The influence of macro environmental factors on export performance: The case of garment sector in Addis Ababa
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Date
2018-06-06
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Addis Ababa University
Abstract
Macro environment and Export performance are regarded as factors that have a great potential to facilitate growth. The purpose of this study was to study about the influence of macro environment on Export performance in garment sector in Addis Ababa .Specifically, the study was guided by the following objectives; to examine the effect of political, economic, technological, social and natural factors on export performance. The study adopted explanatory research design using both quantitative and qualitative approach. The target population for the study consists of only companies engaged in export and producing garment and located in Addis The target population of the study is 32 participants in number, the general population is very few: Therefore, in order to get adequate information and for creditability, truth worthiness, generality and representativeness of the finding the whole target population is participant and the researcher addressed 3 respondents from one company. To collect the primary data, the researcher used mainly questionnaire. Semi-Structured questionnaire was used to collect data from companies to collect primary data. The questionnaire was developed mainly based on macro environmental factors and export performance. The data collection instrument used for the research was questionnaire. In the questionnaire a five-point Likert scale were used. Normality test was done for dependent variable in order to aid subsequent analysis. Factor analysis was also done to reduce the data to meaningful size. The data obtained was analyzed using both qualitative and quantitative analysis. Correlation analysis was used to test the direction of relationship between the independent variables and dependent variable. Multiple linear regressions were used to test political, economic, technological, social and natural factors have any influence on export performance. The findings of the study suggested that macro environmental factors were a significant area a firm should give attention in order to achieve targeted export objectives. The study will contribute to the body of knowledge in that organizations will gain practical insights into the determinants of export performance thereby enriching their knowledge how to improve export performance.
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Macro Environment, Export Performance