Export Survival in Global Production Chains
This paper focuses on the survival capacity of the trade flows in international production networks. Firstly, we emphasize that these trade relationships are longer-lived than other trade flows. Secondly, we try to delimit the factors that explain this using time-discrete duration models which contr...
| Authors: | , , |
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| Format: | article |
| Publication Date: | 2015 |
| Country: | España |
| Institution: | Universidad de Castilla-La Mancha |
| Repository: | RUIdeRA. Repositorio Institucional de la UCLM |
| OAI Identifier: | oai:ruidera.uclm.es:10578/19873 |
| Online Access: | http://hdl.handle.net/10578/19873 |
| Access Level: | Open access |
| Keyword: | International Production Networks Export Survival Time-Discrete Duration Models Redes internacionales de producción Supervivencia de exportación Modelos de duración discreta |
| Summary: | This paper focuses on the survival capacity of the trade flows in international production networks. Firstly, we emphasize that these trade relationships are longer-lived than other trade flows. Secondly, we try to delimit the factors that explain this using time-discrete duration models which control for the existence of unobservable heterogeneity. We find that variables such as initial value of the trade flow, geographic and product diversification, institutional quality, geographic, linguistic and economic proximity and membership in a regional integration agreement play an important role for stability of global production systems. Our results highlight that the high sunk entry costs and the need for trust and reliability in global value chains are factors dissuading radical alterations in the network configuration. |
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