The Relationship Between Manufacturing Strategy And Export Performance In Australia

Essay from the year 2015 in the subject Business economics - Business Management, Corporate Governance, , language: English, abstract: This literature review identifies the relationship between manufacturing strategies and export performance of big and small firms. Johnson stated that back in 1960 Australian manufacturing contributed around 25% to the GDP, which got reduced to around 6.8% in the most recent years. The manufacturing in Australia is mostly centered on a few prominent sectors, like food and beverages, petrochemicals, machines and tools, metal products, textile clothing, and footwear. In the most recent years, it can be seen that most of the products manufactured in Australia are exported to the foreign countries. Different industries such as food processing, textile, motor vehicles and automotive industry, chemical industry a few prominent industries, fall under the purview of the manufacturing sector in Australia. The recent statement of the International Monetary Fund chief Christine Lagarde about the world economic scenario indicates that the largest export market of Australia, namely, China will continue to show a downward trend in the economy. In the current year, the Chinese economy is assumed to grow at 6.9 % in the current year 2016 although the other developing economies, such as India and western countries, such as Europe and America are showing a bit recovered growth rate. It indicates that the Australia needs to rediscover its manufacturing strategy which should be aligned to the markets in these countries. The current study finds its objectives in the research, which explores any significant correlation between the manufacturing practices and export performance of manufacturing in Australia.