Business Relationships with East Asia: The European by Jim Slater

By Jim Slater

This quantity analyses the enterprise atmosphere in East Asia almost about alternate and funding flows in the sector and among East Asia and Europe. concentrating on the two-way stream of administration rules, funding and expertise, this examine highlights the best way each side can gain.

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Additional info for Business Relationships with East Asia: The European Experience (Routledge Advances in Asiapacific Business, Vol 4)

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In order to make operational the preceding arguments regarding the differential influence of trade on price cost margins, the following equation will be estimated. PCMi=ß0+ß1CR5i=ß3IMIi,1+ß4IMIi,2+…+ei where: PCMi=price cost margin3 industry i CR5i=5 firm concentration ratio4 industry i IMIi,j=import intensity5 industry i from country group j. It is a common finding in the industrial organization literature that the share of imports in consumption has a depressing effect on the price cost margin.

EAST ASIA’S TRADE WITH THE EUROPEAN UNION The dynamic export performance of Japan and the other East Asian countries has caused problems for European producers and this is reflected in the development of EU trade policies towards them. Japan has been a special case for a number of reasons. First, Japan has led the economic development of East Asia and therefore the challenge to European producers 20 Robert Hine and Peter Wright from Japan occurred earlier. Second, the size of Japan’s industrial economy sets it apart from the other East Asian countries: this is reflected in trade shares.

Clearly Europe is seen as a ‘difficult’ trading partner. Two-thirds of firms perceived that barriers to trade are equal to or significantly higher than other regions. In addition to formal trade barriers, the survey revealed other handicapping aspects of doing business with (and in) Europe. 6, below. 1 Views of European trade barriers relative to other regions Note: Very high (13); High (10); Similar to other regions (14); Lower than other regions (4); No response (2). Figure in brackets indicate number of respondents.

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