The purpose of this study is to examine structural changes in Korean ICT exports and empirically analyze the export determinants of the ICT industry by company size in order to improve the export sustainability of domestic ICT companies.
For this purpose, an empirical analysis was conducted by adding basic variables of the gravity model used in previous studies and variables reflecting the ICT industry based on panel data collected from 42 countries from 2008 to 2019.
As a result of the analysis, it was found that the influence of the demand-side variables related to Korea ICT exports appeared in the same direction regardless of the size of the company, while the supply-side variables differed according to the size of the company. The larger the export target country''s GDP, that is, the larger the economy, the higher the export price index, and the higher the total GCI, the more positive the Korean ICT export regardless of the size of the company. In addition, it was found that the overall index of GCI had a positive effect on exports for the whole and large companies, and variables in the ICT supply sector had a negative effect on exports of the entire and large companies. The supply-side variables differ in their influence depending on the size of the company, and for large companies, foreign direct investment assuming the time difference in the first quarter had a positive effect on exports, and for small and medium-sized companies, exports of domestic ICT conglomerates to countries.
Through this, it is estimated that the factors affecting exports differ in terms of supply depending on the size of the company, which suggests that the size of the company should be considered in preparing export support policies from the perspective of related policy authorities.