Wednesday, May 30, 2012
Last Blog Reflection
Blog Assignment: Reflection
a) What did you learn in this class that you believe will be most directly applicable to understanding how the world works?
I think that the most applicable to understanding how the world work is the EGT consultant paper in which we did research on our countries and also learn about the three type of different market (scooter, limousine and sedan). I also found the buying corn activities along with the shipping container activity to be very interesting and helpful to understanding today’s issues relating to economics and transportation of goods across countries. Another activity is calling the banks to learn about the exchange rates and fees, which was a pretty interesting activity. It may be hard to get different kinds of currency and is quite useful for study abroad students since they are going to another country and will need that country’s currency.
b) What topics are you interested in learning more about, after his class ends?
Other topics that I want to learn more about are how other markets works. For example if we were to look our study abroad country but instead of looking at the automobiles and vehicles markets we should try out other products as well. I think that it is also important to do more presentations with business more like activities and learn about the cultural differences in class. Maybe combine little parts of business in to this economic class for us as students to understand how closely business and economic is related. I think that also learning about negotiation is quite important too and we should learn more about it. Maybe have an intro to negotiation and persuasion which can eventually lead us to take the negotiation and persuasion class.
c) What advice would you give to a student considering taking this class?
The advices that I would give to future students taking this course is that for the presentation, they should really practice because time limit is quite important. Learn how to use concise words and cover important points. As for the reading, make sure to read all the reading because they are very important for discussion and for having a better understanding of economics. Writing papers for this class, I would say it takes the most time and require a lot of time beforehand to research so start early due to that it is important to analyze the country from many perspective and see which markets is suited best for the country. Don’t forget to do blogs because blogs help you process your thinking on the readings. Overall I got a lot out of the class and would recommend it to students going on study abroad because it helps to know the situation in that country.
Monday, May 28, 2012
US to push for changes on yuan Weekly # 4
Blog Weekly #4
US to Push for Changes on Yuan
http://usa.chinadaily.com.cn/us/2012-05/28/content_15402369.htm
Officials ask Beijing for more flexibility
The United States on Friday shied away from naming China as a "currency manipulator", but said it would "press for policy changes that yield greater exchange rate flexibility" in the yuan.
In its latest semi-annual report to Congress, the US Treasury Department said Chinese commitments to strengthen the currency and the decline in China's current account surplus showed that Beijing was not manipulating its currency. China has also made progress in allowing the yuan to appreciate against the dollar since June 2010.
If the department found China to be manipulating its currency, President Barack Obama's administration would have to take formal steps to press for the yuan's revaluation. If talks fail, the US could impose trade sanctions.
Treasury and other administration officials have argued that such pressure could be counterproductive given that the Chinese government owns more than $1 trillion in US sovereign debt. The last time China was labeled a "currency manipulator" was in 1994.
But the report stressed that the Chinese currency remained significantly undervalued and further appreciation of the renminbi against the dollar and other major currencies was warranted.
Reacting to the report, John Frisbie, president of the US-China Business Council said Treasury made "the right call" in its policy decision.
"Branding China a currency 'manipulator' triggers nothing to help reach the goal of a fully convertible currency and market-driven exchange rate for China," Frisbie said in a statement. "In addition, the 'manipulator' label would likely lead China to react negatively and slow down progress on this issue."
The Treasury Department noted that China has pledged to move rapidly to a "more market-determined exchange rate system" in recent forums such as the Group of 20 and the US-China Strategic and Economic Dialogue.
The yuan has risen in value by 40 percent, after adjusting for inflation, against the dollar since 2005, when China began implementing currency reforms. But in 2012, Treasury said, "The yuan has been virtually flat against the dollar."
China's global current account surplus - meaning the country exports more than it imports - has dropped substantially, from 9.1 percent of gross domestic product in 2008 to 2.8 percent of GDP at the end of 2011, according to Friday's report.
During that four-year period, the US trade deficit with China has widened by a comparatively modest $22 billion, from $273 billion to $295 billion, according to the USCBC.
"The facts show that China's exchange rate is not the significant factor in the US trade deficit or US employment that many make it out to be," Frisbie said.
In a recent USCBC survey, exchange rate was ranked 26th as a factor affecting US sales to China, five places lower than the previous year.
US political leaders, including Republican presidential candidate Mitt Romney, have accused China of manipulating its currency, a move they say makes American exports less competitive. Romney had said that if he is elected he would identify China as a currency manipulator on his first day in office.
Some experts say the US has focused too much on the currency issue while neglecting opportunities that could benefit both economic powers.
Li Ruogu, chairman and president of the Export-Import Bank of China, said at a recent event hosted by the pro-growth New York Forum that the global economy depends on a close economic relationship between China and the US. The world can't afford a trade war between the two nations, he said.
Reponses to the article:
Although it was interesting to see that China and the United States are relatively arguing over the currency rate, I also do agree with the author that “The world can't afford a trade war between the two nations.” This is due to that both China and the United States need each other in order for both economies to be successful. China needs the United States for growing its economy, increasing GDP and United States needs china for consumption and its cheap labor.
The issue of “US political leaders, including Republican presidential candidate Mitt Romney, have accused China of manipulating its currency, a move they say makes American exports less competitive” makes China a greedy country more or less. As the US labels China as a currency manipulator can cause problems to the economy because the US is not focusing on the other benefits and advantage to the economic relationship but rather agues about the currency.
This article overall is interesting because the issues of exchange in currency really play a great impact on the market in the two different countries causing debates and may result in a unstable relationship.
Works Cited:
Zhang, Yuwei. "US to push changes on yuan." ChinaDaily USA. N.p., n.d. Web. 28 May 2012. <http://usa.chinadaily.com.cn/us/2012-05/28/content_15402369.htm>.
Monday, May 21, 2012
Beware of Greeks Bearing Bonds
Beware of Greeks Bearing Bonds by Michael Lewis
http://www.vanityfair.com/business/features/2010/10/greeks-bearing-bonds-201010
1) Choose one passage from the reading that you found particularly interesting. Why was it interesting?
I found this article to be interesting in that Greek is not talk much about besides tourism or history/English class. I never thought much about Greek’s economy or its monastery. One of the interesting passages in this article is that,
“The Greek state was not just corrupt but also corrupting. Once you saw how it worked you could understand a phenomenon which otherwise made no sense at all: the difficulty Greek people have saying a kind word about one another. Individual Greeks are delightful: funny, warm, smart, and good company. I left two dozen interviews saying to myself, “What great people!” They do not share the sentiment about one another: the hardest thing to do in Greece is to get one Greek to compliment another behind his back. No success of any kind is regarded without suspicion. Everyone is pretty sure everyone is cheating on his taxes, or bribing politicians, or taking bribes, or lying about the value of his real estate. And this total absence of faith in one another is self-reinforcing. The epidemic of lying and cheating and stealing makes any sort of civic life impossible; the collapse of civic life only encourages more lying, cheating, and stealing. Lacking faith in one another, they fall back on themselves and their families.”
This was an interesting passage in the article because it explains the current situation in Greece and if you do not know much about Greeks or its economic situation; it basically states that Greece is not doing so well economically and that Greece is corrupted to that extent that nothing is trustable. Children will not learn anything in public school, and the government and tax collector accepts bribes. This gives Greece a bad reputation as a country but also releases important information about the country. This passage was also were informative.
One of the shocking passages that I have never heard about was the island where women are not allowed.
“Mount Athos now is severed from the mainland by a long fence, and so the only way onto it is by boat, which gives the peninsula the flavor of an island. And on this island no women are allowed—no female animals of any kind, in fact, except for cats. The official history ascribes the ban to the desire of the church to honor the Virgin; the unofficial one to the problem of monks hitting on female visitors. The ban has stood for 1,000 years.”
This was very interesting in that for 1000 years women could not enter Mount Athos and so I found this to be very interesting too because in most areas of the world both male and female are allows to go where they pleased but an island where woman are banned can create an interesting argument for critics or other readers.
2) Greece’s economy is very small compared to other European Union economies, yet problems in Greece threaten the rest of Europe. Why?
Greece’s economy is very small but it threatens the rest of Europe because Greece has been historically a very important region in Europe and had existed for a long, long time. Greece’s economy although it is not going well, it is still one of the important economies in that they recently adopted the Euros and have one of the largest economies in Europe.
3) As part of a European bailout, Greece agreed to an austerity program of large cuts in government spending and increases in taxes. The Greek public has strongly opposed these measures. Use the short-run national Income model to explain this opposition.
Looking at the Short run national income model
GDP = C + I + G + Nx
If Greece agrees to cut government spending and increase tax, this will make
GDP↓ = C↓ + I + G ↓ + Nx
If Government spending is decreasing, Consumption will also decrease causing a decrease in GDP. This follows the contractionary fiscal policy. On the monetary side this will increase the interest rate and decrease money supply.
Works Cited:
"Beware of Greeks Bearing
Bonds."Vanity Fair. N.p., n.d. Web. 21 May 2012.
<http://www.vanityfair.com/business/features/2010/10/greeks-bearing-bonds-201010>.
Sunday, May 20, 2012
China Eyes Japan as the Land of Opportunity Weekly # 3
China Eyes Japan as the Land of Opportunity
Weekly Blog #3
http://www.businessweek.com/articles/2012-05-10/china-eyes-japan-as-the-land-of-opportunity
Article
As China’s most successful telecom equipment company, Huawei Technologies had more than $32 billion in sales last year and a strong presence in Europe, India, the Middle East, and other countries. Japan is another story. Huawei’s sales in the world’s third-largest economy amounted to no more than $700 million in 2011, tiny for a company of its size. Huawei has been in Japan since 2005 but as the numbers show, “we are still very small,” says Yan Lida, Huawei’s Japan president.
China may enjoy a healthy trade surplus with the U.S. and Western Europe, but when it comes to Japan, the Chinese are always in the red. Last year China had a $19 billion trade deficit with Japan, thanks in part to Chinese imports of made-in-Japan machinery and components. Japan is the second-largest supplier to Huawei, after the U.S., with the Chinese company buying $750 million in Japanese parts in 2011. In return, the Japanese buy such low-cost Chinese goods as apparel, food, and electronics.
Some Chinese companies are pushing harder to convince Japanese consumers to put aside their doubts and give Chinese products a try. In April, white-goods maker Haier opened a research and development center in Kyoto, its second lab in the country, and in February announced it would put its Asian headquarters in Osaka. The moves are part of a big Japanese push by Haier, which last year agreed to buy Sanyo Electric’s consumer appliance businesses in Japan and Southeast Asia from Panasonic (PC). Chinese PC vendor Lenovo last year invested $175 million in a new joint venture with NEC to sell computers in Japan. Shenzhen-based telecom equipment and handset maker ZTE is boosting sales of smartphones and 4G equipment to Japanese customers such as Softbank. So is Huawei. Boosting Japanese purchases of Chinese-made products is on the agenda for both countries. Trade ministers from China, Japan, and South Korea will meet on May 12 to discuss a possible free-trade agreement. In December, Chinese Premier Wen Jiabao hosted Japanese Prime Minister Yoshihiko Noda in Beijing, with the two leaders agreeing to promote trade by encouraging the use of their currencies for cross-border transactions rather than the U.S. dollar. Deepening ties between China and Japan “is necessary and possible,” Wen said at a meeting with Noda at the Great Hall of the People, the official Xinhua news agency reported.
Given Japan’s contracting economy, chronic deflation, and shrinking population, why should the Chinese even bother boosting ties? For all its problems, Japan’s roughly $5.9 trillion economy is Asia’s second-largest after China. For now there’s money to be made there, says Zhang Jiangguo, ZTE’s vice president and chief technology officer for Asia-Pacific. Japanese telecom operators “will still put huge investment in network infrastructure,” he says, estimating there’s $100 billion a year up for grabs. Given those numbers, “We don’t think the Japanese market is shrinking.”
A foundation in Japan could also help Chinese companies establish their brands worldwide. Meeting the quality levels and technology standards Japanese companies expect should enable the Chinese to become stronger in other, faster-growing markets. That’s the argument Du Jingguo, Haier vice-president, made in a statement at the opening of the R&D center in Kyoto. “Japan is world-renowned for its state-of-the-art technology,” he said. “So we are confident that products designed for this competitive market will succeed globally.”
Japanese consumers don’t quite know what to make of Chinese products. They are unfamiliar with Chinese brands, and when they think of them they associate them with steep discounts. Chinese companies, facing wage pressures at home, cannot rely solely on low prices to take share in Japan. To overcome the cheap image problem, Haier is selling washing machines under a separate brand developed by Sanyo called Aqua.
Mainland companies still rely on Japanese-made machinery and components, which will keep up the pressure on the trade numbers. “Japanese have a major competitive advantage in high-end capital goods,” says Kevin Lai, an economist with Daiwa Capital Markets. “That is not something the Chinese can change in the near future unless they can innovate.”
The Chinese have reasons to be hopeful. Last year’s deficit with Japan was about half the size of 2010. Moreover, the dismal prospects of money-losing Japanese giants such as Panasonic and Sharp create opportunities for Chinese products. Before the advent of smartphones, local champions were the favorites of local consumers. Today, two foreign companies, Apple (AAPL) and Samsung, dominate the Japanese market. “The market is not so closed,” says ZTE’s Zhang, who says there’s room to make inroads with products designed for Japanese tastes. He’s optimistic about a new waterproof smartphone for Softbank. “Japanese like to take saunas,” he explains. “We provide this kind of handset so they can enjoy their bath and in the meantime call their friends.”
The bottom line: China wants to cut back its $19 billion trade deficit with Japan by selling more electronics and appliances to the Japanese.
Response:
China and Japan’s relationship has always been an interesting relationship because of history. This articles further talks about the future of Japan and China’s economic relationship. With China wanting Japan to buy more goods from China, this can be beneficial to China and improve their economy. As for China, creating more agreements with Japan can lead to other advantages as well, for example with Japan’s purchases, this can make a certain brand name more popular and through Japan it can be advertized globally. Huawei Technologie is one example that was explained in the article about China and Japan relations. One of the interesting points made in the article is that both Japan and China needs to trade with each other and by doing this, China need to have a better relationship with Japan being in a position where it needs to make more purchases. China purchases a lot of goods from Japan and because Japan is relatively a more expensive country, it creates inequality for China and a negative trade surplus. I found this article to be interesting because trade is always an important matter when dealing with countries but along with agreements, the countries relationship is also another matter that greatly impacts the trade negotiations.
Weekly Blog #3
http://www.businessweek.com/articles/2012-05-10/china-eyes-japan-as-the-land-of-opportunity
Article
As China’s most successful telecom equipment company, Huawei Technologies had more than $32 billion in sales last year and a strong presence in Europe, India, the Middle East, and other countries. Japan is another story. Huawei’s sales in the world’s third-largest economy amounted to no more than $700 million in 2011, tiny for a company of its size. Huawei has been in Japan since 2005 but as the numbers show, “we are still very small,” says Yan Lida, Huawei’s Japan president.
Photograph courtesy HaierHaier products on sale in Tokyo
China may enjoy a healthy trade surplus with the U.S. and Western Europe, but when it comes to Japan, the Chinese are always in the red. Last year China had a $19 billion trade deficit with Japan, thanks in part to Chinese imports of made-in-Japan machinery and components. Japan is the second-largest supplier to Huawei, after the U.S., with the Chinese company buying $750 million in Japanese parts in 2011. In return, the Japanese buy such low-cost Chinese goods as apparel, food, and electronics.
Some Chinese companies are pushing harder to convince Japanese consumers to put aside their doubts and give Chinese products a try. In April, white-goods maker Haier opened a research and development center in Kyoto, its second lab in the country, and in February announced it would put its Asian headquarters in Osaka. The moves are part of a big Japanese push by Haier, which last year agreed to buy Sanyo Electric’s consumer appliance businesses in Japan and Southeast Asia from Panasonic (PC). Chinese PC vendor Lenovo last year invested $175 million in a new joint venture with NEC to sell computers in Japan. Shenzhen-based telecom equipment and handset maker ZTE is boosting sales of smartphones and 4G equipment to Japanese customers such as Softbank. So is Huawei. Boosting Japanese purchases of Chinese-made products is on the agenda for both countries. Trade ministers from China, Japan, and South Korea will meet on May 12 to discuss a possible free-trade agreement. In December, Chinese Premier Wen Jiabao hosted Japanese Prime Minister Yoshihiko Noda in Beijing, with the two leaders agreeing to promote trade by encouraging the use of their currencies for cross-border transactions rather than the U.S. dollar. Deepening ties between China and Japan “is necessary and possible,” Wen said at a meeting with Noda at the Great Hall of the People, the official Xinhua news agency reported.
Given Japan’s contracting economy, chronic deflation, and shrinking population, why should the Chinese even bother boosting ties? For all its problems, Japan’s roughly $5.9 trillion economy is Asia’s second-largest after China. For now there’s money to be made there, says Zhang Jiangguo, ZTE’s vice president and chief technology officer for Asia-Pacific. Japanese telecom operators “will still put huge investment in network infrastructure,” he says, estimating there’s $100 billion a year up for grabs. Given those numbers, “We don’t think the Japanese market is shrinking.”
A foundation in Japan could also help Chinese companies establish their brands worldwide. Meeting the quality levels and technology standards Japanese companies expect should enable the Chinese to become stronger in other, faster-growing markets. That’s the argument Du Jingguo, Haier vice-president, made in a statement at the opening of the R&D center in Kyoto. “Japan is world-renowned for its state-of-the-art technology,” he said. “So we are confident that products designed for this competitive market will succeed globally.”
Japanese consumers don’t quite know what to make of Chinese products. They are unfamiliar with Chinese brands, and when they think of them they associate them with steep discounts. Chinese companies, facing wage pressures at home, cannot rely solely on low prices to take share in Japan. To overcome the cheap image problem, Haier is selling washing machines under a separate brand developed by Sanyo called Aqua.
Mainland companies still rely on Japanese-made machinery and components, which will keep up the pressure on the trade numbers. “Japanese have a major competitive advantage in high-end capital goods,” says Kevin Lai, an economist with Daiwa Capital Markets. “That is not something the Chinese can change in the near future unless they can innovate.”
The Chinese have reasons to be hopeful. Last year’s deficit with Japan was about half the size of 2010. Moreover, the dismal prospects of money-losing Japanese giants such as Panasonic and Sharp create opportunities for Chinese products. Before the advent of smartphones, local champions were the favorites of local consumers. Today, two foreign companies, Apple (AAPL) and Samsung, dominate the Japanese market. “The market is not so closed,” says ZTE’s Zhang, who says there’s room to make inroads with products designed for Japanese tastes. He’s optimistic about a new waterproof smartphone for Softbank. “Japanese like to take saunas,” he explains. “We provide this kind of handset so they can enjoy their bath and in the meantime call their friends.”
The bottom line: China wants to cut back its $19 billion trade deficit with Japan by selling more electronics and appliances to the Japanese.
Response:
China and Japan’s relationship has always been an interesting relationship because of history. This articles further talks about the future of Japan and China’s economic relationship. With China wanting Japan to buy more goods from China, this can be beneficial to China and improve their economy. As for China, creating more agreements with Japan can lead to other advantages as well, for example with Japan’s purchases, this can make a certain brand name more popular and through Japan it can be advertized globally. Huawei Technologie is one example that was explained in the article about China and Japan relations. One of the interesting points made in the article is that both Japan and China needs to trade with each other and by doing this, China need to have a better relationship with Japan being in a position where it needs to make more purchases. China purchases a lot of goods from Japan and because Japan is relatively a more expensive country, it creates inequality for China and a negative trade surplus. I found this article to be interesting because trade is always an important matter when dealing with countries but along with agreements, the countries relationship is also another matter that greatly impacts the trade negotiations.
Thursday, May 17, 2012
Orville Schell "Walmart in China"
“How Walmart is changing China” by Orville Schell
http://www.theatlantic.com/magazine/archive/2011/12/how-walmart-is-changing-china/8709/
1). Choose one passage from the reading that you found particularly interesting. Why was this interesting?
One passage that I found to be interesting was talking about how market is basically its own country. Within the article the writer mentions a metaphor basically stating that Wal-Mart (Company) is like a country, which is very interesting to me because it did not occur to me that Wal-mart as a big company can be something that can function like a country. In the article it states, “In many ways, the company is like a country. Its CEO, when abroad, is treated almost like a visiting head of state. Senior executives in charge of overseas operations function like diplomats, signing agreements with governments and businesses and managing the company’s interests. The various national arms of the Wal-Mart Foundation operate almost like a government foreign-aid program. Even Wal-Mart’s stores, arrayed around the world, seem almost as representative of America as our consulates and embassies.” After reading the article it made more sense as to how a company can be a country.
2). Use examples from this reading to illustrate the interaction between multinational firms, economics, and culture.
One of the examples in the reading where there is an interaction between multinational firms, economics, and culture is when the author connects China’s thoughts to Wal-mart’s thought. It states, “China’s leadership, with its socialist roots, has long stressed “serving the people,” while Walmart, with its capitalist roots, emphasizes “service to the customer.” Both statements are relates to the people and is about the people, placing a high importance on the civilians. The next example was the South Park episode on boycotting the stores. It basically talk about ways to stop the spread of the multinational firms but at the end, the people cannot do it and keeps going to the store because market is needed and consumption is needed. A conclusion for the episode is that “the South Park posse must save the world by finding and destroying the heart of their Walmart, which turns out to be located near the TV-sales department.”
Towards at the end of the article an important statement that Lucy mentions is that multinational firms is not necessary a bad thing in China. In fact “Chinese workers learned a lot about quality, pricing, and management from Walmart,” She states, “At first, we didn’t quite understand, but they patiently explained consumer demand to us. So we came to understand that Walmart not only had vision about these things, but also were the strictest in maintaining standards. Now we have started moving from green to organic.” This help China became a better country with food standards and regulation.
3). Beyond the specifics of this article, what impact do multinational firms have on economics and culture? Have they had an impact on your country?
Multinational firms have a big impact on economies and culture because it connects the two concepts. Having multinational firms in different countries can increase consumption, investment. This can drive the GDP to increase making the economy for that country to be better than before. And since multinational firms are located in different country, they also have to cater their goods to the people that live in the local areas and the country and make the product attractive to the customers, therefore for example a wal-mart in china may be different from a wal-mart here in the states. This leads the economies and the markets to connect it to culture and makes the products more cultural related which can increase the demands for certain products. This article clearly shows the impact of Wal-Mart on China and did a great job of talking about the impact of multinationals firms having on economics and culture.
Work Cited
"How Walmart Is Changing China - Magazine - The Atlantic." The Atlantic — News and analysis on politics, business, culture, technology, national, international, and life รข€“ TheAtlantic.com. N.p., n.d. Web. 18 May 2012. <http://www.theatlantic.com/magazine/print/2011/12/how-walmart-is-changing-china/8709/>.
Wednesday, May 9, 2012
Economic Policy Weekly #2
China VP
defends economic policies to U.S business chiefs
Article
CAPTION
By Karen Bleier, AFP/Getty Images
A day after hearing from President Obama and other top administration officials that China must do more to level the playing field for U.S. businesses competing against Chinese firms, Xi made the case that China has already made significant strides in balancing trade policy. Earlier Wednesday, House Speaker John Boehner and Majority Leader Eric Cantor met with Xi and complained of "deficiencies" in China's enforcement of intellectual property laws.
In less than 10 years, U.S. exports to China have grown by 468% and China has become the fastest growing export market of the United States, Xi said. China's overall trade surplus has dropped from the pre-financial crisis level of over $300 billion to $150 billion. In 2011, China's trade surplus-to-GDP ratio dropped from over 7% to 2% and moved into the reasonable range by international standards. The yuan has also appreciated significantly in recent months.
"To be frank, it is very important for addressing China-United States trade imbalance that the United States adjusts its economic policies and structure, including removing various restrictions on exports to China, in particular, even control armed civilian high tech exports to China as soon as possible," Xi said in remarks before the U.S.-China Business Council. "This will help balance China-U.S. trade, stimulate economic growth and job creation in the United States and improve the balance of U.S. international payments."
Among the titans of industry in attendance were Muhtar Kent, CEO of Coca-Cola; Tom Donohue, president of the U.S. Chamber of Commerce; and Andrew Liveris, president of Dow Chemical.
U.S. business leaders complain that a full decade after China entered the World Trade Organization, Beijing continues to create unfair conditions through undervaluation of their currency, heavily subsidizing major industries, and placing restrains on exports of vital raw materials.
Obama has filed five WTO complaints against China since taking office.
Xi travels to Iowa today, and will make a stop in the Mississippi hamlet of Muscatine— a small town he visited during a 1985 visit to the United States. Iowa Gov. Terry Branstad will host a dinner in honor Xi in Des Moines tonight. Xi will take part in the U.S-China Agriculture Symposium on Thursday.
He travels to Los Angeles on Friday, where Vice President Biden will meet up with him.
Response:
Chinese
Vice President Xi Jinping states that “Washington and Beijing” should respect
each other. It was quite shocking that “Obama has filed five WTO complaints
against China since taking office.” It seems as if China and the US
relationship are not as great as it appears. One of the suggestions from China
is that in order to imbalance the trade we need to “adjust the economies policy
and structure, including removing various restrictions on exports to China, in
particular, even control armed civilian high tech exports to China as soon as
possible.” It is said to help balance the trade and create more jobs. This
article in particular seems to address an economic policy but did not discuss
the US response to the China’s proposal. This article also adds to the fact
that China is indeed growing quickly and that its currency is appreciating
making it more expensive for the US.
EGT Consulting Summary
EGT Consulting
Vehicle Market Executive Summary
The executive team at EGT Consulting needs a concise summary of the analysis of your motor vehicle market. The summary should present the most important elements of your paper in a clear and concise manner. The focus should be on the most compelling parts of your analysis. You will not need to include references since they are already available in your longer paper. You will need to use complete sentences and well-organized paragraphs.
In EGT Consulting, it will examine the market potential in three different markets including motor scooter, a mid-sized four-door sedan and a new luxury limousine in China. With many ways for transportation, these goods will be shipped in containers across to big port, for example in Shanghai or Nanjing. Taking a look at utility motor scooter market, the market will decrease due to the new law in some cities such as Guangzhou where scooters are banned. This will cause an increase in the new market for Cars. Although in 2008, the automobile industry is affected by the global economic crisis, recently the industry has been growing due to trying to develop green-energy technology. As for the limousine market, it only appeals to wealthy individual. This market will not be affordable to the majority of the population due to that the GDP per capita (PPP) is only $8,400. The potential growth for this market is not as good as the other two although we can argue that since China’s economy is growing so fast, in the future this can be the leading market.
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