THE INFLUENCE OF THE INTERNET ON EXPORT PERFORMANCE SUB-SAHARA AFRICA | Journal of Economics and ..

This article examines the influence of the internet on export performance in 41 nations using panel-country export data (Sub-Sahara Africa countries). The econometrics result from both the Random effect Ordinary Least Square regression (OLS) model and the Pooled estimate concluded that the internet is an effective instrument to boost export performance since it is measured on two basic aspects: email and website. Further diagnostic testing for endogeneity using the GMM Generalize Method of Moment indicates that all factors utilised have a substantial influence on export performance, providing extra validation of the data and confirming that endogeneity is not a concern. The empirical research allows us to analyse the impact of self-selection on the reasons for some enterprises' poor export performance. Their geographic locations imposed a larger expense on the flow of poor Internet penetration. As a result, the study finds that companies with higher internet penetration are 23 percent more likely to utilise email to promote their export performance than those without. With geographical location, which is seen as a natural phenomenon, being viewed as the main problem leading to inefficient internet penetration and higher costs, it is suggested that government policies are the best way to mitigate this problem, that is, formulating solid policies for those oligopolistic behaviour of some large submarine cable operators that drives up connectivity prices, and that government should also enforce quality investment into internet infrastructure.

Please see the link :- https://www.ikprress.org/index.php/JET/article/view/121