Networks, human capital and export success: evidence from Bangladesh

Authors

Mohammad Bari, University of WollongongFollow
Kankesu Jayanthakumaran, University of WollongongFollow

RIS ID

144154

Publication Details

Bari, M. & Jayanthakumaran, K. (2020). Networks, human capital and export success: evidence from Bangladesh. Empirical Economics,

Abstract

2020, Springer-Verlag GmbH Germany, part of Springer Nature. This research recognises firm heterogeneity theories and uses the extensive transaction-level data of customs to analyse the export success of Bangladesh at the level of annual activity of individual exporters during the period 2004-2011. It identifies the network of peer exporters as a significant factor that promotes export success in both direct and indirect channels. As well as the financial system reported in earlier studies, this study finds the formation of human capital as another influential candidate for an indirect channel. Our findings also suggest that at the exporter's level, experience with destination and products, initial exports and the level of competency with products contribute significantly to the success of new exports. More importantly, for Bangladeshi exporters, the effect of destination experience is stronger than that of product experience.