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The Impact Of Export Product's Quality On Markups

Posted on:2020-06-21Degree:MasterType:Thesis
Country:ChinaCandidate:J H PengFull Text:PDF
GTID:2439330620951449Subject:Applied Economics
Abstract/Summary:PDF Full Text Request
With the highly detailed division of global production and the development of global trade,the quality of export products has become a key factor affecting the enterprises' markups.However,China's export enterprises are at the end of the International Division of Labor,and their mark-up is squeezed and locked at the end of the GVC.In China,there has "low mark-up trap".This paper focuses on finding out ways to improve export enterprises' mark-up,explore the influence mechanism of export product quality on the mark-up,and seek reasonable countermeasures for export enterprises.As for the influencing mechanism,the research shows that the quality of export products has a double threshold effect on the markups.In one case,the product quality is so low that the enterprise can't make use of increasing the product quality to improving mark-up.Because the production cost is too high.When the quality of export products is in the middle,the "price increase effect" and "monopoly effect" caused by the product quality improvement of export enterprises can exceed the subsequent cost increase and "competition enhancement effect",so as to increase the mark-up.When enterprises excessively pursue product quality,the marginal decrease of "price increase effect" brought by product quality improvement will result in the effect lower than the "price reduction effect" brought by increased market competition.At this point,the excess quality premium exceeds the consumer's tolerance range,so the enterprise's mark-up is difficult to rely on product quality to improve.Export enterprises can measure the quality of themselves' export products,ensure the quality of their products,and choose appropriate competition strategies to improve the enterprise's markups and enhance the competitiveness of enterprise.In the middle section of quality,they should adopt the strategy of transformation and upgrading and embark on the road of quality and benefit development.We should lead the quality upgrading by restricting the quality by standards,seize the right to speak in the market by quality,so as to achieve high-quality development of enterprises.When the quality of export enterprises reaches a high level,it is more necessary to promote brand upgrading,build famous brand,push on the leading high innovation and reach the high value-added links in the industrial chain,and pay more attention to enhance the added value of products and brand value.Enterprises that are at the different stages need to adopt different strategies in order to jointly promote the stability and prosperity of China's export market and achieve high-quality economic growth.
Keywords/Search Tags:Export Product's Quality, Markups, Threshold Model
PDF Full Text Request
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