Abstract

The overall purpose of this study was to identify determinants of export performance of manufacturing industries in Dire Dawa city Administration. The research incorporated both primary and secondary data. The primary data was collected through self-administered questionnaire whereas secondary data were extracted under a comprehensive desk review of the manufacturing sector policies, performance, status, problems etc. and reviewed mainly from published journal articles and books. Descriptive research design research method was utilized to identify the determinants of export performance of manufacturing industries in Dire Dawa city Administration and quantitative and qualitative information was taken into account. To process the collected data analysis SPSS version 20 was used. The study found that building of physical capital, raw material supplies, logistics and transportation, educated and skilled work force, loan from banks, rate of exchange, incentives, use of the internet, productivity improvement, value addition, and diversification, unit prices, differentiation, branding, retailing, ease of doing Business, competition and utilization of trade preferences are the major determinants of export performance of manufacturing industries. Keywords: Export, Performance DOI : 10.7176/EJBM/11-7-08 Publication date :March 31 st 2019

Highlights

  • The historical experiences of the world economy shows that countries used different types of polices and strategies taking into account their own resources and contexts, but all have the ultimate objective of attaining industrial development

  • The general objective of this study is to identify determinants of export performance of manufacturing industries in Dire Dawa city Administration

  • Pricing sheets for many products show that export sales are made on a cost plus profit basis

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Summary

Introduction

The historical experiences of the world economy shows that countries used different types of polices and strategies taking into account their own resources and contexts, but all have the ultimate objective of attaining industrial development. This industrial development requires structural transformation from agriculture to a more productive and complex economic activity such as industry. The linkage argument; if the industrial development directed to use local raw materials it can create strong linkages among different sectors of the economy. Saving argument; the profit margins in the industrial sector are higher than those in agriculture and this may lead to a higher level of saving. (Andualem 2015)

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