Exports Of Services Research Articles

The effect of the digital economy on services exports competitiveness and ternary margins

In the era of the digital economy, improving the level of information and communications technology (ICT) development is an important measure for achieving the high-quality development of the services exports. This study constructs a comprehensive development index for the digital economy based on the United Nations Conference on Trade and Development Statistics Database (UCTADstat) to calculate the services exports competitiveness of 75 countries (regions) around the world from 2010 to 2019 and conducts ternary margin decomposition. The study empirically verifies that the digital economy promotes the competitiveness of services exports, not only driving intensive growth of quantity margin and price margin but also enhances the expansion growth of category margin. Heterogeneity analysis reveals that the effect of the digital economy on improving low- and middle-income countries' services exports competitiveness and industries with low ICT intensity is more significant than that of high-income countries and high ICT-intensity industries. The impact of the digital economy on the ternary margin of countries’ different income levels and ICT-intensity sample groups exhibits differentiated estimation results. The conclusions of this study provide novel explanations regarding the effects of the digital economy in improving services exports competitiveness and new perspectives and evidence for strategic policymaking.

The Influence of The Corruption Perception Index, Exports of Goods and Services, and Unemployment Rate on Economic Growth in 9 ASEAN Countries

This study aims to analyze the relationship between the index of corruption perceptions, exports of goods and services, and the unemployment rate on economic growth in 9 ASEAN countries. This study uses panel data from 2016-2020 in 9 ASEAN countries. The variables used are economic growth with the independent variable index of perceptions of corruption, exports of goods and services, and the unemployment rate. Based on the regression results, the corruption perception index variable has no effect on economic growth in 9 ASEAN countries. While the variable exports of goods and services have a positive and significant effect on economic growth in 9 ASEAN countries. And the unemployment rate variable has a negative and significant effect on economic growth in 9 ASEAN countries.

Impact of Service Ecology On Digital Trade Competitiveness — From Indurstrial Integration And Digital Absorptive Capacity Aspective

Based on panel data of 28 manufacturing and 6 service industries in China from 2010 to 2019, this paper uses variance partial least squares structural equation model to test the impact of service ecology on digital trade competitiveness and intermediary adjustment effect of ICT-driven manufacturing servilization at input end. Research shows producer service ecology directly promote the output and export of high-end services. Within a service ecology, when specialization level intensifies, key elements will shift from logistics and finance to finance and technology. When ICT-driven service ecology improves, it’s impact on digital trade competitiveness will change from a direct way to an indirect way. In a meshed service ecosystem, ICT driven service promote digital exports through manufacture servilization. The more developed ICT industry is, the greater this promotion forces will be. In a chained service ecology, ICT-driven manufacturing have better digital absorption capacity. So we suggest to establish digital service ecology surrounding manufacturing scene, so as to trigger manufacturing servilization at input end and enhance industrial digital absorption capacity. At the early stage of service ecology, we should first develop logistics and financial clusters. When service ecology reach certain level, we transfer to develop digital technology and finance, innovate financial products and models, and attract related elements to formulate service-ecology. We should synchronous develop ICT-driven server and manufacturing, and foster data flows cross borders, encourage leading manufacturers to open symbiotic technology platforms and transform into service-oriented enterprises.

Tools for the Development of Regional Medical Tourism Programs: International Experience

Background. Internationalization of global healthcare and, in particular, the development of international medical tourism, informs the creation of a strategy for the development of domestic medical tourism programs in regions, states, or provinces using various tools for each stage of market development. 
 Purpose. This article aims to identify, classify, and analyze the development tools for regional medical tourism programs applied in the countries recognized as international destinations for medical tourism. 
 Methods and materials. The study data are based on foreign and domestic scientific publications in the field of international medical tourism and the export of medical services. The authors analyzed publications on the development of regional medical tourism programs in the media and performed content analysis of scientific publications in peer-reviewed scientific journals.
 Results. The internationalization of global healthcare has a significant influence on cross-border private medical travel (medical tourism), thus encouraging the development of both national and regional healthcare. The existing global practice of 19 countries in regional medical tourism provides an extensive development toolkit that includes more than 70 tools focusing on various aspects of the elaboration and implementation of opportunities for regional medical tourism and the export of medical services. The tools can be implemented in one of the four stages of market development: introduction, growth, maturity, and decline. The first stage is characterized by the prevalence of tools related to analysis and the development of the market base. The growth stage focuses on market expansion. At the third stage, the first tools aimed at offering better price for medical services appear. The stage of market decline is focused on the expansion of the target consumers by increasing the financial accessibility of medical tours. At the same time, the third and fourth stages are characterized by a limited number of support tools, which can be explained by the relative immaturity of the global medical tourism market and the focus on programs designed for the international market rather than on increasing economic efficiency. Therefore, in the following years, the scientific and professional communities will focus on the development and implementation of tools that can increase the reflow of financial resources expended on market development.
 The results of this study can be useful to the subjects of the Russian Federation that are interested in the development of regional strategies in terms of the federal project on the development of the export of medical services as part of the “Healthcare” national project.

REGIONS AND COUNTRIES - LEADERS OF MODERN WORLD TRADE: WHAT'S NEW?

This article analyzes the main parameters of world trade in goods and services by aggregated export and import items, by regions of the world and leading countries. As a result of the changing geopolitical situation in the world, when developing countries are trying to change the old world order (with the hegemony of Western countries over the United States), the conditions of world trade and the share of certain countries in global export and import indicators are changing. The analysis of world trade is based on statistical data from the UN, WTO and other international organizations. The change of world trade leaders at the regional level has been revealed. Thus, Asia's leadership is fixed in commodity exports and imports, but the developed countries of the West lead in the export of commercial services. The leader of world trade is currently China, ahead of both the United States and Germany.

Do Digital Trade Rules Matter? Empirical Evidence from TAPED

This study aims to examine (1) the impact of digital trade rules on digital services exports, (2) the heterogeneity of this impact in different trade categories, (3) the impact of digital trade rules on the growth of services exports through reducing trade costs, and (4) whether this impact is different in national income levels. In order to test the hypotheses, this study uses panel data from the TAPED database encompassing 143 economies between 2005 and 2019, employing a differences-in-differences model as the analytical framework. Our empirical results yield several key findings. Firstly, digital trade rules have a significant role in promoting the export of digital services. Secondly, the impact of trade rules on different types of trade and national income levels is significantly different. Thirdly, the mechanism analysis results show that trade costs have an intermediary role, and digital trade rules can promote the export of digital services by reducing trade costs. Finally, compared to “high-income countries”, the establishment of digital trade rules brings greater benefits to the digital services trade of low- and middle-income countries. Digital trade has brought significant changes to globalization development. Few studies address the role of digital trade rules in regulating the development of digital trade, and some researchers suggest reconstructing the global trade rules to meet the growth of digital trade. Nevertheless, research on how digital trade rules affect digital services exports is still sparse. This study contributes to the literature by revealing the importance of digital trade rules and provides a reference to promote institutional openness in the field of digital trade.

Active learning as a modern technology for achieving competitive advantages of educational services

An urgent, even topical problem in the field of export of educational services is the use of advantages in the domestic educational system, innovation and the search for methods, technologies and a way of presenting knowledge that are relevant for a modern student. The construction of the entire algorithm for teaching a foreign student in domestic universities should reach such a level of meeting their needs that would ensure the fullness of the request for high–quality knowledge, a palette of research skills. The competitiveness of our country in the field of export of educational services provides quality education based on an innovative approach using active learning technologies. Active learning nvolves an interdisciplinary approach to education using pedagogical, didactic, and organizational and managerial techniques. An important aspect of active learning is the focus on the development of various types of activity. The teacher becomes the most important subject of the innovative approach and the main actor in the entire system of modernization of the education system. Knowledge of the specifics, history, economic development of the country of a foreign student is a prerequisite for the activity of an innovator teacher. Such a technology is active training, which is aimed both at the formation of research, cognitive activity of the student, and at preparing for practical activities through the acquisition of various types of activity.

Basic Industry Strategy and Orientation Strategy

This research is motivated by so much competition in a market orientation that is increasingly emerging, but competition sometimes pays little attention to product innovation in the eyes of consumers. The purpose of this study is to determine market orientation that occurs in the world of marketing, Entrepreneurial Orientation, Market Power as an independent variable, Marketing Performance as the dependent variable and Product Innovation as a mediating/intervening variable. The method used is the literacy method. The result of the research is that the basic industrialization strategy is an industrial strategy that focuses on the production of products and services for export, not for domestic sales and circulation. Consists of basic chemical industry and basic metal and machine industry. While the orientation industrialization strategy is the company's strategic direction in creating the right behavior so as to achieve superior performance. Market orientation as a process and activity related to creating and satisfying customers by continuously assessing customer needs and wants. Application of market orientation will bring increased performance for the company. Companies implementing market orientation have advantages in terms of customer knowledge and these advantages can be used as a source to create products that suit the wants and needs of customers.

The Role of the Government in Preventing Monopolistic Practices in Lobster Seed Export Services

One form of business activity that is prohibited in business competition law is monopolistic practices, which is a form of market control. One of the cases of monopolistic practices is related to lobster seed export services involving the freight forwarder company PT ACK. This research aims to study the role of the government in preventing monopolistic practices as well as the responsibility of freight forwarder companies that commit such monopolistic practices. This research uses a normative juridical research method. The results of this study show that the role of the government, namely KPPU, has not been maximised in preventing the monopoly of lobster seed exports. KPPU has conducted a study with several parties related to lobster seed exports and found no regulations that designate only one company that can export. However, the fact is that in the field, only PT ACK can export. The company that committed monopolistic practices has been found guilty of violating Article 17 of Law Number 5 of 1999 in KPPU Decision Number 04/KPPU-I/2021 and bears the responsibility of terminating its business activities and seizing assets for the state.

The Role of the Government in Preventing Monopolistic Practices in Lobster Seed Export Services

The Role of the Government in Preventing Monopolistic Practices in Lobster Seed Export Services

ПРОБЛЕМИ І ПЕРСПЕКТИВИ РОЗВИТКУ РИНКУ ІНФОРМАЦІЙНИХ ТЕХНОЛОГІЙ В УКРАЇНІ

The article analyzes the current issues that are preventing the development of the information technology market in Ukraine. It has been established that the leaders of the Ukrainian IT industry have already achieved significant success and have several undeniable achievements. The lack of a well-established state policy is preventing Ukraine from competing effectively in the global IT market as a producer of goods. The analysis of countries' global digital competitiveness ratings revealed that the world market of information technologies is segmented based on types, programs, and subtypes. Due to several factors, the information technology market in Ukraine has been growing moderately. Firstly, there is an increasing demand for advanced technologies and digitalization, along with positive trends in remote working, which is the usual mode for IT companies; secondly - the emergence of new information technologies and systems, products, IT services, and companies; thirdly, the development of the communications system, electronic payments, and e-commerce have also played a role in the market's expansion. Fourth, the increased digitalization in various sectors of the economy, including healthcare, government, finance, and education, is expected to drive the highest growth rates in the IT market; fifth, the growth of the IT market is also being fueled by the attraction of significant investments through progressive IT start-ups, sixth, the rapidly growing IT workforce. Lastly, there is an annual increase in the share of the Ukrainian IT market in the export of services. The effectiveness of the information technology market in Ukraine's export of services is presented through the dynamics of indicators from 2018 to 2022. Ukrainian IT companies should focus on further developing their information products to improve the situation. The article analyzes Ukraine's top 10 IT companies, where service companies dominate. It also summarizes the challenges that are hindering the development of the information technology market in Ukraine. Additionally, the article suggests directions that can help create a developed digital Ukrainian nation. Several measures are proposed to facilitate the rapid development of the information technology market in Ukraine. The first is to focus on building the world's first digital country, which involves ensuring secure and uninterrupted Internet access for all residents throughout the territory, this can be achieved by leveraging technologies like StarLink and other similar advancements. Secondly, there is a proposal to create a territory of innovation, which would involve technological integration and the introduction of new technologies. Thirdly, the development of high-tech and future-tech products is emphasized. Fourthly, the suggestion is to fully operate the virtual economy in parallel with the traditional one. Lastly, there is a proposal to attract major global services to Ukraine, such as global investment banks and Amazon services.

EFFECTS OF DIRECT FOREIGN INVESTMENTS ON THE ECONOMY OF THE REPUBLIC OF CROATIA

The aim of the paper is to investigate and provide an argumentative explanation of the effects that direct foreign investments have on selected macroeconomic indicators in the Republic of Croatia in the period from 2000 to 2020. This paper analyses the effects that direct foreign investments have had and are having on selected macroeconomic indicators of the Republic of Croatia over a 20-year time series. Most often, advocates of a greater inflow of FDI argue their positions with GDP growth, higher employment, price stability, increased exports of goods and services, and a generally better standard of living for Croatian citizens. The very entry into the Union created numerous advantages for Croatian companies, facilitated the exchange of goods with the members, but did not bring the expected influx of investments. Of the desired numerous greenfield and brownfield investments and mergers and acquisitions of companies, the realization was below expectations due to the stated objective, but also numerous subjective reasons. More precisely, investments have arrived in tourism and trade, but have been absent in basic industry and agriculture. The developments that have been observed in recent years will certainly, in addition to attracting foreign capital, contribute to the Croatian economy, especially in the IT field and green technologies. Investment experience so far shows that in the Republic of Croatia, most foreign investments have been reduced to the purchase of majority ownership in domestic vital companies, which has resulted in job reductions, disincentives for exports, and impairment of national competitiveness. In the sense of the above, the starting hypothesis of the work is: based on the knowledge of the theoretical characteristics of foreign direct investments and the functioning of the movement of international capital and technology transfer, the importance of foreign direct investments for the economy of the Republic of Croatia can be presented. In the analytical part of the paper, statistical methods of linear regression and correlation were used to analyse the influence of direct foreign investments on GDP, employment, long-term interest rate and current account of the balance of payments. The basic research results show that there is a clear and moderate connection between FDI and GDP. The conclusion of the research in the paper emphasizes how the beneficial effect of the inflow of FDI on the gross domestic product indirectly or directly positively affects employment, long-term interest rates and the balance of payments of the Republic of Croatia. Based on the analysis carried out, it can be stated that foreign direct investments can bring improvement to the national economy only when; if they target more advanced industries so the potential technological spillovers are greater, if they establish strong ties with domestic companies that can absorb spillovers in such a way, if part of the production is exported which has a positive effect on the balance of payments and if they motivate domestic companies to follow them.

Effect of Exports of Goods and Services and Energy Consumption in Italy`s Service Sector

The aim of this study is to examine the service sector in Italy, one of the Mediterranean countries, and the relationship between the energy consumption affecting this sector and the factors of export of goods and services. The data set used in the model tested by panel analysis method covers the years 1997-2021. When the values related to the analysis result are examined, it is understood that the model is generally significant at the 95% confidence level. The R2 coefficient, which is important in the model, is approximately 95%. Exports of goods and services, one of the explanatory variables in the model, were found to be significant in explaining the commercial service exports of this country. In other words, the 1% increase in Italy's exports of goods and services explains this country's exports of commercial services at the level of 86%. This relationship between variables has a positive meaning. The relationship between energy consumption and exports of commercial services was found to be significant at the 5% probability level. The relationship between these two variables is also positive. It was concluded that a 1% increase in energy consumption explains this country's commercial service exports by approximately 27%.

The Impact of Countries’ Participation in the ICT Services Market on Economic Growth, CPI, and Exchange Rates

Abstract Finding a way of achieving economic growth in the crisis period due to the COVID-19 pandemic, Russia’s invasion of Ukraine, and probable global regression aggravates the need for the implementation of managerial solutions of entering or intensifying participation in the perspective markets. The ICT industry has been a locomotive of economic development for the last decade for participating economies. The basic idea of the paper is based on the need to analyze the impact of countries’ participation in the ICT services market on their economic growth, consumer price indices (CPI), and exchange rates. The purpose was achieved by performing an analysis of the state and dynamics of the main indicators of the world ICT services market. The results show that the volume of ICT services exported and imported is growing. Moreover, we aimed to provide empirical evidence on the ICT services market’s impact on the economic parameters of the countries. We proposed a statistical model of Pearson’s r regression, based on the data of GDP values, CPI, and exchange rates of the 30 largest markets accounting for more than 90% of the ICT world market. The core results demonstrate stronger ICT services export and import correlation with GDP for economies with lower GDP per capita. The model shows a high success rate depending on variables. Based on the results obtained during modelling, propositions, and recommendations for countries with different socio-economic development levels were given.

Competitiveness—the engine that boosts economic growth and revives the economy

Competitiveness is a concept that shows up in all aspects of human life, both at the micro level, in personal, social, and professional life, and at the macro level, linked to organizational and national competitiveness with long-term effects on global competitiveness. In this paper, we aim to address competitiveness in Romania in the current context, before and after the COVID-19 pandemic, highlighting its role in reviving the economy. While until the onset of the pandemic Romania’s competitiveness performance was growing, more recently, because of the global health crisis, it dropped a few places, according to the Global Competitiveness Index report. In order to have a clear picture of the degree of competitiveness in Romania, we have presented a series of statistical data for the most relevant macroeconomic indicators for our study for the 2017–2022 timeframe: the global competitiveness index, the minimum wage, labor productivity, the evolution of real labor productivity per employed person, the economic growth rate, the unemployment rate, the inflation rate, the European innovation index, gross domestic expenditure on research and development, export of goods and services as a share of GDP, etc. The methodology used involves the use of quantitative techniques, performing an econometric analysis, and correlating how the most important macroeconomic indicators can influence the degree of competitiveness at both the national and international level. For the post-pandemic timeframe, the analysis switches focus, just as the economic reality did, looking at energy costs and energy use as determinants of competitiveness. Since notions like circular economy and sustainable development correlate being energy-efficient with being competitive, however, at the same time, the high cost of investments necessary for individual businesses and countries to switch from polluting energies to clean energies impedes or at the very least heavily impacts their ability to compete with entities that don’t make that same switch, it becomes apparent that the energy market impacts competitiveness metrics. Competitiveness promotes valuable contributors and underpins performance at group and company level, and the effects from the micro level will propagate, with an emission effect, to the entire national economy with obvious implications at the international level, through real growth in macroeconomic indicators, increased labor productivity, increased economic performance (market share, export share, return on capital), raising living standards and economic and social wellbeing (life expectancy index, human development index, poverty rate), education (skills, knowledge, abilities, managerial and marketing skills, corporate culture), competitive potential (innovation, R&D, promotion), and in raising the Global Competitiveness Index by focusing on factors of production, efficiency, and innovation, etc.

ПЕРСПЕКТИВИ РОЗШИРЕННЯ УГОДИ ПРО ЗОНУ ВІЛЬНОЇ ТОРГІВЛІ З ДЕРЖАВОЮ ІЗРАЇЛЬ НА СФЕРУ ПОСЛУГ

The critical role of the state’s trade policy in the development of Ukraine's integration potential and the key role of services in international trade are emphasized. The prospects for the development of Ukraine's integration potential through the expansion of the Free Trade Agreement with the State of Israel to trade in services are highlighted. The analysis of the data taken from the State Statistics Service of Ukraine allows to consider the dynamics of exports, imports, balance of trade in goods and services between Ukraine and the State of Israel for the period of 2016 and 2021. The results show that the integration relations between the countries are strengthened primarily thanks to the exports: in 2016, the exports of goods and services – 657.0 mln USD, and in 2021 – more than 1,0 bln USD, i.e. increased 1.6 times, while the imports of goods and services in 2016 –204.4 mln USD, and in 2021 – 267.6, i.e. grew 1.3 times. In the context of the signed Free Trade Agreement, it is emphasized that the exports of goods rose by 23% in 2021, and the exports of services – by 27% compared to 2020. The balance in trade in both goods and services has been positive. The share of exports of services in all exports of goods and services of Ukraine to the State of Israel has been growing and in 2021 it reached 29% which also confirms the necessity to develop Ukraine’s integration potential by covering trade in services in the expanded FTA. The types of exported and imported services are presented. According to the State Statistics Service of Ukraine, the main types of services exported to Israel are the services in the sphere of telecommunications, computer and information services – 232 mln. USD, or 63%, with positive balance of 226 mln. USD and transport services – 117 mln. USD, or 32%, with positive balance of 94 mln. USD. The main types of services imported from the State of Israel are the transport services – 24 mln. USD or 59% and services in the sphere of telecommunications, computer and information services – 6.4 mln. USD or 16%. The trade in services of innovative nature are also to be covered by the FTA

КИЧИК БИЗНЕС ВА ХУСУСИЙ ТАДБИРКОРЛИК СУБЪЕКТЛАРИ ЭКСПОРТ САЛОҲИЯТИНИ ОШИРИШНИ ЭКОНОМЕТРИК МОДЕЛЛАШТИРИШ ВА ПРОГНОЗЛАШ

This article examines the research work of foreign and domestic scientists dealing with the development of small businesses and private entrepreneurship in the Republic of Uzbekistan and increasing the export potential. An econometric analysis of the factors influencing the increase in the export potential of small businesses and private entrepreneurship has been carried out. Based on the results of the analysis, the dynamics of growth of the development of small businesses and private enterprises and the volume of exports of goods and services produced in them for 2001-2022 and forecast indicators for 2023-2025 were developed.

Analyzing the Impact of Foreign Direct Investment, Energy Consumption on Services Exports, and Growth of the Services Sector: Evidence from SAARC Countries

Analyzing the Impact of Foreign Direct Investment, Energy Consumption on Services Exports, and Growth of the Services Sector: Evidence from SAARC Countries

Value-added tax reform and service exports: Evidence from China

In 2012, sales tax was replaced in China with value-added tax (VAT). This study evaluates the effect of this change on service exports. VAT reform was introduced across provinces and service sectors at different times. Hence, our paper identifies the impacts of VAT reform on firms’ export behavior by utilizing a difference-in-difference (DID) estimation methodology and finds that VAT reform significantly increases service exports in intensive and extensive margins. The export-enhancing effects are larger for non-state-owned enterprises and firms of larger scale and higher productivity levels. VAT reform alleviates tax magnification and double taxation and effectively promotes the competitiveness of China's service exports. With the complete implementation of VAT reform, alongside the full refund of VAT on exported products, China's service exports would increase by approximately two-and-a-half times.

International Financial Reporting Standards and Bilateral Accounting Services Exports

ABSTRACT This study examines the impact of International Financial Reporting Standards (IFRS) adoption on bilateral trade of accounting services. Applying the gravity model to a sample of 13 exporting and 33 importing countries for five years (2001, 2002, 2007, 2008, and 2017), we find that accounting services exports are unaffected by whether both trade partners have jointly adopted IFRS. As a secondary analysis, accounting services exports are found to decrease when trade partners are more dissimilar in their per capita income, with weak evidence that this effect may be muted if both countries adopt IFRS.