FACTORS AFFECTING EXPORT PERFORMANCE: THE CASE OF OIL SEEDS EXPORT IN ETHIOPIA

Abstract

Globalization forces companies to internationalize their operation in the global market. Exporting plays a vital role in economic development of a nation as well as for the development of the particular exporting company. Although, the benefits derived from exporting in an increasingly globalized marketplace are enormous, but for many companies, exporting is constrained by numerous challenges. The purpose of the study was to assess the factors affecting export performance of oil seeds export in Ethiopia. The study found out that both internal and external factors are important challenges for the oilseed exporter. The major challenges, which were classified as internal factors and external factors, the researcher concluded that, among the explanatory variables included in the model company, production, market and macro-economic factor except industrial factor were the most significant challenges to affect the oilseed export performance. In additions, among the variables (company, production, market and macro-economic and industry factors) company, production and industry factors has negative and significant relation with oilseed export performance. Therefore, to minimize these problems in addition to the existing policies and regulation, the government need to address additional and revised policies and regulations by considering the dynamic global market conditions, as much as possible infrastructural expansion, the government to explore new markets, provide technical supports