Effect of export promotion programmes on value of exports in

Gem and Jewellery Industry

Dollar 01

Introduction

• Immemorial Sri Lanka has had a sparkling reputation for highly treasured gems

• Sri Lanka’s mineral rich soils - never ending supply of high quality precious and semi precious gem stones

• eg:-Sapphires, Star Sapphire, Rubies, Star Rubies, Alexandrites, Cat’s eyes, Garnets, Zircons,

Tourmalines and Spinels.

Introduction contd..

• Census report 2007- precious and semi precious stones conquered 7% of Sri Lankan exports

• Development 2003- Rs. 19, 437

2007- Rs. 52, 764

• Facets – held annually in Colombo since 1991– Exhibition of Gem & Jewellery

• Not much studied

Introduction contd..

Objective

• To investigate the effect of conducting number of export promotion programmes on Gem & Jewellery Industry for the Export Budget of Sri Lanka during one year period in terms of – Export market share– Export profitability– Market diversification

Literature Review

• Sporadic & active exporters gain most from export promotion programmes (Francis & collins- Dodd, 2004)

• Little impact in the short term for more experienced international export firms

Literature Review contd..

• Export performance measurement– Economic measures- sales, profit, market share– Non- economic measures- # countries exported to,

products and miscellaneous items– Generic subjective measures- export success,

achievement of export objectives, satisfaction with specific export performance

Literature Review contd..

• Export performance measures (Thirkell & Dau,1998)– Export market share– Export profitability– Market diversification– Customer satisfaction

Hypotheses

• Hypothesis 1– There is a positive relationship between Export

promotion programmes and Export market share

• Hypothesis 2– There is a positive relationship between Export

promotion programmes and Export profitability in Gem & Jewellery exporters

Hypotheses contd..

• Hypothesis 3– There is a relationship between export promotion

programmes and Market diversification in gem and jewellery exporters

Methodology

• Population– all gem and jewellery exporters in SL

• Sampling method– aa

• Sample size– aa

• Sampling frame– Census reports– Central Bank reports– Gem and Jewellery Authority list

Methodology contd..

• Measures– Dependent variables

• Export market share

• Export profitability

• Market diversification

– Independent variable• Export promotion programmes

Methodology contd..

• Analysing– Linear Regression

References

• http://www.srilankagemautho.com/st-exportstatistics.php - 06.10.2009

• http://www.statistics.gov.lk/Abstract_2008_PDF/abstract2008/pagesPdf/chapter9.htm - 06.10.2009

• Census Report 2007• June Francis and Colleen Collins- Dodd (2004) Impact of

export promotion programs on firm competencies, strategies and performance. The case of Canadian high- technology SMEs. International Marketing Review.emarald Group Publishing Ltd.. Vol. 21 4/5, 474- 495 pp.

• Thirkell, Peter C. & Dau, Ramadhani(1998) Export performance: success determinants for New Zealand manufacturing exporters. Europea Journal of Marketing. MCB University Press.Vol. 32 9/10 813-829 pp

Methodology

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