How does the Renewal of Trading Partners Affect the Economic Activity of Enterprises?

Author:

Batyaeva A.1

Affiliation:

1. Primakov National Research Institute of World Economy and International Relations (IMEMO), Russian Academy of Science, 23, Profsoyuznaya Str., Moscow, 117997, Russian Federation

Abstract

The article dwells upon the following aspects of the enterprises behavior in relation to their trading partners: what are the main characteristics of the trading partners’ renewal process? What is the share of enterprises actively changing their counterparts? Did the process of changing partners fade or gain momentum in the period from 1992 to 2020? Are there differences in the indicators of economic activity (prices, capacity and labor utilization rates, orders, stocks, investments, financial situation) between those who actively changed partners and those whose trading partners’ composition was more or less stable? What happens in times of crisis: do enterprises tend to preserve their business relationships or, conversely, do they have to revise them more actively? The unique REB surveys’ data make it possible to get answers to these and other questions.

Publisher

Primakov Institute of World Economy and International Relations

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