Does Product Quality Upgrading Improve Markups of Chinese Export Enterprises—Micro Evidence Based on Quality Awards,Well-known Trademarks and Quality Certifications
Based on external quality reputations such as quality awards,well-known trademarks,and quality certifications,this paper constructs an enterprise-level index system for export quality upgrading.Utilizing the data of Chinese micro-export enterprises from 1998 to 2013,this paper analyzes the effect of product quality upgrading on markups.The results show that product quality upgrading significantly enhances the markups of Chinese export enterprises.Among them,low-level product quality upgrading has a greater positive effect on markups.Product quality upgrading has greater positive effects on the markups of state-owned enterprises,low-export-intensity enterprises,and technology-intensive enterprises,but the effects on medium-export-intensity and high-export-intensity enterprises are not significant.The mechanism tests show that the"export price increase effect"generated by product quality upgrading is stronger than the"marginal cost increase effect",so that product quality upgrading has a positive effect on markups.In response to the findings,the paper puts forward management and policy recommendations at the enterprise and government level.