tailieunhanh - Lecture International trade and investment (2/e): Chapter 14 - John Gionea

Chapter 14 - Doing business in advanced economies. The main goals of this chapter are to: Outline the main characteristics of advanced economies, establish the relationship between the private sector and government sector in advanced economies, outline the size and structure of the import market in advanced economies,. | Chapter 14 Doing business in advanced economies 14– Lecture plan Definition of advanced economies (AEs) Import markets in ICs – Western Europe; North America; Japan; Australia and New Zealand; newly industrialised economies (NIEA-4) Trade issues in AEs Export marketing aspects Investing in AEs 14– Features of advanced economies High per capita income and standard of living Market based economic systems; limited government intervention Mature secondary sector; dynamic tertiary sector Rational macroeconomic policies Sophisticated financial systems Well-developed infrastructures Advanced communication networks High-level education and training 14– Advanced economies as mixed economies Predominance of private sector domestic firms (small, medium, large) MNEs Various degrees of government intervention Substantial freedom for markets and MNEs 14– Government involvement in production of goods and services Government sector: about 1/3 of GDP of ICs + 10% of GDP for government companies Government ownership: electric and telephone utilities; banking, petroleum Australia about 1/4 of GDP ( >US and UK; 14– Government involvement in international business OECD: Principle of national treatment for non-nationals (no discrimination against foreign firms). Government control of international trade and investment tariffs; non-tariff measures; taxes export support measures 14– Shares of main groupings in total imports of goods and services of advanced economies (AEs) in 2003 NIEA = Newly Industrialised Asian Economies Source: adapted from WTO, International Trade Statistics 2004 14– Merchandise import markets in advanced economies (W. Europe, N. America, Japan), U$S billion and %, 2003 Merchandise imports of the Triad (US$5065) primary products (–) * food; raw materials; ores and minerals manufactures (58–78%) * iron and steel * chemicals * other semi-manufactures * machinery and transport equipment | Chapter 14 Doing business in advanced economies 14– Lecture plan Definition of advanced economies (AEs) Import markets in ICs – Western Europe; North America; Japan; Australia and New Zealand; newly industrialised economies (NIEA-4) Trade issues in AEs Export marketing aspects Investing in AEs 14– Features of advanced economies High per capita income and standard of living Market based economic systems; limited government intervention Mature secondary sector; dynamic tertiary sector Rational macroeconomic policies Sophisticated financial systems Well-developed infrastructures Advanced communication networks High-level education and training 14– Advanced economies as mixed economies Predominance of private sector domestic firms (small, medium, large) MNEs Various degrees of government intervention Substantial freedom for markets and MNEs 14– Government involvement in production of goods and services Government sector: about 1/3 of GDP of ICs + 10% of GDP for .