The Internet and Chinese Exports in the Pre-Alibaba Era

This paper uses the dramatic expansion of access to the Internet in China to analyze the impact of the Internet on firm performance. The paper combines firm-level production data with province-level information on Internet penetration to examine ho...

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Main Authors: Fernandes, Ana M., Mattoo, Aaditya, Nguyen, Huy, Schiffbauer, Marc
Format: Working Paper
Language:English
Published: World Bank, Washington, DC 2017
Subjects:
Online Access:http://documents.worldbank.org/curated/en/303041511892965517/The-internet-and-Chinese-exports-in-the-pre-Alibaba-era
http://hdl.handle.net/10986/28923
id okr-10986-28923
recordtype oai_dc
spelling okr-10986-289232021-06-08T14:42:47Z The Internet and Chinese Exports in the Pre-Alibaba Era Fernandes, Ana M. Mattoo, Aaditya Nguyen, Huy Schiffbauer, Marc INTERNET ICT INFORMATION AND COMMUNICATION TECHNOLOGIES EXPORT COMPETITIVENESS FIRM-LEVEL DATA This paper uses the dramatic expansion of access to the Internet in China to analyze the impact of the Internet on firm performance. The paper combines firm-level production data with province-level information on Internet penetration to examine how the rollout of the Internet across Chinese provinces between 1999 and 2007 influenced firms' export behavior. The econometric strategy enables identifying the impact of the Internet on firm performance in China. The paper shows that the rollout of the Internet boosted manufacturing exports of firms in China, even before the rise of major e-commerce platforms in the country such as Alibaba. The paper takes a closer look at why, focusing on three questions: what aspects of firm performance were affected, what types of firm communication were facilitated, and what dimensions of the new communication medium were relevant? The paper finds that the Internet not only enhanced trade, but also improved overall firm performance. The results are consistent with improvements in communication with buyers and input suppliers. The benefits arose not just from better communication, but from establishing a visible virtual presence, and were enhanced by, but not contingent on, access to broadband. 2017-12-01T18:13:05Z 2017-12-01T18:13:05Z 2017-11 Working Paper http://documents.worldbank.org/curated/en/303041511892965517/The-internet-and-Chinese-exports-in-the-pre-Alibaba-era http://hdl.handle.net/10986/28923 English Policy Research Working Paper;No. 8262 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper East Asia and Pacific China
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic INTERNET
ICT
INFORMATION AND COMMUNICATION TECHNOLOGIES
EXPORT COMPETITIVENESS
FIRM-LEVEL DATA
spellingShingle INTERNET
ICT
INFORMATION AND COMMUNICATION TECHNOLOGIES
EXPORT COMPETITIVENESS
FIRM-LEVEL DATA
Fernandes, Ana M.
Mattoo, Aaditya
Nguyen, Huy
Schiffbauer, Marc
The Internet and Chinese Exports in the Pre-Alibaba Era
geographic_facet East Asia and Pacific
China
relation Policy Research Working Paper;No. 8262
description This paper uses the dramatic expansion of access to the Internet in China to analyze the impact of the Internet on firm performance. The paper combines firm-level production data with province-level information on Internet penetration to examine how the rollout of the Internet across Chinese provinces between 1999 and 2007 influenced firms' export behavior. The econometric strategy enables identifying the impact of the Internet on firm performance in China. The paper shows that the rollout of the Internet boosted manufacturing exports of firms in China, even before the rise of major e-commerce platforms in the country such as Alibaba. The paper takes a closer look at why, focusing on three questions: what aspects of firm performance were affected, what types of firm communication were facilitated, and what dimensions of the new communication medium were relevant? The paper finds that the Internet not only enhanced trade, but also improved overall firm performance. The results are consistent with improvements in communication with buyers and input suppliers. The benefits arose not just from better communication, but from establishing a visible virtual presence, and were enhanced by, but not contingent on, access to broadband.
format Working Paper
author Fernandes, Ana M.
Mattoo, Aaditya
Nguyen, Huy
Schiffbauer, Marc
author_facet Fernandes, Ana M.
Mattoo, Aaditya
Nguyen, Huy
Schiffbauer, Marc
author_sort Fernandes, Ana M.
title The Internet and Chinese Exports in the Pre-Alibaba Era
title_short The Internet and Chinese Exports in the Pre-Alibaba Era
title_full The Internet and Chinese Exports in the Pre-Alibaba Era
title_fullStr The Internet and Chinese Exports in the Pre-Alibaba Era
title_full_unstemmed The Internet and Chinese Exports in the Pre-Alibaba Era
title_sort internet and chinese exports in the pre-alibaba era
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/303041511892965517/The-internet-and-Chinese-exports-in-the-pre-Alibaba-era
http://hdl.handle.net/10986/28923
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