tiểu luận research methodology research proposal the factors influence vietnams handicrafts export to usa

UNIVERSITY OF ECONOMICS FACULTY OF INTERNATIONAL BUSINESS RESEARCH METHODOLOGY RESEARCH PROPOSAL: THE FACTORS INFLUENCE VIETNAM’S HANDICRAFTS EXPORT TO USAStudent: Ho Pham Hong Hanh Clas

UNIVERSITY OF ECONOMICS FACULTY OF INTERNATIONAL BUSINESS

RESEARCH METHODOLOGY

RESEARCH PROPOSAL: THE FACTORS INFLUENCE

VIETNAM’S HANDICRAFTS EXPORT TO USA

Student: Ho Pham Hong Hanh Class: 45K01.2

Instructor: Bui Huynh Nguyen, PhD

Danang, December, 2021

2.1 Theories for the research 4

2.2 Summary of research works in this area 5

1.2 Data analysis and outcomes 7

2 Analysis and evaluation of factors 8

2

2.3 Equipment 13 REFERENCES 14

LIST OF TABLES

Table 1- Data Collection 9 Table 2- A plan for my research 12

3

I TITLE

“THE FACTORS INFLUENCE VIETNAM’S HANDICRAFTS EXPORT TO USA”

II BACKGROUND

1 Regarding Rationale of the Study

Viet Nam is known as a traditional country with special cultural Especially, in Viet Nam, handicrafts play an important role in culture, they were created and developed for thousands of years

(Szydlowski, 2008) Although not a major commodity in life, the demand for decorative goods with handicraft products of Vietnamese craft villages is gradually "revealing" with

, appearing in many countries around the world According to statistics of Vietnam Association of Craft Villages, for every

More than a million people live in families who make a living from this sector On the other hand, by producing and exporting handicraft goods, many countries around the world can gain a deeper understanding of Vietnam's people and culture It aids the country's rapid integration with the cultures of other countries around the world As a result,

Since it is made from locally available materials such as

Too long to read on your phone?

Save to read later on yourcomputer

Save to a Studylist

4 in the region (Jade, 2021)

However,

According to Trade map 2019 figures, Vietnam currently has just around

However, product activities in these craft villages are mainly on small and medium scale, households Because of the small scale, the quality of the products is difficult to be uniform, and it is not possible to meet the export of large orders to difficult markets around the world Among enterprises in a craft village, the products are quite similar, there is no difference, and the designs are also monotonous Recently, because of globalization in some countries such as Thailand, , The Philippines and Indonesia, the handicraft export is increasing day by day This also results in big challenges for a

The report results contribute scientific arguments for assessing the influence of these factors, as well as bring practical value to Vietnamese enterprises and the state in the development of strategies to promote handicrafts export to the USA

2 Literature Review 2.1 Theories for the research

Exports are goods and services that are produced in one country and sold to buyers in another (Segal, 2021)

Exports offered a way to break the foreign exchange bottleneck by making possible the increased use of existing capacity, the application of large-scale production methods, and resource allocation according to comparative advantage The desire to accelerate economic growth thus explains the adoption of export promotion policies

5

for the depreciation rf the currency diminished, thereby reducing the protective effects of existing tariffs Increases in foreign exchange earnings eventually permitted also reductions in tariffs and liberalization of import quotas (Balassa, 1978) Export response to Vietnam’s liberalization (Doi Moi) reforms initiated in 1986 was swift and remarkable (Athukorala, 2009)

2.2 Summary of research works in this area

Many papers have been conducted to find out more information relevant handicraft export around the word Such as,

In his paper he evaluated the factors affecting rattan export of Indonesia with the Gravity model and ratio of potential trade to know which countries can be expanded for export Especially,

analyzed the situation of Vietnam’s export of handicrafts to propose solutions Nguyen

6

Second, studies using gravity models show a close More specifically, the growing

n them Besides, the increase in f

Geographic distance and ethnic culture are two factors that have an impact on international trade If distance has a negative effect, cultural similarity has a positive effect on trade growth With the variables used, this also creates a scholarly gap for future studies to add new variables to find out more factors affecting Vietnam's export output in many fields (Binh, Duong, & Cuong, 2014)

Third, in the context of g

Vietnam is a new and nascent market, but recently has begun to make great strides in bilateral and multilateral relationships with many countries around the world , the forum also creates many conditions for Vietnamese businesses to reach out beyond national boundaries and bring Vietnamese products to major markets However, when expanding their business activities internationally, businesses must follow international business customs and practices, conditions for Vietnamese goods

Therefore, the above three research gaps have raised many problems to be solved And that is also the foundation for future research papers to improve and create many practical lessons in the future

III RESEARCH QUESTION AND OBJECTIVE 1 Research question

comparative advantages of the country and contribute to the growth of export handicrafts of Vietnam?

7 •

• Look for factors:

• Analysis and evaluation of factors:

From here, the actual situation of Vietnam can be analysed for the influence of this factor

the current export output of Vietnam

1 Look for factors 1.1 Data collection

Data is collected by using – , which is document analysis As for the literature analysis, it is easy because there are many research papers on the factors affecting the export of goods of Vietnam and many other countries In addition to the proven studies, I also consulted the economic literature to find additional factors to overcome the research gaps I mentioned above

1.2 Data analysis and outcomes

According to Economic Times,

The structure should be in place to be able to absorb and adapt to the shifting factors affecting the country’s balance of

8

In another research, the result indicate that the bilateral trade flows are driven

factors are determined by the influence of the economic size of exporting and importing countries, or the geographical distance; meanwhile, tariff or exchange rate are some key parts of “explicit beyond-the-border” constraints (Kalirajan & Paudel, 2015)

So, in my research, I will use indicate represent market size, economic size of Viet Nam and USA Besides, I use trade agreement between Viet Nam and USA which is dummy variable in my research

• GDP: is expected to have a positive impact on trade flow • Population: is expected to have a positive impact on trade flow • Inflation: is expected to have a negative impact on trade flow • Exchange Rate: is expected to have a positive impact on trade flow • Distance: is expected to have a negative impact on trade flow • Trade: is expected to have a positive impact on trade flow

2 Analysis and evaluation of factors 2.1 Data collection

I collect data from free and reliable sources They are mentioned in the following table:

Vietnam to USA from 2014 to 2019

UN Comtrade

9 domestic product from 2014 to 2019 USA’s gross domestic product from 2014 to 2019

POPULATION Population of USA from 2014 to 2019

World Bank

INFLATION Vietnam’s inflation from 2014 to 2019 USA’s inflation from 2014 to 2019

World Bank

EXCHANGE RATE The exchange rate (USD/VND)

Vietnam State bank

Hanoi capital and the capital of USA

Free map tool

Trade: • APEC

The trade agreement dummy variable (1 if the country enters into a trade agreement from the effective date)

Table 1- Data Collection

2.2 Data analysis and outcomes

This research is conducted by using the

Specifically, will be applied in this research base on then analyse to evaluate the Vietnam’s handicrafts export to USA during the period 5

10

factors influencing the international trade flow as well as the trade of specific commodity After have data, using descriptive statistics to provide general view of the factors regression model to measure the effect of each determinant on handicrafts export from Vietnam to USA Collected data will be encoded and analyzed by using the software R studio The analysis uses statistical techniques to summarize the data and examine the relationships between variables in the study

3 Propose solutions

After having the results of the data analysis, I will proceed to summarize the results and conclude whether the factor has an effect and whether the influence is negative or positive From there, it is possible to propose some solutions suitable to the actual situation of handicrafts in Vietnam

V TIME SCALE AND RESOURCES 1 Time scale

This plan is developed until the report is completed It is possible that the time may deviate from the actual schedule

11

Week number 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19

Talk to tutor and adjust

Find research

aim/question/objective Draft critical literature

12 Update more

13

2.1 Finance

The research use data from official site such as UN Comtrade, World Bank… All this site provides data free so my research will no spend money on this problem I am new to R Studio software so it will be difficult and time consuming for me to learn how to use it myself Therefore, I will hire 1 expert to assist me in data analysis using R studio

So, expected cost: 1.000.000 VNĐ

2.2 Data access

In my research, I collect information from the existing research in this area and data from the official site such as UN Comtrade, World Bank So, it easy for me to collect data because these all sites provide users rights to access and collect data Besides, the

data I want to use is so popular so I think I can collect it from other sources easily 2.3 Equipment

I am in the early stages of getting acquainted with R studio - the software I want to use to analyse the data in my research paper, but to be sure of the time and results I will hire an expert in R Studio and he will help me run the software.

14

REFERENCES

Achmad (2016) "The analysis of affecting factors to the export of rattan furniture

Indonesia in the international market" International Journal of Science and

activities of Vietnam" Tạp chí Kinh tế Đối ngoại

Cao, T (2018) "Export of handicrafts: situation and prospects for Vietnam" Journal of

Foreign Economic Relations, 100

Dahake, S (n.d.) The Economic Times Retrieved July 11, 2019, from https://economictimes.indiatimes.com/small-biz/trade/exports/pre-exports/introduction- -export-economy-a-guide- -securing-your-goods-to tovalue/articleshow/70169022.cms?from=mdr

Do, T T (2006) "A gravity model for trade between Viet Nam and 23 EU countries".

Department of economics and society Jade (2021, 7 5) KINGCRAFTVIET. Retrieved from

http://kingcraftviet.com/index.php/new-detail/the-importance- -handicrafts- -of invietnam

Kalirajan, K., & Paudel, R (2015) “India’s trade deficit with China: will free trade agreement (FTA) work for India" Global Economy Journal, 485-505.

Nguyen (2010) "Develop craft villages and handicraft villages to promote export of

handicrafts in the context of international economic integration" Foreign Trade

Szydlowski (2008) "Expansion of the Vietnamese handicraft industry: from local to

global" Ohio University

15

with the gravity model" Nanjing, China: School of Economics and Management