Standards and export performance in developing countries: Evidence from Pakistan

Journal of International Trade and Economic Development

Volumn 18, Issue 3, 2009, Pages 395-419

  Masakure, Oliver ^a   Henson, Spencer ^a   Cranfield, John ^a  

^a UNIVERSITY OF GUELPH   (Canada)

Author keywords

Developing countries; Exports; Pakistan; Standards; Trade

Indexed keywords

CERTIFICATION; DEVELOPING WORLD; EXPORT; REGRESSION ANALYSIS; STANDARD (REGULATION); TRADE PERFORMANCE;

PAKISTAN;

EID: 77449099150     PISSN: 09638199     EISSN: 14699559     Source Type: Journal    
DOI: 10.1080/09638190902986538     Document Type: Article

References (116)

1. Acharya, U., and R. Sanjit. 2000. ISO 9000 certification in Indian Industries: A survey. Total Quality Management 11, no. 3: 261-66.
2. Ahmed, S., I. Ara, A. Haider, H. Abdul, and A. Khan. 2005. The elimination of textile quotas and Pakistan-EU trade. Prepared for the European Union under Small Projects Facility (SPF) Program in Pakistan Project No. ASIE/2005/ 115-591, by Social Policy Development Centre, Karachi, Pakistan.
3. Alvarez, R.E. 2004. Sources of export success in small and medium-sized enterprises: The impact of public programs. International Business Review 13: 383-400.
4. Alvarez, R. 2007. Explaining export success: Firm characteristics and spillovers effects. World Development 35, no. 3: 377-93.
5. Alvarez, R.E., and R.A. Lopez. 2005. Exporting and performance: Evidence from Chilean plants. Canadian Journal of Economics 38, no. 4: 1384-400.
6. Alvarez, R., and R. Robertson. 2004. Exposure to foreign markets and plant level innovation: Evidence from Chile and Mexico. Journal of International Trade and Economic Development 13: 57-87.
7. Anderson, J.E., and E. van Wincoop. 2004. Trade costs. Journal of Economic Literature XLII: 691-751.
8. Aw, B.Y., X. Chen, and M.J. Roberts. 2001. Firm-level evidence on productivity differentials, turnover and exports of Taiwanese manufacturing. Journal of Development Economics 66: 51-86.
9. Aw, B.Y., M.K. Roberts, and T. Winston. 2007. Export market participation, investments in R&D and worker training and the evolution of firm productivity. The World Economy 30, no. 1: 83-104.
10. Baldwin, J.R., and W. Gu. 2003. Export-market participation and productivity performance in Canadian manufacturing. Canadian Journal of Economics 36: 634-57.
11. Baldwin, J.R., and W. Gu. 2004. Trade liberalization: Export-market participation, productivity growth and innovation. Oxford Review of Economic Policy 20, no. 3: 372-92.
12. Becker, S.O., and A. Ichino. 2002. Estimation of average treatment effects based on propensity score. The Stata Journal 2: 358-77.
13. Bernard, A., and B.J. Jensen. 1999. Exceptional exporter performance: Cause, effect or both. Journal of International Economics 47: 1-25.
14. Bernard, A.B., and B.J. Jensen. 2004a. Why some firms export. The Review of Economics and Statistics 86, no. 2: 561-69.
15. Bernard, A.B., and B.J. Jensen. 2004b. Exporting and productivity in the USA. Oxford Review of Economic Policy 20, no. 3: 343-57.
16. Bernard, A.B., J. Eaton, B. Jensen, and S.S. Kortum. 2003. Plants and productivity in international trade. American Economic Review 93, no. 4: 1268-90.
17. Bigsten, A., P. Collier, S. Dercon, M. Fafchamps, B. Gauthier, J.W. Gunning, A. Oduro, R. Oostendorp, C. Pattillo, M. Söderbom, F. Teal, and A. Zeufack. 2002. Do African manufacturing firms learn from exporting? CSAE WPS/2002-09.
18. Blundell, R., and M. Costa-Dias. 2000. Evaluation methods for non-experimental data. Fiscal Studies 21: 427-68.
19. Boone, J. 2000. Competitive pressure: The effects on investments in product and process innovation. Rand Journal of Economics 31, no. 3: 549-69.
20. Bougheas, S., P. Demetriades, and E. Morgenroth. 1990. Infrastructure, transport costs and trade. Journal of International Economics 47: 169-89.
21. Briscoe, J.A., S.E. Fawcett, and R.H. Todd. 2005. The implementation and impact of ISO 9000 among small manufacturing enterprises. Journal of Small Business Management 43, no. 3: 309-30.
22. Buttle, F. 1997. ISO 9000: Marketing motivations and benefits. International Journal of Quality and Reliability Management 14, no. 9: 936-47.
23. Capmany, C., N.H. Hooker, T. Ozuma, and A. van Tilburg. 2000. ISO 9000: A marketing tool for US agribusiness. International Food and Agribusiness Management Review 3: 41-53.
24. Casadesus, M., and G. Gimenez. 2000. The benefits of the implementation of the ISO 9000 standard: Empirical research in 288 Spanish companies. The TQM Magazine 12, no. 6: 432-41.
25. Caswell, J., M. Bredahl, and N. Hooker. 1998. How quality management metasystems are affecting the food industry. Review of Agricultural Economics 20, no. 2: 547-57.
26. Charles, J., C.J. Corbett, M.J. Montes-Sancho, and D.A. Kirsch. 2005. The financial impact of ISO 9000 certification in the United States: An empirical analysis. Management Science 51, no. 7: 1046-59.
27. Chen, M.X., T. Otsuki, and J.S. Wilson. 2006. Do Standards Matter for Export Success. World Bank Working Research Policy Working Paper 3809. Washington, DC: The World Bank.
28. Chhibber, P.K., and S. Majumdar. 1998. Does it pay to venture abroad? Exporting behavior and performance of firms in Indian industry. Managerial and Decision Economics 19, no. 2: 121-26.
29. Chhibber, P.K., and S. Majumdar. 1999. Foreign ownership and profitability: Property rights, control and the performance of firms in Indian industry. Journal of Law and Economics 42: 209-38.
30. Clerides, S.K., S. Lach, and J.R. Tybout. 1998. Is learning by exporting important? Micro-dynamic evidence from Colombia, Mexico and Morocco. The Quarterly Journal of Economics 113, no. 3: 903-47.
31. Corbett, C.J., M.J. Montes-Sancho, and D.A. Kirsch. 2005. The financial impact of ISO 9000 certification in the United States: An empirical analysis. Management Science 51, no. 7: 1046-59.
32. Das, S., M.J. Roberts, and J.R. Tybout. 2007. Market entry costs, producer heterogeneity and export dynamics. Econometrica 75, no. 3: 837-73.
33. Dehejia, R.V., and S. Wahba. 2002. Propensity score-matching methods for nonexperimental causal studies. The Review of Economics and Statistics 84, no. 1: 151-61.
34. De Locker, J. 2007. Do exports generate higher productivity? Evidence from Slovenia. Journal of International Economics 73: 69-98.
35. Deodhar, S.Y. 2003. Motivation for and Cost of HACCP in Indian Food Processing Industry. Indian Institute of Management (IIMA), Working Paper 2003-05-03. Ahmedabad: India.
36. Easton, G.S., and S.L. Jarell. 1998. The effect of total quality management on corporate performance: An empirical investigation. Journal of Business 71, no. 2: 253-307.
37. Eaton, J., S. Kortum, and F. Kramarz. 2004. Dissecting trade: Firms, industries, and export destinations. American Economic Review 94, no. 2: 150-54.
38. Fafchamps, M., S. El Hamine, and A. Zeufack. 2007. Learning to export: Evidence from Moroccan manufacturing. Journal of African Economies 17, no. 2: 305-55.
39. Fischer, R., and P. Serra. 2000. Standards and protection. Journal of International Economics 52: 377-400.
40. Fontagne, L., F. von Kirchbach, and M. Mimouni. 2005. An assessment of environmentally related non-tariff measures. The World Economy 28, no. 10: 1417-39.
41. Fouayzi, H., J.A. Caswell, and N.H. Hooker. 2006. Motivations of fresh-cut producer firms to implement quality management systems. Review of Agricultural Economics 28, no. 1: 132-46.
42. Ganslandt, M., and J.R. Markusen. 2004. Standards and related regulations in international trade: A modeling approach. In Quantifying the impact of technical barriers to trade: Can it be done?, ed. K.E. Maskus, and J.S. Wilson, 95-135. Michigan: The University of Michigan Press.
43. Girma, S., D. Greenaway, and R. Kneller. 2003. Export market exit and performance dynamics: A causality analysis of matched firms. Economics Letters 80: 181-87.
44. Girma, S., D. Greenaway, and R. Kneller. 2004. Does matching increase productivity? A microeconometric analysis of matched firms. Review of International Economics 12, no. 5: 855-66.
45. Gomez, M.I., M.P. Cabal, and J.A. Torres. 2002. Private initiatives on food safety: The case of the Colombian poultry industry. Food Control 13, no. 2: 83-86.
46. Gotzamani, K., and G.D. Tsiotras. 2002. The true motives behind ISO 9000 certification: Their effect on the overall certification benefits and long-term contribution toward TQM. International Journal of Quality and Reliability Management 19, no. 2: 151-69.
47. Greenaway, D., and R. Kneller. 2005. Exporting and productivity in the United Kingdom. Oxford Review of Economic Policy 20: 358-71.
48. Halis, M., and A. Oztas. 2002. Quality cost analysis in ISO 9000 certified Turkish companies. Managerial Accounting Journal 17, no. 1/2: 101-4.
49. Heckman, J., I. Ichimura, and P. Todd. 1997. Matching as an econometric evaluation estimator: Evidence from evaluating a job training programme. The Review of Economic Studies 64, no. 4: 605-54.
50. Hendricks, K.B., and V.R. Singhal. 2001. The long-run stock price performance of firms with effective TQM programs. Management Science 47, no. 3: 359-68.
51. Henson, S., and G. Holt. 2000. Exploring incentives for the adoption of food safety controls: HACCP implementation in the UK dairy sector. Review of Agricultural Economics 22, no. 2: 407-20.
52. Henson, S., and W. Mittulah. 2004. Kenyan exports of Nile perch: The impact of food safety standards on an export-oriented supply chain. World Bank Policy Research Working Paper 3349. Washington, DC: The World Bank.
53. Henson, S., and S. Jaffee. 2008. Understanding developing country strategic responses to the enhancement of food safety standards. The World Economy 31, no. 4: 548-68.
54. Heras, I., G.P.M. Dick, and M. Casadesus. 2002. ISO 9000 registration's impact on sales and profitability: A longitudinal analysis of performance before and after accreditation. International Journal of Quality and Reliability Management 19, no. 6: 774-91.
55. Herath, D., and S. Henson. 2006. Does Canada need mandatory HACCP? Evidence from the Ontario food processing sector. Canadian Journal of Agricultural Economics 54: 443-59.
56. Herath, D., Z. Hassan, and S. Henson. 2007. Adoption of food safety and quality controls. Do firm characteristics matter? Evidence from the Canadian food processing sector. Canadian Journal of Agricultural Economics 55: 299-314.
57. Huarng, F., C. Horng, and C. Chen. 1999. A study of ISO 9000 process, motivation and performance. Total Quality Management 10, no. 7: 1009-25.
58. Humphrey, J., and H. Schmitz. 2004. Governance in global value chains. In Local enterprises in the global economy: Issues of governance and upgrading, ed. H. Schmitz, 95-109. Cheltenham: Edward Elgar.
59. ITC. 1996. Applying ISO 9000 quality management systems. Geneva: International Trade Centre, UNCTAD/WTO.
60. Jae-Lee, M. 2005. Microeconometrics for policy, program and treatment effects. Oxford: Oxford University Press.
61. Jaffee, S. 2003. From challenge to opportunity: Transforming Kenya's fresh vegetable trade in the context of emerging food safety and other standards in Europe. Agriculture and Rural Development Discussion Paper No. 2. Washington, DC: The World Bank.
62. Jaffee, S., and S. Henson. 2004. Standards and agro-food exports from developing countries: Rebalancing the debate. World Bank Policy Research Working Paper 3348. Washington, DC: The World Bank.
63. Jalan, J., and M. Ravallion. 2003. Does piped water reduce diarrhoea for children in rural India? Journal of Econometrics 112: 153-73.
64. Jayasinghe-Mudalige, U.K., and S.J. Henson. 2006. Economic incentives for firms to implement enhanced food safety controls: The case of the Canadian red meat and poultry processing sector. Review of Agricultural Economics 28, no. 4: 494-514.
65. Jha, V. 2005. Environmental and health regulations. In Environmental regulation and food safety, ed. V. Jha, 17-36. Cheltenham: Edward Elgar.
66. Jones, R., G. Arndt, and R. Kustin. 1997. ISO 9000 among Australian companies: Impact of time and reasons for seeking certification on perception of benefits received. International Journal of Quality and Reliability Management 14, no. 7: 650-60.
67. Katsikeas, C.S, L.C. Leonidou, and N.L. Morgan. 2000. Firm-level export performance assessment: Review, evaluation and development. Journal of the Academy of Marketing Science 28, no. 4: 493-511.
68. Krut, R., and H. Gleckman. 1998. ISO 14001: A missed opportunity for sustainable global industrial development. London: Earthscan Publishing Ltd.
69. Limao, N., and A.J. Venables. 2001. Infrastructure, geographical disadvantage, transport costs and trade. The World Bank Economic Review 15, no. 3: 451-79.
70. Lorie, H., and Z. Iqbal. 2005. Pakistan's macro economic adjustment and resumption of growth, 1999-2004. Working Paper 05/139. Washington DC: International Monetary Fund.
71. Macadam, R. 1999. Life After ISO 9000: an analysis of the impact of ISO 9000 and total quality management on small businesses in Northern Ireland. Total Quality Management 10, no. 2: 229-41.
72. Maldonado, E.S., S.J. Henson, J.A. Caswell, K.A. Leos, P.A. Martinez, G. Aranda, and J.A. Cadena. 2005. Cost-benefit analysis of HACCP implementation in the Mexican meat industry. Food Control 16: 375-81.
73. Maskus, K.E., T. Otsuki, and J.S. Wilson. 2005. The cost of compliance with product standards for firms in developing countries: An econometric study. Policy Research Working Paper 3590. Washington, DC: The World Bank.
74. McMichael, P. 2000. Development and social change: A global perspective. 2nd edn. California and London: Pine Forge Press.
75. Navdi, K., and F. Waltring. 2004. Making sense of global standards. In Local enterprises in the global economy: Issues of governance and upgrading, ed. H. Schmitz, 53-94. Cheltenham: Edward Elgar.
76. Naveh, E., and A.A. Marcus. 2004. When does the ISO 9000 quality assurance standard lead to performance improvement? Assimilation and going beyond. IEEE Transactions on Engineering Management 51, no. 3: 352-63.
77. Otsuki, T., J.S. Wilson, and M. Sewadeh. 2001. Saving two in a billion: Quantifying the trade effect of European food safety standards on African exports. Food Policy 26: 495-514.
78. Pan, J.N. 2003. A comparative study on innovation for and experience with ISO 9000 and ISO 14000 certification among Far East countries. Industrial Management and Data Systems 103, no. 8: 564-78.
79. Poksinska, B., J.J. Dahlgaard, and J.A.E. Eklund. 2003. Implementing ISO 14000 in Sweden: Motives, benefits and comparisons with ISO 9000. International Journal of Quality and Reliability Management 20, no. 5: 585-606.
80. Ponte, S., and P. Gibbon. 2005. Quality standards, conventions and the governance of global value chains. Economy and Society 34, no. 1: 1-31.
81. Quazi, H.A., Y.K. Khoo, C.M. Tan, and P.S. Wong. 2001. Motivation for ISO 14000 certification: Development of a predictive model. Omega 29: 525-42.
82. Raballand, G., and E. Aldaz-Carroll. 2007. How do differing standards increase trade costs: The case of pallets. The World Economy 30, no. 4: 685-702.
83. Ravallion, M. 2006. Evaluating anti-poverty programs. In Handbook of development economics volume 4, ed. T. Schultz, and J. Strauss, 3787-846. Amsterdam: North Holland.
84. Roberts, M., and J. Tybout. 1997. The decision to export in Colombia: An empirical model of sunk costs and the decision to export. American Economic Review 87, no. 4: 545-64.
85. Rosenbaum, P., and D. Rubin. 1983. The central role of the propensity in observational studies for causal effects. Biometrika 70, no. 1: 41-55.
86. Ruzevicius, J., R. Adomaitiene, and J. Sirvidaite. 2004. Motivation and efficiency of quality management systems implementation: A study of Lithuanian organizations. Total Quality Management 15, no. 20: 173-89.
87. Salay, E., and A.Z. Mercadante. 2002. Mycotoxins in Brazilian corn for animal feed: Occurrence and incentives for the private sector to control the level of contamination. Food Control 13, no. 2: 87-92.
88. Schmitz, H. 2004. Globalized localities: Introduction. In Local enterprises in the global economy: Issues of governance and upgrading, 1-19. Cheltenham: Edward Elgar.
89. Segerson, K. 1999. Mandatory versus voluntary approaches to food safety. Agribusiness 15, no. 1: 53-70.
90. Simmons, B.L., and M.A. White. 1999. The relationship between ISO 9000 and business performance: Does registration really matter? Journal of Management Issues 11, no. 3: 330-43.
91. Singels, J., G. Ruel, and H. van de Water. 2001. ISO 9000 series certification and performance. International Journal of Quality and ReliabilityManagement 18, no. 1: 62-75.
92. Soderbom, M., and F. Teal. 2000. Skills, investments and exports from manufacturing firms in Africa. CSAE WPS/2000-8. Oxford: University of Oxford.
93. Sohal, A.S., and M. Terziovski. 2000. TQM in Australian manufacturing: Factors to critical success. International Journal of Total QualityManagement 17, no. 2: 158-67.
94. Stephenson, S.M. 1997. Standards and conformity assessment as non-tariff barriers to trade. Washington, DC: The World Bank.
95. Sykes, A.O. 1995. Product standards for internationally integrated goods markets. Washington, DC: The Brookings Institution.
96. Terlaak, A., and A.A. King. 2006. The effect of certification with the ISO 9000 quality management standard: A signalling approach. Journal of Economic Behavior and Organization 60: 579-602.
97. Tomiura, E. 2007. Effects of R&D and networking on the export decision of Japanese firms. Research Policy 36: 758-67.
98. Todd, P.E. 2006. Evaluating social programs with endogenous program placement and selection of the treated. In Handbook of development economics volume 4. Amsterdam: North Holland.
99. Turner, C.R., G.F. Ortmann, and M.C. Lyne. 2000. Adoption of ISO 9000 quality assurance standards by South African agribusiness firms. Agribusiness 16, no. 3: 295-307.
100. UNIDO. 2007. Trade related challenges facing exporters in Pakistan. Geneva: UNIDO.
101. Vogel, D. 1995. Trading up: Consumer and environmental regulation in a global economy. Cambridge, MA: Harvard University Press.
102. Wagner, J. 2002. The causal effect of exports on firm size and labour productivity: First evidence from a matching approach. Economics Letters 77: 287-92.
103. Wilson, J.S., and T. Otsuki. 2001. Global trade and food safety: Winner and losers in a fragmented system. Policy Research Working Paper No. 2689, The World Bank Development Research Group. Washington, DC: The World Bank.
104. Wilson, J.S., and T. Otsuki. 2002. To spray or not to spray: Pesticides, banana exports, and food safety. Policy Research Working Paper 2805. Washington, DC: The World Bank.
105. Wilson, J.S., and T. Otsuki. 2003. Standards and technical regulations and firm's ability to export: New evidence from World Bank technical barriers to trade survey. Washington, DC: The World Bank.
106. Wilson, J.S., and V.O. Abiola. 2003. Trade facilitation and standards in sub-Saharan Africa: An overview. In Standards and Global Trade: A Voice for Africa. xxv-liv. Washington, DC: The World Bank.
107. Wilson, J.S., T. Otsuki, and M. Sewadeh. 2002. Dirty exports and environmental regulation. Do standards matter to trade? Development Research Working Group. Washington, DC: The World Bank.
108. Wilson, J.S., T. Otsuki, and B. Majumdar. 2003. Balancing food safety and risk: Do drug residue limits affect international trade in beef? Journal of International Trade and Economic Development 12, no. 4: 377-402.
109. World Bank. 2001. Standards, developing countries, and the global trade system. In Global economic prospects and the developing countries 2001, ed. W. Shaw. Washington, DC: The World Bank.
110. World Bank. 2005. Challenges and opportunities associated with international agrofood standards. Washington, DC: The World Bank.
111. World Bank. 2006. Pakistan growth and export competitiveness. Poverty Reduction and Economic Management Sector Unit, South Asia Region, ed. W. Shaw. Washington, DC: The World Bank.
112. Yahya, S., and W.K. Goh. 2001. The implementation of an ISO 9000 quality system. International Journal of Quality and Reliability Management 18, no. 9: 941-66.
113. Yang, C., J.R. Chen, and W.B. Chuang. 2004. Technology and export decision. Small Business Economics 22: 349-64.
114. Zaibet, L. 2000. Compliance with HACCP and competitiveness of Oman fish processing. International Food and Agribusiness Management Review 2: 311-21.
115. Zaibet, L., and M. Bredahl. 1997. Gains from ISO certification in the UK meat sector. Agribusiness 13, no. 4: 375-84.
116. Zou, S., and S. Stan. 1998. The determinants of export performance: A review of the empirical literature between 1987 and 1997. International Marketing Review 15, no. 5: 333-56.