Survival in the OECD: Does Experience Matter?," CEPR Discussion Papers 10059, C.E.P.R. Discussion Papers.
    • Handle: RePEc:cpr:ceprdp:10059
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    Cited by:

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    2. Tomohiko Inui & Keiko Ito & Daisuke Miyakawa, 2017. "Export Experience, Product Differentiation and Firm Survival in Export Markets," The Japanese Economic Review, Springer, vol. 68(2), pages 217-231, June.
    3. Manuel Tong Koecklin, 2018. "Experimenting in Export Markets," Economics PhD Theses 0918, Department of Economics, University of Sussex Business School.
    4. Zarach, Zuzanna Helena & Parteka, Aleksandra, 2023. "Export diversification and dependence on natural resources," Economic Modelling, Elsevier, vol. 126(C).
    5. MAJUNE, Socrates, 2015. "A discrete time analysis of export duration in Kenya: 1995 -2014," MPRA Paper 68727, University Library of Munich, Germany.

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    More about this item

    Keywords

    Duration of export; Survival analysis; Experience and learning; Developing countries;
    All these keywords.

    JEL classification:

    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • F10 - International Economics - - Trade - - - General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • O50 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - General

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