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Economic Structure, Globalisation, Governance, and Digitalisation: Global Evidence from Digital-Intensive ICT Trade

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Digitalization and Firm Performance

Abstract

In this chapter, the authors examine the effects of economic structure, globalisation, and governance indicators on the export performance associated with digital-intensive information and communications technology (ICT) goods. A panel data analysis is performed over the 2000–2018 period for 54 countries grouped into two sub-panels of higher digitally-competitive countries (HDCCs) and lower digitally-competitive countries (LDCCs). The results show that industrialisation encourages ICT exports of LDCCs, while globalisation reduces ICT exports for HDCCs. Higher economic complexity encourages HDCCs’ ICT exports. Better governance discourages ICT exports of HDCCs, while it stimulates LDCCs’ ICT exports. ICT imports and ICT exports are associated positively for both sub-panels. Bidirectional causalities are established between ICT exports and the examined predictors. From a global perspective, the chapter provides some insights on digitalisation within the ICT trade approach.

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Notes

  1. 1.

    In this chapter, the definition of ICT products covers both ICT goods and ICT services, while the description of ICT goods excludes ICT services unless otherwise specified.

  2. 2.

    In this chapter, the designations of countries by development stage, income level, advancement, and digital competitiveness are intended for only statistical convenience. There is no intention to express any judgement about the stages and ranks of countries.

  3. 3.

    Relatively higher digitally-competitive countries (HDCCs), in descending order of rank, are Singapore, USA, Sweden, Denmark, Netherlands, Finland, Switzerland, Canada, Norway, UK, Israel, Australia, Republic of Korea, New Zealand, Germany, Austria, Ireland, Belgium, Japan, France, Malaysia, Estonia, Lithuania, China, Spain, Portugal, and Czechia. Relatively lower digitally-competitive countries (LDCCs) include Slovenia, Latvia, Poland, Saudi Arabia, Kazakhstan, Italy, Chile, Thailand, Russia, Hungary, Bulgaria, Slovakia, Croatia, South Africa, Romania, India, Jordan, Mexico, Greece, Philippines, Turkey, Brazil, Argentina, Colombia, Indonesia, Ukraine, and Peru.

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Correspondence to Mehmet Demiral .

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Demiral, M., Demiral, Ö. (2022). Economic Structure, Globalisation, Governance, and Digitalisation: Global Evidence from Digital-Intensive ICT Trade. In: Ratajczak-Mrozek, M., Marszałek, P. (eds) Digitalization and Firm Performance. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-83360-2_5

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