Answer to Question #142218 in Economics of Enterprise for Pearl

Question

Using Porter’s competitive forces, explain the reasons
for the deterioration of abaca as a major export earner of the country?

Answer 1

The decrease in abacaexport value is mainly caused by the decline in demand from our main markets,” FIDA said, adding that the reduced demand is caused by the European crisis. For abaca pulp exports, Europe is also the biggest market with a 60.8% share in total abaca pulp exports.