The role of business competitiveness in manufacturing sector export performance: an empirical analysis on Exports of food processing Industries in Tanzania

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Date
2008
Journal Title
Journal ISSN
Volume Title
Publisher
University of Dar es Salaam
Abstract
In the contemporary global economy, nations are able to compete by selling high valued and differentiated products; which is in turn determined by enterprises productivity and economic competitiveness. Both microeconomic and macroeconomic forces are key in attaining economic competitiveness, and these are determined by a country’s strategic positioning in global economy The rationale of this study is that, despite Tanzania government’s efforts in implementing reforms geared towards improving competitiveness and business environment, still the economy and the manufacturing sector in particular, has not been transformed to be able to exploit emerging global opportunities. The study therefore examines the key determinants of business competitiveness and how the same are key in manufacturing production and exports competitiveness. The model used is modified from a study done by UNCTAD (2005) in an attempt to analyze determinants of export and the porter’s work on determinants of competitiveness. Variables used in this study are macro-economic ones; which are the inflation rate, commercial banks lending rates, real GDP growth, and gross capital formation, utilities cost, firm’s cost of production, applied tariff rate and real exchange rate. Unit root test is carried and all variables are found to be stationary at first difference. The study uses the Autoregressive-Distributed Lag (ARDL) approach for estimation of single long-run relationship advanced by Pesaran and Shin (1995), using Hannan and Quinn criterion (HQC). The advantage of using the ARDL model emanate from the fact that it provides dynamism required in modern analysis. The HQC is used to establish.
Description
Available in print form, East Africana Collection, Dr. Wilbert Chagula Library, Class mark (THS EAF HF1414.M3256)
Keywords
Food industry and trade, Exports, Competition, Business competitiveness, Tanzania
Citation
Mboya, J.R. (2008) The role of business competitiveness in manufacturing sector export performance: an empirical analysis on Exports of food processing Industries in Tanzania, Master dissertation, University of Dar es Salaam