Market Shock and Export Competence: A Comparison of Korean Companies Before and After the COVID-19 Pandemic

Q: What is export capability as defined in this paper?

Export capability refers to a firm's ability to collect global market information, analyze opportunities, and develop and execute tailored strategies for export success. This encompasses the overall ability of a firm to perform export activities, rather than merely financial outcomes such as current export volume or the number of trading countries.

Q: What are the key factors affecting a firm's export capability during market shock situations such as the COVID-19 pandemic?

The research findings indicate that in market shock situations like the COVID-19 pandemic, a firm's business tenure, namely its period of operation, emerged as a key factor positively influencing export capability. This suggests that internal capabilities, such as organizational processes, information, knowledge, and resources accumulated through long-term business operations, play a critical role in crisis management and securing a sustainable competitive advantage.

Kil Yong Seong; Su Wan Kim; Yawei Li; Chun Su Lee

doi:10.69473/iasr.2025.28.2.167

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Type: Academic journal

Author: Kil Yong Seong (Pukyoung National University) Su Wan Kim (Hankuk University of Foreign Studies) Yawei Li (Sichuan University of Science & Engineering) Chun Su Lee (Pukyoung National University)

Journal: Center for International Area Studies International Area Studies Review Vol.28 No.2

Published: 2025.6

Pages: 167 - 183 (17page)

DOI: 10.69473/iasr.2025.28.2.167

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The purpose of this study is to analyze export competitiveness according to market shocks. For the empirical analysis of this study, we examined the factors affecting the export competitiveness of Korean companies during the COVID-19 pandemic, which can be considered a market shock. To this end, we compared and analyzed the differences in factors between two contrasting market conditions, that is, a typical trade environment and an abnormal market condition such as the COVID-19 pandemic. The factors affecting export competitiveness consisted of human capital, export market orientation, and partnership management. The analysis results showed that normal market conditions, sales, human capital, export market orientation, and partnership management had a significant impact on export competitiveness. However, under market shock conditions such as the COVID-19 pandemic, company age, export market orientation, and partnership management were important factors. This study is meaningful in that it empirically compared and analyzed the factors affecting export competitiveness under the market shock situation of the COVID-19 pandemic and normal conditions for Korean companies.

#Export competence #Human capital #Export market orientation #Partnership management #COVID-19 pandemic #Market shock

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