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The Export Decision Process: An Empirical Inquiry

Abstract

This study profiles export decision-makers in both exporting and nonexporting firms, in terms of their perceptions of the risks and cost/benefit trade-offs associated with exporting, and their reactions to various types of stimuli to export. It concludes an export stimulus (e.g., an unsolicited order from a foreign customer) is a significant but not sufficient condition for a positive export decision, and that important variations between exporters and nonexporters in cost, profit, and risk perceptions may well account for different responses to similar stimuli by these two groups. Present public policies to promote exports are critiqued in light of the findings.

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*Claude L. Simpson, Jr. (Ph.D., Georgia State University) is Associate Professor of Marketing, Southeastern Louisiana University, and Duane Kujawa (Ph.D., University of Michigan) is Associate Professor of Economics, and Member of the Institute of International Business, Georgia State University. This article uses data gathered by Professor Simpson in his dissertation research. His dissertation, “The Export Decision: An Interview Study of the Decision Process in Tennessee Manufacturing Firms,” tied for first place in the 1973 AIB dissertation competition.

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Simpson, C., Kujawa, D. The Export Decision Process: An Empirical Inquiry. J Int Bus Stud 5, 107–117 (1974). https://doi.org/10.1057/palgrave.jibs.8490815

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  • DOI: https://doi.org/10.1057/palgrave.jibs.8490815