Study On The Export Choice Of Chinese Firms

With the rapid development of world economy, world trade has beenfurther developed, and the international trade theory has also developed withthe trade development. With the internationalization progresses, we graduallyfind that the differences between enterprises have a direct impact on tradebetween countries, and the market behavior of large multinational companiesis of growing enterprise heterogeneity. At the late20th century, the scholarsrepresented by Melitz proposed "Heterogeneous enterprise trade theory", andit breaks through the traditional trade theory research, which takes the industryas the main study object, it is known as "New New Trade Theory." in theinternational trade theories.Traditional trade theory generally believes that the comparative advantageof productivity or factor endowments between countries has led to internationaltrade. However, more and more scholars have found that not all companieswithin the same industry are engaged in export, the export companies onlyaccount a small part, which contradicts with traditional trade theory and newtrade theory assumptions. What factors affect the decision of Chinesecompanies export? What factors affect the size of Chinese export enterprises?The paper takes this as a breakthrough point to study the influential factorswhich affect the export choice of Chinese companies.Firstly, this paper analyzes export situation of China, combines with theSFC Manufacturing Industry Classification Standard, and chooses the largerexports of textile, electronics, metals, machinery manufacturing industry as thestudy object; Secondly, by drawing on the Melitz‘s heterogeneous enterprisetrade theory, combining the related research result and the actual situation ofChinese enterprises to build a set of indicators system; Finally, we will use theeconometric model of logistic and fixed random effects to do empirical study onthe four industries.The empirical result shows that: the variable significance which affect theexport decision-making of companies is labor productivity, the number ofemployees, the location and the foreign market knowledge, all of which play apositive effect; the variable significance which affect the export size ofcompanies is labor productivity, the number of employees and total assets.Labor productivity and the number of employees has a significant positiveeffect, and the total assets present the impact of U-effect.