SELECTION OF MARKETS FOR TEXTILE EXPORT USING THE ADEQUATE PORTFOLIO

Abstract

Textiles is one of the largest industries in the world, creating significant volumes of tra-de, export, and jobs. In the European Union, this industry is essential and attempts to retain and increase competitiveness. Most of the textile and clothing sector production is exported; thus, adequate orientation to export markets is essen-tial. The paper’s objective is to determine the countries suitable for exporting the textile production of Lithuania and similar countries using the adequate portfolio model. The adequate portfolio treats the export possibilities according to three parameters: return, reliability, and risk. Clothing annual average index data across countries obtained from the Eurostat database were used for calculations. After performing the research, three portfolio cases were proposed, and the most profitable export countries and their given return were determined. Research results can be applied to the whole country and for individual textile-exporting enterprises.