The Effects of Country Reputation on International Trade

Abstract

The research builds on GNI per capita and FDI net inflow to assess the impacts on exports. It aims to analyze country reputation effects on international trade activities. Specifically, the objective is to determine to what extent country image has impacts on international trade and their correlation. The hypothesis in the paper suggests that country reputation has impacts on foreign trade activities of countries. FDI net inflow and GNI per capita are considered as some of main indicators of country reputation in international level and exports is taken as indicator of foreign trade. Using multiple regression analysis, the research defines that GNI per capita and FDI net inflow are positively correlated with exports as well as they can predict exports. Analysis shows that the research model is statistically significant. Thus, hypothesis is supported with the analysis and accepted meaning that country reputation has impacts on international trade activities in some certain ways.

X. ÉVF. 2022. Különszám 26-30

DOI: 10.24387/CI.2022.SI.5

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