Analysis of Major Factors Impacting the Footwear Export of Pakistan

Abstract

As Asian footwear export progresses and major regional export players skimming economic benefits, it is ever more important for the policy makers and business practitioners to understand major factors affecting footwear export of Pakistan. In this way, the objective of this research paper is to evaluate factors that have a significant impact on footwear export of Pakistan. We took Punjab province as our sampling frame because 90 percent of the footwear export manufacturing organizations are situated in this province. We took a sample of 44 manufacturers purposively from the cities of Lahore, Sialkot and Sheikhopura. Primary data was collected through a questionnaire which was emailed to export directors and managers. Footwear exported to the rest of the world was measured for the year 2015 whereas impact of significant variables was determined through regression analysis. Prerequisites of regression analysis assumption; normality, multicollinearity and autocorrelation were applied to the sample data. The value of R2 was 0.899 suggested that it was strong and reliable model. We found that years of qualification, export experience, ISO certifications, average raw material price, international trade exhibitions were highly significant for footwear export of Pakistan whereas average marketing cost was insignificant factors for footwear export.