ABSTRACT
In general, concentration of exports with respect to markets and product groups has the potential to negatively affect the overall export performance of a country and its receipts. Such concentration may be particularly damaging for the exporting country, when world demand for the products in question or the total demand for imports in major markets falls (Lloyd 1994). In such cases, it may become very hard for the exporting country to maintain-let alone increase-its market share. Changes in export performance due to shifts in the degree of competitiveness, on the other hand, are easier to deal with as policy measures may be very effective in such instances. In fact, relative price disturbances may alter the competitive position of a country in the export market, having a considerable effect on overall export performance (Lloyd 1994).7
