Abstract
The study aimed to analyze the growth of exports the manufacturing firms within Iran’s cement industry and the growth of the welfare index in the export markets of the industry. Thus, variations in the exports of the firms and the welfare indices of the target countries relative to the costs of trade were analyzed by implementing various models of international marketing and the activity of heterogeneous firms in monopolistic competition circumstances using panel data and the non-linear least squares method during 2003-20. The results of investigating the effects of market penetration costs on the entry of firms were considered in two modes. In the first mode, the costs were considered fixed and uniform, while the second mode considered them endogenous according to the productivity of the firms. The results showed that when the costs were endogenous, increasing the firms’ productivity facilitated their entry and increased the rate of exports. Moreover, analyzing the growth of the firms’ export rates showed that the rate of their entry had the most significant impact on the growth of exports Iran’s cement industry. The same factor had the most remarkable role in changing the welfare index of the industry in the target countries.
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Article Details
- Year: 2023
- Volume: 44
- Issue: 3
- Pages: 185 - 208
- Accepted: 12.04.2023
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DOI:
https://doi.org/10.5281/zenodo.16910075 -
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How to Cite?
Ahmad Salahmanesh, Hassan Farazmand, Ebrahim Anvari, Atefeh Ahmadi (2023). Analysis of the Growth of Exports in the Manufacturing Firms of the Cement Industry and the Growth of the Welfare Index Counting the Costs of Market Penetration (the Monopolistic Competition Approach). Journal of Economic Cooperation and Development, 44(3), 185-208. https://doi.org/10.5281/zenodo.16910075
