Figure - uploaded by Erdal Demiralay
Content may be subject to copyright.
Source publication
In recent years, the volume of international trade has increased enormously due to the effects of globalization and liberalization of trade. However, political and economic changes, changes in consumer demand, market structures, product and market life cycles, domestic and foreign competition and the degree of effects caused by these changes became...
Context in source publication
Context 1
... insurance to manage their risks. Nearly half of the exporters only use this managing tools continuously (Table 5). Independent t-test and one-way ANOVA test was applied to test the differences between descriptive variables which is stated in Table 1 for perceived risks of exporters to the payment and financial terms. ...Similar publications
This study sought to examine the effect of network structure and nature of IPCs on bilateral trade, with a specific focus on the automobile industry using the panel data methodology. Using the data, a deeper understanding of the determinants behind the development of East Asia's IPCs in several ways. Firstly, apart from the economic size of the exp...
Standard trade theory suggests that the profile of exporting firms is characterized by large firms which dominate domestic productivity distribution. Large manufacturing multinationals have increased their productivity by participating, creating and shaping global production networks. In recent decades, trade flows have become increasingly dominate...
In this paper, we explore the Economic Fitness (EF) indicator from the World Bank Database that measures the nations level of international competitiveness. At the same time, using input–output tables, we present our estimations of this new metric, replacing the revealed comparative advantages (RCA) from exports in gross value with an estimate of R...
This paper tries to identify the major determinants of India's exports in the post-reform period. It is based on secondary data for 25 years from 1990-91 to 2014-15, and the data is used from the RBI Handbook of Statistics and the World Bank datasets. To identify the determinants of export supply and demand, two different regression analyses were e...
The influence of multinational enterprises on digital trade is growing significantly, resulting in profound transformations within global production networks. In this paper, we establish a comprehensive global digital trade network using the OECD-AMNE database and conduct empirical analysis to examine the impact of digital regulations and network s...
Citations
... One of the primary concerns for exporters or businesses looking to export but encountering obstacles revolves around how they will receive payment (Candemir et. al., 2011). Participants are generally familiar with payment methods established by the global economic system and implemented by the International Chamber of Commerce (ICC). However, uncertainties arise for entrepreneurs when it comes to practical implementation (Abor, 2005). The most preferred and safest payment option for exporters is the cash ...
The payment methods used in international trade are of significant importance for the financial flow of the involved parties. When it comes to transferring goods and funds across borders to their new owners, the risks faced by the parties may seem daunting. The use of a letter of credit payment method by banks serves a protective role, enabling the parties to engage in trade more securely. While the expenses linked to this approach are sometimes viewed as challenging for the involved parties, it is considered a significant enabler, particularly in new trade alliances. In fact, exporters' choices are classified in countries' trade statistics based on payment methods. This study aims to uncover the determinants of exports from Türkiye between January 2013 and September 2023, utilizing both cash in advance and letter of credit payment methods. To accomplish this objective, exchange rates and specific inflation indicators, and their causal relationship with export transactions based on payment types was examined using the Toda-Yamamoto causality test. The research findings indicate that exchange rates, inflation, and cash payment variables cause letter of credit payments. Conversely, only the foreign producer price index was identified as a cause for cash-based exports. These findings illustrate that economic indicators, which may pose risks for Turkish exporters, are reasons for important decisions. In light of these findings, recommendations have been made for exporters and policymakers to proceed cautiously in the face of different economic scenarios.
International trade involves the movement or exchange of commodities—goods and services—across borders giving opportunities to consumers to gain access to goods and services that are either not available in their respective economies or more expensive to access. International trade activities have grown over the years and this development may be attributed to the globalization of the world’s economy as well as trade finance schemes to finance such trade. The chapter provides an overview of the trade finance dynamic in Africa, and the various payment methods in international trade, which include open accounts, prepayment, documentary collections, letters of credit, drafts, and counter-trade. The chapter also discusses trade finance instruments, including the line of credit, pre- and post-export financing, accounts receivable financing, as well as forfaiting and factoring. The chapter examines the agencies that facilitate international trade in Africa, which include the World Trade Organization (WTO), the Africa Continental Free Trade Area (AfCFTA), the African Export-Import Bank (Afreximbank), and the ECOWAS Bank for Investment and Development (EBID) among others. The chapter offers interesting insights on the financing schemes used in driving Africa’s export trade.
