The Impact Of Export Agglomeration By Destination On Export Resilience Of Chinese Enterprises

The current wave of reverse globalization sweeping the world,especially since the outbreak of the new crown epidemic,China’s economic development is facing the challenges of the world’s economic development has been hit hard,economic growth continues to decline,the global financial markets are volatile and volatile,trade protectionism,unilateralism continues to rise,regional hotspot issues are emerging,and external imported risks are rising sharply.Against this backdrop,it has become particularly important for Chinese enterprises to further enhance their export resilience as an important element of strong economic resilience.At the same time,a new agglomeration phenomenon has been increasingly evidenced by research,where firms with the same export destination tend to be concentrated in their home geography,known as ’Export Agglomeration by Destination’.This paper examines whether ’Agglomeration by Destination’ affects the export resilience of Chinese firms through theoretical analysis and empirical testing,and further examines the underlying mechanisms by which this effect occurs.This paper first uses the existing heterogeneous firm trade model as a framework,and integrates research ideas related to geographical agglomeration and export learning effects to expand it into a simple theoretical model that reveals the underlying mechanism by which the agglomeration promotes firm export resilience.Next,this paper empirically tests the findings of the theoretical analysis based on export trade data at the micro-firm level,and tests the baseline regressions from different perspectives such as indicator replacement and separation of industry clusters.The paper then introduces economic policy uncertainty and institutional distance as moderating variables to test for moderating effects,and groups the empirical sample into different perspectives to test for heterogeneity.Finally,the paper further discusses the impact of different types of destination local agglomeration,and diversification of agglomeration on firms’ export resilience.The main findings of the study show that(1)Agglomeration by Destination can contribute to the export resilience of Chinese firms,and this finding still holds through various tests.(2)According to the results of heterogeneity test,the influence of destination local agglomeration on the export resilience of enterprises varies with different enterprise ownership,economic regions to which enterprises belong and destination countries.(3)Agglomeration by Destination helps to overcome export barriers arising from economic policy uncertainty in overseas markets and provides a stronger boost to firms’ export resilience.(4)Agglomeration by Destination can play a role in increasing the export resilience of firms by reducing costs,lowering risks and capturing the effects of specific export destination signals.(5)Diversified agglomeration with multiple destinations does not serve to promote greater export resilience among firms than does specialised destination-based agglomeration.(6)When the crisis has just come destination local agglomeration can hardly work immediately through information spillover,but after a period of time,destination local agglomeration can well help exporters recover from the crisis and promote the export resilience of enterprises.(7)The local agglomeration of destinations will contribute to the overall export resilience of the region where the cluster is located,not only helping specific firms in the region to withstand external market risks,but also contributing to the overall export resilience of the city.