Affirmative Action: a Losing Battle Essay

1.Yes. Affirmative action is aimed at addressing the imbalances of the past. It is sanctioned and required by the constitutional requirement to achieve substantive or real equality. There is a moral imperative on all South Africans to work towards the achievement of a more equitable society. Racial discrimination, in contrast, has no rational and objective premise and simply appeals to the basest of human instincts. It is in the best interests of society to promote the general well-being of as many of its citizens as possible. A healthy, well-educated, well-adjusted citizen contributes to both the wealth and the stability of the society. 2.The United States of America used Affirmative Action to promote racial preference through the implementation of various acts from 1862 to 1930 to address the issues of inequality. 3.South Africa is a country with a huge imbalance between the rich and poor created by the previous apartheid and racial laws to discriminate against Blacks, Coloureds and Indians in education and employment opportunities. In order to balance these inequalities, the South African government had to implement Affirmative Action policies like Employment Equity Act, for example, to address the huge gap created in employment opportunities. The policy is justifiable in that it is aimed at creating a just and equitable society. On moral grounds, the government of this country has a responsibility to make a good-faith effort to remedy the effects of past discrimination. 4.For as long as these inequalities exist, the policy cannot be discontinued because of the legacy that existed for a long time. It will take a long time before the different racial groups could fully participate in all areas of the economy. 5.This question is not clear†¦. Please check with facilitator. SECTION B: PARAGRAPHS 1.Cultivating equal opportunity society has helped countries such as South Africa and America to move forward. Yes. The cultivating an equal opportunity society have helped country such as South Africa move bit forward since the Government policies have design to address the often interrelated problem of inequality, poverty and unemployment. Government initiatives on equal opportunity society have included the growth employment and redistribution programme, the reconstruction and development programme, the broad-based black economic employment policy and the land reform strategy. The fiscal policy leg of economic policy becomes increasingly important when government aims to address the problem of inequality by trying to redistribute gains from economic growth. One of the policies that the government has implemented quite successfully is the provision of social grant and it has serve as a main source of income for aged and disabled people. Equal opportunities in South Africa is a pressing concern, it has a complex relationship with economic growth, poverty and race though South Africa economy is witnessing a positive growth and poverty is showing a declining trend surely equal opportunities for has shown change in South Africa. After the equal opportunities society has been put in place has given every person freedom, secure and equal where every one has to improve the quality of his life and pursue their dreams and in which every language and culture has equal respect and recognition. South Africa became one nation with one future, living together under the constitution in peace, security and prosperity with opportunities and recognition for the entire rainbow nation after the implementation of equal opportunities society. And also United States America society has became both more and less equal in recent decades; following the civil rights revolution of the 1950’s and 1960’s racial segregation and exclusion were no longer legal or†¦

Compare and contrast the attractions and facilities for visitors

Weston-Super-Mare and Brean Leisure Park are two different tourist sites near each other. * Compare and contrast the attractions and facilities for visitors to these areas * What impact does tourism have on the surrounding area? * Do the advantages outweigh the disadvantages? Weston-Super-Mare Brean Leisure Park Introduction This project is based around tourism, we have been asked to answer a question that is about tourism in the two areas near to each other. These two areas are Weston-Super-Mare seafront and Brean Leisure Park. The question is first, to compare and contrast the attractions and facilities for visitors to these areas. Two, what impact does tourism have on the surrounding area? And three, do the advantages outweigh the disadvantages? The first question is the main question, I think that it is asking me to find out which area is the best area for tourism, environmental issues, residential issues (what the locals think) and which area is the best to go to? The locations we are to investigate are; Weston Super Mare seafront and Brean Leisure Park, both of these locations are near each other on the south west coast of England, the areas we are covering are roughly the same size and are both roughly the same distance from any motorway or major road, this road is the M5 motorway. This will make the investigation slightly fairer between the two locations. Maps of the Region and Local Area The grid references for the two locations are: Weston-Super-Mare Seafront (Pier): 51à ¯Ã‚ ¿Ã‚ ½20`51.50†³N + 2à ¯Ã‚ ¿Ã‚ ½58`54.97†³W Brean Leisure Park (Main Entrance): 51à ¯Ã‚ ¿Ã‚ ½17`07.28†³N + 3à ¯Ã‚ ¿Ã‚ ½00`40.79†³W Main Cities The main cities near to the two locations are Bristol, Bath, Swindon and Southampton, big towns would include Bridgewater, Minehead, Clevedon, Street and maybe Frome. Major Transport Link The most major transport link that is closest to Weston and Brean is the M5 running south past Bristol, Weston, Brean and Lympsham. Most tourists would use this route to get to the two areas. Also the M4 is linked to the M5. This is our sphere of influence, the area in which our tourism and advertisement will be most beneficial and listened to. The background of tourism in Weston is an old record, the original reason that Weston became a tourist town goes back to Victorian times, this is when British beach holidays became really popular, and therefore it has been a tourist centre for years and is still on top as one of the best places to go for a British holiday. It has many attractions such as a high street for shopping, an arcade town for gaming and the grand pier for more gaming; this makes it very popular for people to come to have a good time, either over the weekend or for a week. There are brilliant amenities such as a hospital, toilets, bins, restaurants and accommodation. On the other hand Brean has different types of attractions and amenities such as a Leisure Park and the beach, the amenities are almost the same as Weston except the accommodation is set up as caravan parks instead of hotels, Weston has no caravans but it has many hotels lining the seafront which I think may turn out to be a major difference in how much and what type of tourism each location gets. Brean in general started as a natural area full of historical value. The national trust took ownership and protected the Down (The Main Headland) from any building, although others started building around it, it apparently started interest when people began to come to the site for holidays and then found out about the Neapolitan Fort (also used in World War 2) and also the fascinating history of the headland. Overall people get attracted to this general region not only because of the beaches, even though it's the main popularity reason but also all around the area there are major shopping center's, entertainment in Bristol and also surrounding Weston and Brean are the Mendip hills, perfect for a walking and camping holidays.

Agency And Liability In The B.C. Partnership Act †Free Samples

It can be stated that a relationship of agency is established between two people when one of the two acts as a principal and the other as the agent. The agent derives the authority to perform his function from the principal[1]. Such authority to be derived may be express or implied. In cases where the agent is involved in any wrongful act, it has been held that the principal is not required to expressly order his agent to commit such wrongful act. However the principal is held liable in some circumstances for the wrongful acts of his agent.   Vicarious liability in the context of a principal agent relationship is referred to as the liability imposed on the principal for the wrongful act committed by the agent of such principal[2]. It is to be mentioned that according to section 7 of the British Columbia Partnership Act that a firm or a company’s partner will be considered to be the agent of such firm or company when conducting business in the name of the firm or company. Further in accordance with section 7 it can be stated that any act of a partner of a firm which is done for the purpose of carrying on the business of the firm will be binding on all the partners. However there are two exceptions to the aforementioned rule as contained in section 7(2) which states â€Å"(a) the partner so acting has in fact no authority to act for the firm in the particular matter (b) the person with whom he or she is dealing either knows that the partner has no authority, or does not know or believe him or her to be a partner†. According to section 8 of the British Columbia Partnership Act any act done in the name of the firm with the intention to leally bind the firm by any authorized person will be legally binding upon the firm and all its partners. However as quoted in subsection 8(2) it can be said â€Å"This section does not affect any general rule of law relating to the execution of deeds or negotiable instruments.† Thus in light of the above provisions of the British Columbia Partnership act it can be stated that liability is imposed on the principal for the tortuous acts of the agent primarily for the following reasons[3]. Thus after analyzing the legal provisions of the principal agent relationships in accordance with the British Columbia Partnership Act it can be said that the all the partners of the firms act as agents of the firm while conducting business in the name of the firm. Therefore by the application of the principle of vicarious liability it is to be stated that the firm acts as the principal will therefore be liable for the acts of the partners. 'Partnership Act' (Bclaws.ca, 2018) accessed 25 February 2018 Chamallas, Martha. "Two Very Different Stories: Vicarious Liability Under Tort and Title VII Law."  Ohio St. LJ  75 (2014): 1315. Cole, Jeffrey. "Agency-Vicarious Liability-Abrogation of the Both Ways Rule."  DePaul Law Review  16.2 (2015): 478. West, Henry. "Vicarious Liability."  American Legal Encyclopedia  (2017).

Ethical aspect in management Assignment Example | Topics and Well Written Essays - 2250 words

Ethical aspect in management - Assignment Example Managers are struggling nowadays to improve the skills of individuals in order to meet the market expectations. As people from all around the world are in contact to do business, therefore unawareness to culture and norms of one another results in unethical practices and values occur in the business environment which results in decrease of trust and eventually huge losses are born by the organizations due to misunderstandings, thus managers have started to make sure that unethical values and practices are not occurring in their organization by using the methods and techniques of management under the light of theories and functions of management. To ensure the standard of ethics in an organization managers have to work hard to set the rules and they have to communicate the code of ethics to each and every employee so that everyone gets the information about the ethical standard which is required to be maintained in the organization. Managers also spend their time to monitor the busine ss carried out in the organization so that employees should develop the sense that they are not at their own to do whatever they want. It is suggested that simply caring for the utility and rights of others and justice while dealing in a business environment ensures that ethical values are being practiced in the organization. (b) Introduction: Management is the ability which is instinctively present in humans however some people are better managers than others because of certain factors which help them polish their ability more than others. Management means different things to different people (Haimann, 1974) but when this term is used in an environment related to business it refers to a process. What is Management' Defining Management The process of planning, decision-making, leading and controlling the available resources of an organization such as man-power, finance, machines and information in order to achieve the organizational goals in the best possible way is called management. Good management results in completion of projects using the resources wisely and in a cost effective manner in accordance with making right decisions and implementing them successfully (Portny, 2007). Management in Modern World Due to its importance in every organization and business environment, management has emerged as an important subject area which is widely studied and practiced all over the world. With the gigantic increase in the population of the world, productivity has emerged as a serious problem in the business organizations because the demand for the product has suddenly increased and despite of having capital and demand of product in the market, organizations are not able to increase their production due to lack of skilled labor (Malhotra, 1997). Therefore, the managers have started to think and search for methods and techniques to fulfill the customer's demand by using the existing labor. Management on this outline is the modern management and in this era managers struggle to improve the performance of the employees individually which in turn results in the improvement in the production of the organization. Management is a complex process because managers have to keep eye on various aspects at the same time therefore

History and Reconstruction of Cutty Sark Essay Example | Topics and Well Written Essays - 1000 words

History and Reconstruction of Cutty Sark - Essay Example In the United States, clipper ships â€Å"represents a powerful symbol of American ingenuity and entrepreneurship. A pivotal moment in American maritime history, the clipper ship era is a story charged with national pride, romance, competition, and rapidly changing technology† (Curtis 2004). Its invention was a critical focal point in the development of the global economy. The Suez Canal was opened in the year 1869 that provided short-cut routes for countries of distant locations, setting off the competition between steam-mobilized liners and clipper ships. However, this was also the period when clipper ships were seldom preferred for commercial purposes. One of the last clipper ships built for opium trading functions in China to England was the Cutty Stark. BRIEF HISTORY OF CUTTY STARK Cutty Sark was considered to be â€Å"one of the most famous of the great clippers†¦Ã¢â‚¬  (History 2012). Her construction was completed in 1869 by the order of the shipping mogul Jock Willis. During this time, Cutty Stark was one of the fastest clipper ships in England, initially built for the purpose of tea trade between China and England. Nevertheless, due to the opening of Suez Canal 1 by the same year, steam-mobilized ships had an easier and shorter course for China which resulted into a short-lived maritime trade bustle of Cutty Sark. She then was shifted for wool business in Australia where she operated for ten years. It was one of the last clipper ships created for the tea trade between England and China from 1840 to 1870. Its first touch of the seabed took place on its launching on November 22, 1869 afternoon in Dumbarton. Since the Suez Canal opened, it cut the travel period of steam vessels to the Far East overwhelmingly (History 2012, para. 3). Also, â€Å"the winds of the Red Sea and the Mediterranean were not suited to the clippers though† (History 2012, para. 3) and which resulted into her pitiable revenues in the 1870s. Consequently, its jou rney to Australia for wool trade acquired the upper hand, â€Å"setting speed records between London and Melbourne and Sydney (History 2012). For ten years, Cutty Sark held prevalent reputation and prominence because of its fast tours. Nevertheless, in 1895, Cutty Sark’s speed gradually waned and had become less rewarding. Following the zenith of her success, Cutty Sark completely lost its sense of residence. She was sold several times to companies and people including Captain Dowman, who after recollecting Cutty Sark’s heydays, â€Å"brought her to Falmouth, where she was restored and opened to the public† (History 2012). After Dowman’s demise in 1936, Cutty Sark was then transferred to a â€Å"navy Training College at Greenhithe† (History 2012, para. 7) and was used for maritime training by the students of the college. A FIRE DESTROYED CUTTY SARK On 21 May 2007, the iconic Cutty Shark, which was temporarily closed for a maintenance work, shocked everyone when it grabbed hold of a fire and burned down for many hours before the fire was contained by the London Fire Brigade. The fire-fighters battled the fire for more than two hours. â€Å"Fire-fighters were called to the scene at 0445 BST and the flames were put out by 0700 2 BST† (BBC News 2007). The Fire Brigade of London together with the Metropolitan police, after analysing the CCTV video, initially concluded that â€Å"arson† was a possibility; nevertheless, they were not able to gather proofs that would

KSAs Essay Example | Topics and Well Written Essays - 1000 words

KSAs - Essay Example In order to produce an accurate report within the assigned deadline, it became necessary for me to combine all of the sources of information and create one sole source for the student data, which would permit easy access of the data to the Director. The final outcome: By developing a more organized system of data maintenance, it simplified the process of analyzing and summarizing information for the report, which in turn decreased the amount of time needed to compile and complete the report by the assigned submission deadline. The increased time also ensured the accuracy of the report. At the University of Maryland in the Student Support Services office, I was the first point of contact for both students and parents interested in the Summer Transitional Program. This program is designed to assist first generation/low-income students in making the transition from high school to college through the completion of a six-week intensive academic course load. Students who were invited to apply to the program were those students who were denied fall admission by the university’s Undergraduate Admissions office. Following the release of the early decision letters by the admissions office, I immediately began fielding telephone calls and receiving visits by students, parents, teachers and high school counselors inquiring about the program application process, requirements, costs and other questions and concerns. I assisted these potential students by communicating the necessary information verbally on the telephone or in person, and/or in writing through the forms of a letter, or email. At the University of Maryland, the spring semester is a very busy time for the Student Support Services office. In addition to assisting the current students in the program, the office is also in the midst of accepting applications and formulating the first-year student cohort for the upcoming

Jazz age Research Paper Example | Topics and Well Written Essays - 1000 words

Jazz age - Research Paper Example While the Jazz age was much influential even in the later years, much of this influence was affected by the great depression in the 1930s. It is however, imperative to emphasize that Jazz music did not really begin in the 1920s but earlier on. The twenties only served as a period when new experiments were conducted and many styles were discovered with respect to the Jazz culture. Real jazz music was born in 1895 as a mixture of Blues and band music which played by African Americans and Creoles in New Orleans. This music was basically played on the old U.S Army music instruments like the marching drums of the cornet. It was basically a matter of improvisation given that most musicians of the day could not read music. Gradually, some white men noticed the popularity of this new trend and became interested. As a result many white people began playing jazz (Barrett, 45). Consequently, there was a fusion of the African and European music which blended to give jazz a new style from which a new culture sprang. Many of the white performers were used to make the culture much popular across the United States (Baraka, 25). The jazz music culture was soon taken over by the white middle class Americans and cities like Chicago and New York became canters for jazz music and culture. The growth and development of the radio industry was further instrumental in encouraging the growth of this culture. The numerous radio stations that sprang up around 1920 made it possible for many Americans to experience many kinds of music without the need to visit clubs. Many radio shows such as â€Å"potter palm† enhanced the popularity of jazz music and many people became fans (Barrett, 51). Armature concerts and other jazz performances were common in cities like Chicago. Originally, many African Americans got little airplay as many of the stations and clubs preferred the white jazz musicians (Shaw, 65). However, as the music became popular, artists like Louis Armstrong received much a irtime and many big bands were formed. Much of the influence of the jazz music was realized in the 1920s when majority of the youth went against the traditional lifestyle and adopted new ways. The traditional culture was slowly washed away amongst the youth through dressing and other mannerisms. The bold fashion statements (flappers) and new radio concerts were part of the rebellion realized amongst the youth (Barrett, 32). New styles of dancing like the Charleston were introduced by the African Americans and became very popular amongst the younger generations. Many of the youth began to make their hair in strange new ways while also donning sliver and golden slippers. In the same way, the women were not immune from this new wave that took over many of the youth. While there was indeed a lot of opposition from mothers and fathers on the new trend and how they thought it was affecting society, the peak of the women suffrage in the twenties coupled with the introduction of the flapper gave women much liberty to adopt the new culture. The happenings of the First World War led to many women joining the work force and this gave them many possibilities in relation to social life. Many people further advocated for equality and free sexuality and many female musicians emerged. Women musicians like Janis Joplin and Billie Holiday became very popular jazz musicians and were mostly inspired by Bessie Smith who had earlier became famous (Fitzgerald, 89). Nevertheless, there was

Possible Causes of Sales Decline Case Study Example | Topics and Well Written Essays - 1500 words

Possible Causes of Sales Decline - Case Study Example Many people start businesses without proper planning. They just open their doors for business hoping to succeed. Research has indicated that business plans form an imperative tool for any business enterprise; thus, before one starts a business. This identifies what one wants to go and how he or she will reach there. During our discussion, I will ask the manager, Carol Todd whether she made a plan before the business started. If she did not, this might have contributed to the sale decline problem. I will, therefore, advised her to come up with a business plan. This will assist her to run the business well and hence improving the number of sales. (Blank, 2010) Â  In most cases, businesses plan to get a loan. Once they obtain the loan, they completely forget about the plan. Apart from having a business plan, it is also vital to have specific objectives especially for the first one year of the business operation. In the planning process, one should develop goals and objectives for the business, break them into stages and identify anything which must be done in each of the stages. In my discussion with Caro Todd, I will ask her whether there are goals for the business. If there were no goals, this might have contributed to the problem. I will then advised her to start setting goals and objectives for the business. Â  After establishing the operational goals and objectives, it is also important to ensure that one measures how the business is performing against the established goals and objectives. This will help the owner know whether modifications and other strategies are needed. The manager may have failed to measure the objectives as well as the goals of the business, this might have contributed to the problem. During our discussion, I will, therefore, advised her to start measuring goals and objectives which will help the number of sales to increase. Â  

How does Learning and Employee Development contribute to Essay - 1

How does Learning and Employee Development contribute to organisational success and performance within social care services - Essay Example Furthermore, the dissertation has made use of questionnaires and interview techniques to collect data from line managers at a voluntary sector social service provider, namely ‘Loretto Care’. The main findings of the research are: The managers at Loretto Care are of the view that investment in learning, development and on the job training can be directly beneficial and can lead to success at personal (employee level) as well as at the organisational level; and the main barriers to learning and the effectiveness of training as identified by the managers at Loretto Care include workload, time pressures and lack of internal motivation. The respondents have pointed out a need to encourage registration with and alignment of training programmes and employees with the SSSC requirements to ensure standardisation and monitoring the effectiveness of these programmes. The main conclusion is therefore that development and learning programmes for employees can effectively enhance orga nisational performance if there is robust planning to meet the needs and requirements of the organisation and are culturally embedded via appropriately qualified line managers in undertaking their role. Keywords: Training and development, SSSC Registration, Role of line management CONTENTS Abstract Chapter 1 1.1 1.2 1.3 1.4 1.5 1.6 Introduction Purpose and rationale of the study Scope of the Study Aims of the Research Significance of Study Format of the Dissertation Conclusion of the Chapter Page 1 2 4 5 6 7 9 Chapter 2 2.1 2.2 2.3 Literature Review Outline of the Chapter Specific research in the Social Care Sector Conclusion of the Chapter 10 10 11 19 Chapter 3 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 Methodology Introduction to research design Research Design Research Methodology Sample, time and Site for study Research instrument Research Pilot Questionnaire Ethical and Validity issues Scope and Limitations of the Design Conclusion of the chapter 21 22 23 23 25 26 27 28 30 31 Chapter 4 4.1 4.2 4.3 4.4 4.5 Results and Findings Findings Theoretical Framework Legislative Context Discussion Conclusion of the chapter 32 32 44 55 62 85 Chapter 5 5.1 5.2 Conclusion Recommendations Final Conclusion 86 92 93 References Appendices Appendix 1 Ethical Approval Appendix 2 SSSC Codes of Practice Appendix 3 Interviewee information and consent Appendix 4 Questionnaire results and data List of Tables, Graphs and Diagrams Figure Description Page 4.1 4.2 4.3 4.4 4.5 4.6 4.7 4.8 4.9 4.10 4.11 4.12 4.13 4.14 4.15 4.16 4.17 4.18 4.19 4.20 Summary of job roles of the Participants Qualification of post holders Qualifications of the staff Summary of responses of the L&D strategy Effectiveness of the learning and development strategy Overall job satisfaction relating to L&D Learning and development activities undertaken by managers Learning and development opportunities for team members Impact of regulation with SSSC Experiential Learning Model – Kolb and Fry Developments on Exper iential Learning – Jarvis Learning at Work and Human Resource Development - Slotte Skills demonstration by employees not qualified as per SSSC Skills demonstration by employees qualified as per SSSC Training needs analysis collation methods Factors in the positive contribution of L&D Promotion of L&D Perceived barriers to providing L&D opportunities Learning and

MSc Programme and project management Personal Statement

MSc Programme and project management - Personal Statement Example The PPM course is seen as an opportunity for me to put myself ahead of the increasing demand of the project and programme management job market. By putting myself a step ahead of the requirements of the job market, I can be assured that I will become what employers and project owners are looking for. But this striking vision needs to be nurtured and started somewhere and that is the course being applied to. Apart from the outstanding benefits I will derive from the course, one other reason that makes me prefer PPM is the fact that nature of the course matches who I am and what I have been able to achieve so far. First, I have a very good background in British education as I have successfully completed a four year BA business programme in Britain. This puts me in a better position to easily adapt to the British learning environment and requirements. Even though business studies and PPM are different, there is much similarity between the two, putting me at a better position to grabbing academic concepts very easily. For example it is common knowledge that most projects and programmes that require the expertise of project and programme managers are run by businesses. With my knowledge in business, I will therefore be able to have a very deep understanding of project owners. I can also have empathy for project managers in understanding issues of project urgency, cost saving, and quality co ntrol. My level of confidence expressed above as to why my background as a Business student can help me succeed with the PPM course can be backed by realistic academic abilities and achievement. For example as a Business student, I achieved very good grade in Finance, which I scored 79% and thus was graded A- in my course assignment. With my current GPA, I am confident about completing with a high 2.1 degree, which is a strong demonstration and evidence of attitude to academic work. With the

Jc Penny Essay Example for Free

Jc Penny Essay This is not the first time that this company has been faced with adversity. The first time was in the 1960’s when shopping went from downtown locations to more uptown locations in malls. The company transitioned to mall locations to cope with the change. This time the change did not come easy to the company. In fact this change has cost the company millions. This time JC Penney’s was faced with a challenge that they wanted to change. They wanted to transition the public’s perception of them. They no longer wanted to be viewed as an old fashioned department store. The company no longer wanted sales or clearance racks. They wanted to change the whole retail climate. They called it fair and square pricing (Baskin, 2013). This came off a lot like Wal-Mart’s always low prices campaign. This sounds like a great idea to me. However, it failed for many reasons. The main reason because it was confusing to consumers. While the other main reason being poor marketing. Many people sat in anticipation of this new campaign by JCPenney’s. There were just as many supporters in the beginning as well. When I heard of this I thought of an upscale Wal-Mart. Low prices I do not have to shop for sales anymore because these should be low prices every day. However, very shortly after this I found myself not shopping there at all. Consumers want a deal, and they do not feel that deal when they shop there anymore. It is the thrill of the hunt for consumers. Not only that but the sales ad and clearance racks used to change. They are no longer changing prices so there is no need to go daily, weekly, or even monthly. Customers may check there as a way to show case, but they are not buying. Without the sales and without the sale advertisements the company is not bringing in nearly the amount of people that were coming into the store to score the best deal. Next the advertisements they are sending out are worded poorly. They are no longer doing sales but they do mail out what they called month long value. Customers did not understand the wording of it. It was never broken down for them. Ideally they had sales, but they were not called the standard name. Therefore, customers missed out on them and they were not bringing in the clientele like a â€Å"sale† probably would have. They were not able to embrace JC Penney’s new tactic. Another problem with this campaign is that the average consumer does not know what the clothing costs. Therefore they think it should be or could be marked down. They have no idea if they were getting a good deal or not. Again the thrill of the hunt is gone, and still makes the customers confused. It was confusing to customers and that means there is a problem in marketing. When a place makes changes that could potentially be confusing marketing is the key. However, there advertisements were so irreverent that they made even less sense to begin with. They came up with a campaign after their numbers dropped called â€Å"do the math. † It was supposed to show how much easier it is to just get a low price in the beginning rather than use a coupon. This action failed for the company. The CEO Ron Johnson came out and reported later that â€Å"it was confusing† to some of their consumers (Baskin, 2013). It’s no wonder that they lost customers. They did not target other competitors about their prices just what the company was trying to do. Last but not least they attempted to open little stores inside their stores. It was a Martha Stewart collection like IKEA. Even that failed because Martha Stewart was not able to put her name on it, because she was still in litigation over her brand. So, it was still branded as JC Penney’s. Not that the name would have made much difference, but it was not thoroughly hought out within the company. Also, this is not a new tactic stores have been doing this for years. The renovation of the stores to add in this small store was costly. It has cost the company millions of dollars. It has depleted their cash, and has also caused their credit rating to drop (Baskin, 2013). This was a costly decision to make when sale s were already down. Here is the largest problem that they had they wanted become a high end store in a low end economy. If I were the CEO of JC Penney I would make quite a few changes. My first change would have been to go back to traditional wording for now. These are the words that customers are the most familiar with. I understand that some companies like to do all their changes at once because it is cheaper. However, when you are changing familiar terms it is wise to do it slowly. Or at least explain it as thoroughly as possible. Change is needed as a society, but no one likes change, because of this I feel that they should be done slowly and over a period of time. I would also have changed the price tags on their merchandise. In order to make someone feel like they are getting a deal I would change how they were priced. I would put a suggested retail price and then put â€Å"our† price on the label. This would appear to customers that they were getting a deal. Sales are because the prices are higher than what they need to be. The advertising is all about â€Å"trickery† to pull people in. In reality they were still doing sales but they were not called sales, and people did not buy into it. By changing the price tags on the items the customers are still getting the thrill of the buy. They can see what their item is going for at their competitor’s location, and impulse buy. This helps eliminate â€Å"showroom† shopping. Or leaving to check their prices somewhere else. If it is a matter of a few dollars they will not go back to purchase. However, if they can see the deal they will buy. Instead of focusing on expanding a business inside of an already expanding business I would have spent the money elsewhere. Imagine if they could have established new rules for buyers. Gone back to JC Penney’s original roots and prove their claims. It could have created new financing and lay-away policies that communicated value, and used social media to create meaningful communities of consumers who wanted to track and participate in conversations about prices. Employees could have been recruited and trained to offer a fundamentally new customer experience based on integrity. They could have changed the way Americans shop and feel they should stop. I would not have wasted money on an advertisement that was bewildering. I would have spent money marketing on calling competitors out on their prices. Sharing the news on how Penney’s was changing. How they were forward looking. Instead of making confusing ads with no sales just to avoid the word sale I wouldn’t have tried to stay away from it. Since they were still doing sales but not doing sales on certain items. Limiting the sales options were not the problem the problem was using unfamiliar wording. Measuring some of these techniques could be hard to do. Going back to traditional wording would be one way that is hard to track. However, I believe it would go hand in hand with how you would track the new price tags. That would be sales. With these new changes and advertisements I would think that sales would increase. I would not look at the actual accounting book but do a twelve month comparison on the sales on each individual store. This is time consuming and costly but I think it is the only way to see how each store is doing in comparison to how they were doing the previous month and year. During high sale times I would make sure I would have as much staff as possible on the floor to assist our customers. Maybe they do not need help but a casual conversation can lead into why they came into this department store and not the one across the way. Along with this I would like to institute team meetings once a week where department heads meet with their front line employees on all shifts. To find out their ideas and where they are hearing concerns are. Then I would have them write them up and do a teleconference with each store head to hear these ideas, questions, or concerns. I feel this is an open door policy. I would also include suggestion boxes not only in the store, but in the break room for employees so they could bring these up anonymously if they felt the need to. Also, I would work on getting the contact information to employees for everyone in charge. Change can happen and many great ideas come from the front line, because they see and do it every day. However, their voices are not often heard. To measure the effectiveness of advertising I would do a few things. I would add a survey at the end of their receipt to figure out what they thought about the advertisement. I would also add a quick questionnaire in the store that the customer could fill out. I would also make it known that there is a number they can call at any time with questions. I would make it so that they could be heard with questions and concerns. Before I launched a campaign I would have a test market so that we could see what people could recall from the add, as well as find out if there was any confusion on what may have been advertised. The sales would play a large part also in whether it was an effective campaign. A company that has been operating for 100 years is struggling. JC Penney ’s was once a fashion icon to children, young adults, and teens. Beginning in 1913 it currently operates over 1000 stores. Growing up my sister and I waited to go through their catalogue. However, in the last few years something has changed. The company didn’t look far enough ahead to the future to predict these changes. They tried to become a higher end boutique like store in an economy that could not support it. Poor marketing and too many changes has made this one booming store one of the top ten stores that are predicted to be out of business in the next year. Works Cited Baskin, J. (2013, January 2). Lessons From JC Penneys Doomed Marketing Makeover. Retrieved May 12, 2013 , from Forbes: http://www. forbes. com/sites/jonathansalembaskin/2013/01/02/lessons-from-j-c-penneys-doomed-marketing-makeover/ Tuttle, B. (2012, June 19). More Troubles for JCPenney: Top Executive Departs Amid Sales Slump. Retrieved May 12, 2013, from Time Magazine: http://business. time. com/2012/06/19/more-troubles-for-jcpenney-top-executive-departs-amid-sales-slump/

Study Of Variable Valve Timing Engineering Essay

Study Of Variable Valve Timing Engineering Essay Variable Valve Timing is a mechanism in which the lift, duration or timing of either the intake or exhaust valves or both can be altered in several combinations during engine operation. This is not possible for an engine with fixed intake and exhaust valves. An engine with VVT installed helps in improving engine performance over a wider range of the engine operating spectrum. In this paper, the effect of VVTs on gasoline as well as diesel engines were discussed and also compared to their series counterparts. For a diesel engine, it was observed that with the introduction of a VVT, higher fuel-line and combustion pressures were achieved with inadvertently led to a better engine performance along with lower smoke density and higher torque at low speeds. Minute variations in CO, NOx and PM emissions were observed. However at full-load operation, NOx emissions had increased marginally. In the case of the gasoline engine, it was observed that there wasnt any significant improvement in the CO and NOx emissions. However, the engine torque had increased particularly at low speeds and at partial load. This was complimented by a decrease in Brake Specific Fuel Consumption (bsfc). INTRODUCTION The valves in 4-Stroke IC Engines are mostly spring operated [1]. The opening and closing of these valves is governed by the crankshaft which is connected to the valves through an intermediary camshaft which is attached to every valve through a cam. The amount of fuel that enters the combustion chamber is dependent upon valve timing. The camshaft is connected to the crankshaft by using any one of gears, chains or belts. In conventional engines without VVT, the cam lobe shape and position as well as it profile are tuned for a particular engine speed and this usually compromises high-end torque or low-end power. However, with the introduction of VVT, the cam characteristics, e.g. timing, can be altered. Thus, this allows for better engine efficiency and power at variable engine speeds [2]. This is useful especially at high speed operation where a car requires more air in order to deliver the required power. If lesser amount of air were to be entered at high speeds, there would a considerable decrease in performance. However, if the valves were to be kept open for a longer duration, there would be a case of incomplete combustion inside the combustion chamber at low speeds since the pressure required to attain proper combustion of fuel is insufficient. This again results in reduced engine performance as well as an increase in fuel emissions [2]. Modern emission regulations set by various governments have forced several manufacturers to adopt VVT in their engines. Most of the current car manufacturers have adopted VVT engine systems. The popular VVT mechanisms are classified into purely mechanical, electro-mechanical and hydraulic. Purely mechanical VVT systems are further classified into Oscillating Cam, Eccentric Cam Drive, Three-Dimensional Cam Lobe and Two Shaft Combined Profile [2]. TYPES OF VVTs Purely Mechanical In this type of VVT, the valve timing is operated by mechanical means. It is further subdivided into: Oscillating Cam This method involves using either a conventional cam lobe or an eccentric and connecting rod which generates oscillatory motion on part cam lobe which is connected to the follower and thus, the valve. The part lobe is made up of a section each of base circle and lobe flank. The position of the part cam lobe can be varied depending on whether zero lift and zero position are required in which case the part cam lobe is completely base circle. The exact opposite situation is maximum duration at full lift in which case it is fully flank. BMWs Valvetronic, Toyota Valvematic( both conventional) and Nissan VVEL( eccentric and connecting rod) are variations of this method. The Valvetronic is very dependable however the lift duration is dependent on amount of lift. Hence its only used on intake valves. The Valvematic and the VVEL are more compact while delivering the same performance as the Valvetronic [2]. Eccentric Cam Drive The Rover Company is the only company in history to have ever used this version of VVT. In this method, an eccentric disc mechanism is used which can vary the angular speed of the cam. The lesser the angular speed, the greater the duration of lift. The disadvantage of this method is that its expensive as each valve requires its own controller [2]. Three-Dimensional Cam Lobe This system comprises of an axially elongated cam lobe which has shorter duration profile and a greater duration profile at either ends. Thus, valve lift duration can be varied by tilting the cam lobe axially. However, such a system requires the follower to tilt in various directions as the lobe flanks of the cam lobe are not parallel to the axis of rotation of the camshaft. This problem has never been rectified which is why its not used commercially [2]. Two Shaft Combined Profile In this system, two closely arranged camshafts are used. The angular positions of the camshaft with respect to the crankshaft can be arranged by using a phasing mechanism. A follower connects both camshafts and is operated by the two lobes simultaneously. The two lobes are used for the intake and exhaust valves respectively. The disadvantage of this system is that the settings on one lobe may affect the other thus tampering the entire system. It has yet to be used commercially [2]. Electro-mechanical Camless engines use this type of VVT in which the valve opening and closing is achieved by using electro-magnets. The disadvantages of this systems are : deceleration of the valve is hard to achieve, springs used in the valves have to adjusted to the smallest of margins and finally, the use of electromagnets reduces the engine efficiency [2]. Hydraulic Another system developed as an alternative to cam engines. In this system, the pressure of the liquid is used to activate valves. However, this system has its disadvantages. The energy required to operate a highly active hydraulic system under different circumstances is very high. The viscosity of the hydraulic fluid can vary over different temperatures. The use of springs deters high engine speed generation. The adequate operation of this system requires the aid of powerful computers and accurate sensors [2]. GASOLINE ENGINES WITH VVT INSTALLED VVT was installed in a gasoline engine and it was observed that for optimal performance, the inlet valve the inlet valve closing(IC) and the exhaust valve(EC) opening periods have to be optimised. The maximum temperature and pressure obtained in the combustion chamber is a result of IC optimisation. Optimal timing for each valve is dependent on engine speed. This characteristic is shown for both IC and EO at part load as well as full load through figures 1 and 2. C:UsersUSERDesktopoptimal EO vs engine speed.png Figure 1 Optimal EO Vs Engine Speed[3] C:UsersUSERDesktopOptimal IC vs engine speed.png Figure 2 Optimal IC Vs Engine Speed[3] Figures 3,4,5 and 6 compare Torque produced, bsfc, CO emissions and NOx emissions respectively for a normal engine and an engine with VVT installed at full load. C:UsersUSERDesktopTorque vs engine speed, full load petrol.png Figure 3 Torque Vs Engine Speed at full load C:UsersUSERDesktopbsfc vs engine speed,full load petrol.png Figure 4 bsfc vs Engine Speed at full load[3] C:UsersUSERDesktopCO emissions vs engine speed, full load petrol.png Figure 5 CO emissions Vs Engine Speed at full load [3] C:UsersUSERDesktopCO emissions vs engine speed, full load petrol.png Figure 6 NOx emissions Vs Engine Speed at full load [3] Its observed that VVT has little or no effect on the CO or NOx emissions. However, the torque produced has increased by 6% accompanied by a bsfc decrease of 2% [3]. Similarly at part load, the torque produced, bsfc, CO and NOx emissions were compared for both engines and the results are indicated in figures 7,8,9 and 10 respectively. C:UsersUSERDesktopTorque vs engine speed, part load petrol.png Figure 7 Torque produced vs Engine Speed at part load[3] C:UsersUSERDesktopbsfc vs engine speed, part load petrol.png Figure 8 bsfc vs Engine Speed at part load [3] C:UsersUSERDesktopCO emissions vs engine speed, part load petrol.png Figure 9 CO emissions Vs Engine Speed at part load [3] C:UsersUSERDesktopNOx emissions vs engine speed, part load petrol.png Figure 10 Nox emissions Vs Engine Speed at part load [3] At partial load, its observed that the torque increases by 4% and 3% when the engine is rotating at 2000rpm and 5000rpm respectively complemented by a bsfc decrease of 6% and 14%. The main advantage of the VVT for a gasoline engine is maximum torque can be achieved at a lower speed of rotation [3]. DIESEL ENGINES WITH VVT INSTALLED There are a number of factors which have hampered the research of VVT in diesel engines. Two of those factors are the complexity of VVT technology and the rapid evolution of diesel engine technology. Due to the lean nature of air fuel mixture, diesel engines emit much less CO as compared to their gasoline counterparts. This is because of the absence of unburnt hydrocarbons in the mixture. However, due to higher temperatures involved in diesel engines owing to higher compression ratios, NOx are much more prominent as compared to gasoline engines [4]. Since diesel engines operate under higher compression ratios, the gap between the valves and the top of the piston at Top Dead Centre (TDC) is very minimal. Therefore, the VVT has to be designed such that there is no contact between the valves and the piston. Figure 11 shows the variation of torque with engine speed by only varying the inlet valve closing C:UsersUSERDesktoptorque vs speed, IC diesel.png Figure 11 Torque Vs Engine Speed at full load with inlet valve closing control [4] It is observed particularly at low engine speeds that the maximum torque increases at low speeds. In this case, there was a 6% increase in torque at 1000rpm and 8% increase at 1600rpm. A similar pattern is observed by controlling the exhaust valve opening (EO) as well as the combined control of EO and IC. This is indicated in figures 12 13 repectively. C:UsersUSERDesktopTorque vs engine speed EO diesel.png Figure 12 Torque Vs Engine Speed at full load with EO control [4] C:UsersUSERDesktopTorque vs engine speed EO,IC- diesel.png Figure 13 Torque Vs Engine Speed at full load by controlling EO IC At part load is was observed that by closing the inlet valve before Bottom Dead Centre (BDC), the bsfc had reduced [4]. Figure 14 shows the effect of IC timing on effective compression ratio after the installation of VVT. C:UsersUSERDesktopCompression ratio IC- diesel.png Figure 14 Effect Of IC Timing On Effective Compression Ratio [4] It is clear from figure 14 that by advancing the IC after BDC the compression ratio increases inside the combustion chamber. CONCLUSION The need for Variable Valve Timing has been discussed in detail. The various types of VVTs popularly have been discussed briefly. Most of modern vehicles use VVTs mainly due to legislation. The effect of using VVT in a gasoline as well as a diesel engine was analysed and explained accordingly. It was noticed that though there wasnt any appreciable decrease in emissions, the maximum torque produced was attained at a lower speed compared to their series counterparts. Also, the bsfc in both cases had been reduced.

The operations and business model of McDonalds

The operations and business model of McDonalds Mission McDonalds brand mission is to be our customers favorite place and way to eat. Our worldwide operations have been aligned around a global strategy called the Plan to Win centering on the five basics of an exceptional customer experience People, Products, Place, Price and Promotion. We are committed to improving our operations and enhancing our customers experience. This is from http://www.aboutmcdonalds.com/mcd/our_company/mcd_faq/student_research.html?DCSext.destination=http://www.aboutmcdonalds.com/mcd/our_company/mcd_faq/student_research.html#13 Vision We envision a supply chain that profitably yields high-quality, safe products without supply interruption while leveraging our leadership position to create a net benefit by improving ethical, environmental and economic outcomes. Ethical We envision purchasing from suppliers who follow practices that ensure the health and safety of their employees and the welfare and humane treatment of animals in our supply chain. Environmental We envision influencing the sourcing of our materials and ensuring the design of our products, their manufacture, distribution and use minimize lifecycle impacts on the environment. Economic We envision delivering affordable food, engaging in equitable trade practices, limiting the spread of agricultural diseases, and positively impacting the communities where our suppliers operate. We view this vision and its responsibilities holistically. As sourcing decisions are made, we consider our priorities for food safety, quality and costs, as well as our ethical , environmental and economic responsibilities. Our progress on beef and coffee sustainability illustrate how we are working to bring this approach to life. This is from http://www.aboutmcdonalds.com/mcd/csr/report/sustainable_supply_chain/our_approach.html?DCSext.destination=http://www.aboutmcdonalds.com/mcd/csr/report/sustainable_supply_chain/our_approach.html Evaluation Blah,. Blah, blahà ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦.. Operations and Business Model McDonalds is the worlds largest foodservice retailing chain. It operates approximately 32,000 restaurants in over 100 countries and is one of the worlds largest food service retailing chain, preparing, and serving a range of food products and beverages. All restaurants are operated either by the company or by franchisees, including conventional franchisees under franchise arrangements, and foreign affiliated markets and developmental licensees under license agreements. The companys business is divided into four geographic segments: Europe, the US, APMEA (Asia, Pacific, Middle East and Africa), and other countries and corporate. Other countries and corporate includes Canada and Latin America, as well as corporate activities and certain investments. McDonalds restaurants offer a standardized menu, although there may be geographic variations. McDonalds makes their revenues in three ways; Retail sales, Franchise fees and lease agreements for property they own (leasing the property back to the franchisee) I DONT KNOW WHERE THIS CAME FROMà ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦..(I have this one Clint) This came from DataMonitor Company Profile retrieved 6/3/10 saved in the M Drive as McDonalds Company Profile Evaluation à ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦The Ford paper was about this short with no moreà ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦. Financial and Performance Evaluation Outperforms the industry in revenue and net income growth Higher profit margins than the industry and the SP. Liquidity within range of competitors Less levered than the rest of the industry Highly efficient in turning inventory Financials have been generally trending upward http://moneycentral.msn.com/investor/invsub/results/compare.asp?Symbol=US%3aMCD Evaluation The combination of high margins and efficient inventory turnover has allowed McDonalds to outperform the rest of the industry by almost all accounts. The low debt and high interest coverage indicates that the company should not have difficulty in meeting its obligations. As a result, McDonalds was issued a credit rating of AA- by Moodys, the highest credit rating ever given to a fast food restaurant (http://quicktake.morningstar.com/stocknet/san.aspx?id=325610). Same store revenues have been increasing quarter over quarter and year over year, assisted by strong sales in countries other than the US. Despite the recent recession, McDonalds has performed well and seems poised to capitalize on the opportunity. Macro Environment Key Trends Economy Global economic issues from the US stock market, to Greece, to Chinas economic slowdown Potential weak dollar/poor exchange rates Varied market conditions per country Technology Different cultures want different foods/ menus than U.S so must invest in RD Political/Legal Ever changing climates with 100 governments to deal with Varied laws (trade, finance, safety, labor, etc.) Socio-Cultural The rest of the world wants what the U.S. has and food is one of the items Pressures to have healthier foods Demographics More baby boomers Recent higher unemployment New demographics to deal with (Brazil, Russia, India, China) Globalization People say they want to loose weight, but most people are gaining it Natural Environment Pressures to go green (packaging, reduced carbon footprint, etc.) Threats Continued competition Impression they only sell unhealthy foods Poor economic conditions and global unrest Opportunities Expand in the coffee (McCafe) market Continue with healthier foods and lifestyles Partner with retail chains (i.e. like Starbucks has done with grocery stores and Target) These are our thoughts, so no reference, agree!! Evaluation Industry Analysis McDonalds is in the quick service restaurant segment and its defined as the sale of food and drink for immediate consumption either on the premises or in designated eating areas shared with other foodservice operators, or for consumption elsewhere. Their main competitors are Burger King and Wendys/Arbys. The global fast food market generated total revenues of $154.7B in 2008, representing a compound annual growth rate (CAGR) of 6.6% for the period spanning 2004-2008. The performance of the market is forecast to decelerate, with an anticipated CAGR of 5.3% for the five-year period of 2008-2013. Reference is the Datamonitor paper Five Forces Substitutes (Moderate) Home cooking Convenience stores Grocery Stores (i.e. salad bar, pre-cooked diners, etc) Suppliers Power (Low) No uniqueness to products Raw materials readily available Switching costs are low Buyer Power (High) Buyer Independence Low switching costs Tendency to switch New Entrants (Low) Local franchise may be impacted by competition, but not nationally/globally Too much capital needed to compete with McDonalds Hard to match branding power Rivalries (High) Little product differentiation Little price differentiation Many competitors These are our thoughts, so no reference, agree!! I agree, unless you want to reference Grant textbook. Market segment Strategic Groups / Competitors by Market (DM) Consumer Packages Good Industry Food (Cargill, Inc., Nestle SA, The Proctor Gamble Company, Japan Tobacco, Inc., Unilever) Leisure and Arts Industry Hotels and Restaurants (TUI AG, Jardine Matheson Holdings Limited, Compass Group PLC, Sodexo S.A,., Burger King Corporation) Food Service (Compass Group PLC, Sodexo S.A., Loews Corporation, ARAMARK Corporation) Fast Food Restaurants (Yum! Brands, Inc., Autogrill S.p.A., Chick-fail-A, Inc., Jack in the Box Inc., Wendys/Arbys Group) Kristie found thisà ¢Ã¢â€š ¬Ã‚ ¦..I found this at Datamart retrieved 7/10/10 Competitor Analysis McDonalds Burger King Wendy/Arbys Strategy Cost leadership (low cost, industry wide) strategy Strategy is to offer menu variety at affordable prices such as Happy Meals, budget-minded Value Menu, espresso coffee drinks, fruit smoothies, premium chicken sandwiches and salads, our premium sandwiches that come with chicken, or grilled chicken as a choice in terms of managing calories Restaurant development strategy is to pick locations within the marketplace to expand its target customers such as restaurants in local neighborhoods as well as at airports, malls, toll ways, and colleges. (DM) Large scale of operation and ability to customize menu provides the ability to penetrate upcoming markets with minimal effort and enhances its revenue generation capacity (DM) De-emphasize Partner Brands concepts in order to focus on the McDonalds brand (SP) Cost leadership (low cost, industry wide) strategy Strategy is to focus its product development and marketing to customers in the 18- to 34-year-old male demographic. It has added a number of premium-priced items to its menu, including the Steakhouse Burger made with Angus beef. (Hoovers) Uses a number of online marketing techniques, including viral videos, to reach its target audience (Hoovers) Cost leadership (low cost, industry wide) strategy (WA, DM) Improving several core products such as sandwich buns, French fries and bacon by differentiating in quality in the QSR hamburger segment. (WA, DM) Focus on our fresh, never frozen beef and premium chicken. (WA, DM) Install a disciplined product development and testing process (WA, DM) Objectives Compete in the global fast food industry continue its Plan to Win corporate strategy that it commenced in 2003 (SP) Fixing operating inefficiencies in existing restaurants; taking a more integrated while focusing on growth, with an emphasis on increasing sales, margins and returns in existing restaurants; and ensuring the right operating structure and resources are aligned with priorities that create benefits for customers and restaurants. (SP) Customize product to suit tastes and preference of consumers in local markets (DM) Well-positioned to expand global footprint, invest in reimaging program and deliver operations excellence every day. Marketing campaigns and menu options will focus on the brand equities that provide a distinct competitive advantage flame-broiled taste, quality and size at affordable prices. (DM Wendy) Long-term strategies remain on course and committed to respond to an ever-changing consumer dynamic. Same-store sales growth by increasing transactions and average check. Margin expansion through advanced operational execution and control of costs. Begin a rollout of a Breakfast menu to attract market share in day segment. New restaurant development with an emphasis on franchise growth. Expand internationally in markets such as Latin America, the Middle East, and Asia- Pacific. Assumptions International segment has supplied much of its earnings growth over the past two decades (SP) Diversified geographic presence provides opportunity to gain from economic growth in emerging markets (DM) Restaurants sub-industry is negative and will continue as high jobless ratios and an ongoing troubled housing market (SP) The full-service restaurant segment will be negative specifically for the restaurant locations in states where the housing markets prices are weak and unemployment is above the national average causing continued pressure on sales and customer preference for less expensive menu choices. (SP) Challenging consumer environment will continue due to high unemployment levels resulting in a reduction in out-of-home eating expenditures. Resources 385,000 Employees (SP) Cash 1,796 Million (SP) 41,320 Employees (SP) Cash 122 Million (SP) 67,500 Employees (SP) Cash 592 Milliom (SP) Kristie found thisà ¢Ã¢â€š ¬Ã‚ ¦..everything in the boxes above I saved the Company profiles on the M drive. I used the company profiles from Datamonitor (DM) for McDonalds, Wendys/Arbys Group, Inc, and Burger King Corporation retrieved 7/3/10. Hoovers: Burger King Holdings, Inc. (15 July). Hoovers Company Records,54531. Retrieved July 3, 2010, from Hoovers Company Records. (Document ID: 168241971). SP: McDonalds Corp. (20 July). Standard and Poors NetAdvantage Company Profile. Retrieved July 3, 2010, from Standard and Poors NetAdvantage Company Profile. Burger King Holdings, Inc. (20 July). Standard and Poors NetAdvantage Company Profile. Retrieved July 3, 2010, from Standard and Poors NetAdvantage Company Profile. Wendys/Arbys Group. (20 July). Standard and Poors NetAdvantage Company Profile. Retrieved July 3, 2010, from Standard and Poors NetAdvantage Company Profile. Evaluation Company/Division Analysis WE PROBABLY NEED TO CHANGE THIS/MAKE IT OURS, NOT SO MUCH FROM THE ANNUAL REPORT. Key Resources Tangible Financial (cash securities, borrowing capability) Revenues exceed $22,700 million 2009 comparable sales increase marked the sixth consecutive year of positive sales in every geographic segment of our business. Physical (plant, equipment, land) Operated in over 100 countries; 32,478 McDonalds restaurants 80% of McDonalds restaurants worldwide owned and operated by independent local men and woman Natural Resource Has some agriculture operations in Russia Intangible Technology (software, patent, copyright, trade secrets, data) Product/Menu Innovation customizes its product to suit tastes and preference of consumers in local markets companys product line in India comprise of non-beef based burgers Developmental license Local entrepreneur owns the business, including control of the real estate, and uses their capital and local knowledge to build the McDonalds Brand and optimize long-term sales and profitability. The company collects a royalty, which varies by market, based on a percentage of sales Reputation (brands, relationships) Well-established brand that appeals to all customers of all age groups and nationalities 1 Provides acceptability in new markets 1 2009 6th place in the top 100 global brands Predictable value, family fun and familiar taste Culture Leadership culture that embraces change and rejects complacency Continually focused on what is working and then leveraging our scale around the world for the overall good of their customers and their System. Human Resources Skill / know-how / Training at McDonalds University Relationship Strength of the alignment between the Company, its franchisees and suppliers (collectively referred to as the System) has been key to McDonalds success over the years. This business model enables McDonalds to consistently deliver locally-relevant restaurant experiences to customers and be an integral part of the communities we serve. In addition, it facilitates their ability to identify, implement, and scale innovative ideas that meet customers changing needs and preferences. Motivation McDonalds customer-focused Plan to Win-which is centered around being better, not just bigger-provides a common framework for our global business yet allows for local adaptation. Through the execution of multiple initiatives surrounding the five Key drivers of exceptional customer experiences-People, Products, Place, Price and Promotion-they have enhanced the restaurant experience for customers worldwide and grown sales and customer visits in each of the last six years. This Plan, coupled with financial discipline, has delivered strong results for shareholders. Capacity for communication and collaboration Cross-fertilization of ideas and innovations, our leaders are better able to assume new challenges and responsibilities on behalf of the Company. Kristie found this aboveà ¢Ã¢â€š ¬Ã‚ ¦Found this on McDonalds Annual Report 2009 Retrieved 6/4 Saved the file in the M Drive as McD_2009_AR_Final_032910.. Capabilities/Value Chain Primary Inbound Logistics No difference from competition Operations (Competitive Qualifier) Makes food as fast as competition Outbound Logistics (Competitive Qualifier) Located in Metro areas, easy to drive into/out of, one on every corner (per se) Marketing/Sales (Value Add) Gives customers more options (hamburgers, salads, coffee, deserts, etc.) along with free Wi-Fi, and is more recognizable than competition Secondary Infrastructure Did not find and advantage or disadvantage Human Resource Management (Value Add) Has McDonalds University for Management, others do not Technology (Value Add) Come out with new products first. I.e. Big Mac, Breakfast foods, coffee, now smoothies Procurement (Competitive Qualifier) Owns/grows little to none, buy and assembles everything Customer Service They have Customer Service like the competition Our thoughtsà ¢Ã¢â€š ¬Ã‚ ¦.. Core Competencies The bundle of resources and capabilities that add value to a customer and may serve as a source of sustainable competitive advantage. It is answered by the follow Established Yes. McDonalds is a global company that started over 70 years ago and is still growing. Tremendous branding. Sustainable Yes. They actually grew and made profits during the recession of 2008 and continue to outpace the competition by nearly 8 fold over Wendys/Arbys and 10 fold over Burger King REFERENCE http://www.dailyfinance.com/quotes/mcdonald-s-corporation/mcd/nys Inimitable the products, yes, the experience no. They have come out with new products first (i.e. competitive coffee, healthier foods, etc.) and have the branding that the competitors cant touch. Ronald McDonald is second to Santa Claus in recognition. Our thoughtsà ¢Ã¢â€š ¬Ã‚ ¦..(one reference above) Evaluation VII. Corporate Social Audità ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦..This was less than a page for FORDà ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦that is because they know what they are doing and I dont  Ã…   lol. THINK WE NEED TO SCALE THIS DOWN, APPLY TO CONCEPTS IN THE BOOK. MAKE IT NOT FROM MCDONALDS VIEW, BUT OUR VIEW. sustainability project to improve conditions for farm workers in the Florida tomato industry in 2007, which in turn promotes good environmental practices in its land-based agricultural supply chain and makes the farm a sustainable business. Although McDonalds purchases only 1.5% of Floridas tomatoes annually, McDonalds and its suppliers instituted industry-leading grower standards that improved working conditions in these farms and made the farm a sustainable business. http://social-corporate-responsibility.suite101.com/article.cfm/corporate-social-responsibility-at-mcdonalds Flagship Farms Initiative (FAI) in Europe. The program showcases seven progressive farms employing innovative farming practices across Europe and carries out research into how ethical farming practices can be incorporated into commercial farming systems. http://social-corporate-responsibility.suite101.com/article.cfm/corporate-social-responsibility-at-mcdonalds Sustainable Fisheries program which is in collaboration with the Sustainable Fisheries Partnership. This program defines sustainability standards that guide all of McDonaldss purchases worldwide for wild-caught fish that goes into making those Fillet-o-Fish and make the relevant fishery a more sustainable business. http://social-corporate-responsibility.suite101.com/article.cfm/corporate-social-responsibility-at-mcdonalds In 2005, the Center launched a new unique educational opportunity, in partnership with fast food giant McDonalds, giving Haas MBA students first-hand exposure to the myriad CSR challenges businesses face on a daily basis. The program is known as the McDonalds Research Fellows in Corporate Responsibility (CSR) Program. Through research, stakeholder engagement and intensive field experiences, a globally diverse team of second-year Haas MBA students conduct a deep stakeholder engagement study on McDonalds CSR activities giving the company a fresh perspective and new insights into its business. As part of McDonalds Open Doors program, the main goal of the CSR Fellows program is to expose the students to McDonalds business and create opportunities for the company to engage and interact with various stakeholders. The corporate-sponsored program provides research fellowships to each student. Recipients are known as McDonalds Fellows. The fellows work closely with a faculty director on the study and produce several key deliverables that may be used broadly and at the discretion of McDonalds (web, companys corporate responsible reports, etc.). http://responsiblebusiness.haas.berkeley.edu/McDonaldsCSRFellowsProgram.html Educate and communicate with our supply system about sustainability: Through the use of targeted communication tools, an internal website, and training opportunities, we have achieved a greater understanding of, and alignment around, sustainability, including how it drives our business. Continue to integrate environmental considerations into our packaging design through rollout of our global packaging scorecard into our nine largest markets: The Eco-Filter 2.0 (our packaging scorecard) has been implemented in each area of the world. Packaging designers have been trained in its use. The scorecard is being used to incorporate environmental considerations, in addition to other business criteria. Increase the number of Hamburger University certified restaurant managers: We continue to focus our efforts on increasing the numbers of restaurant managers who are HU graduates with positive success. The percentage of restaurants in our top nine markets with managers who were graduates of HU in 2008 was 93.3%. Develop a comprehensive global forestry policy that will apply to all products we purchase: We developed a global Sustainable Land Management Commitment (SLMC), using a rigorous process that included global internal, supplier, and NGO input. Initial communications efforts are focused internally and with our supplier community. Measure environmental impacts in our supply chain : By the concluon of 2009, the Environmental Scorecard (ES) should be completely rolled out to all of our direct suppliers of beef, poultry, pork, potatoes and buns in McDonalds top nine markets. The ES measures water, energy, waste and air emissions metrics and promotes continuous improvement. In addition, an initial estimate of our supply chain carbon footprint is underway and will be completed in early 2010. Further rollout of our global forestry standards for consumer packaging, expanding into other Areas of the World, specifically the U.S. and Asia Pacific, Middle East, and Africa (APMEA). : The APMEA market has partially implemented our forestry standards for consumer packaging, with full adoption planned by the end of 2009. As of the end of 2008, the North America market had completely rolled out the standards. Taken from McDonalds Corporate Responsibility Online Report, PAGE 2 I saved a hard copy of the report on the M Drive. Retrieved 7/1/10 http://www.aboutmcdonalds.com/mcd/csr/report/overview.-RightParaContentTout-43872-ReportsLinkList-44436-File1.tmp/McDonalds%202009%20Global%20CR%20Report%20Overview.pdf Innovative menu In many markets, customers can mix and match main course, side beverage and dessert choices to create custom-tailored Happy Meals. Yogurt desserts with fruit are also available in most of the major markets, as are sugar-free soft drinks. 100% fruit juice is also on a number of menus worldwide. Market-level offerings include: McDonalds France offers a choice of entrà ©es, three side dishes, fruit bags, nine beverages and four desserts. Sides include cherry tomatoes and two types of potato offerings. Beverages include bottled water, two juice options with no added sugar, and two soft drinks with no sugar. For dessert, customers may choose a drinkable applesauce, a yogurt drink or sliced fruit. Happy Meal choices in the UK include carrot sticks, bottled water, juice, a soft drink with no sugar added, along with a fruit bag side/dessert and semi-skimmed, organic milk. In Hong Kong, Happy Meal choices include whole grain corn as side and for beverages, juice, low- fat milk, or soy milk. In the U.S., Happy Meals can be ordered with Apple Dippers and 100% apple juice or 1% low-fat milk as a beverage. McDonalds Australia Happy Meal offerings include the Seared Chicken Snack Wrap, Apple Slices, Apple Juice, Low Fat Calcium Enriched Chocolate Milk and a Sparkling Fruit Juice Drink (Apple Blackcurrant). Taken from McDonalds Corporate Responsibility Online Report, PAGE 11 I saved a hard copy of the report on the M Drive. Retrieved 7/1/10 Our Global Advisory Council (GAC) is an international team of independent experts assembled by McDonalds to provide us with professional guidance in the areas of nutrition and childrens well- being. The GAC plays a pivotal role in helping us to continuously evolve our thinking and approach in these areas. GAC members provide us with valuable insights, direction and recommendations about how to continue delivering a more beneficial and valuable experience to children and families. Adam Drewnowski PhD, MA; Prevention Treatment of Obesity, University of Washington at Seattle, WA Paul Gately McDonalds makes charitable contributions through the Ronald McDonald House Charities (RMHC) which aims to create, find and support programs that directly improve the health and well being of children. According to Clara Carrier of Ronald McDonald House Charities, in particular, the Ronald McDonald Care Mobile attempts to ensure that children in vulnerable communities can receive state-of-the-art medical and dental treatment to improve their health and strengthen the whole family. This health care on wheels program attempts to change childrens lives and improve communities along the way. http://social-corporate-responsibility.suite101.com/article.cfm/corporate-social-responsibility-at-mcdonalds Accelerate and expand food and beverage choices for kids: We remain committed to working with our suppliers and partners to test and introduce new food and beverage items for kids on a market-by-market basis. In Spain and Australia this year we expanded the choice of Happy Meal entrà ©e items with the introduction of a new kids sized grilled chicken snack wrap, while in Portugal we launched carrot veggie rolls. On the beverage front, we introduced new fruit beverages across Latin America and in Australia and continue to look for other refreshing options appropriate for kids. Continue to enhance childrens well-being through programs and initiatives that provide fun with a Purpose: We have leveraged the characters from our Happy Meal promotions to encourage fruit, vegetable and dairy purchases and to inspire kids to be active and creative and will continue to do so in the coming years. In 2008, many McDonalds markets, including Australia, Brazil, China and Japan, created robust opportunities for kids to experience the Beijing Olympics, whether it was as an athlete escort at the Games or sponsoring local athletic initiatives. Along with continuing to support local grassroots efforts, we use Ronald McDonald at restaurants to encourage kids to participate in activities that activate their body, mind and spirit. Continue to provide useful nutrition information in ways most relevant to todays consumers: In many markets around the world, we have enhanced our merchandising efforts to make it easier for parents to make balanced food choices for themselves and their kids. In all of our top nine markets, we continue to invest in making nutritional information available in the store, as well as online. Taken from McDonalds Corporate Responsibility Online Report, PAGE 12 I saved a hard copy of the report on the M Drive. Retrieved 7/1/10 VIII. Competitive Positionà ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦.this is the box (low cost, differentiator, etc.) Low Cost Differentiator Broad Focused I now think they are in this box. They are definitely focused of just fast food, yet they are not always the lowest. They want people to visit them because the have the best fries, the best coffee, wi-fi, etc. I sent Bryant a message on thisà ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦. These are our thoughtsà ¢Ã¢â€š ¬Ã‚ ¦.. IX. Corporate Strategy Clint working on Vertical Integration Partially or Quasi Franchise provide portion of capital required by initially investing and reinvesting in the business over time Owns the land and buildings or secures long-term debt leases for both McDonalds operated and conventional franchised restaurants sites These are our thoughtsà ¢Ã¢â€š ¬Ã‚ ¦.. Geography/International Strategy Clint working on Lines of Business Extent of diversification None What kind of diversification None How do they do it None Experience (good/bad) None Future (when/where) NA These are our thoughtsà ¢Ã¢â€š ¬Ã‚ ¦.. Evaluation Structure Org structureà ¢Ã¢â€š ¬Ã‚ ¦Ãƒ ¢Ã¢â€š ¬Ã‚ ¦. REFERENEC found in the 2009 annual Reportà ¢Ã¢â€š ¬Ã‚ ¦ http://www.aboutmcdonalds.com/etc/medialib/aboutMcDonalds/investor_relations0.Par.6540.File.dat/McD_2009_AR_Final_032910.pdf Evaluation XI. Strategic Recommendations Will be our thoughtsà ¢Ã¢â€š ¬Ã‚ ¦.

The Effects of Alcohol Essay -- Papers Alcohol Drinking Liquor Essays

The Effects of Alcohol Works Cited Not Included Alcohol is a substance that has numerous diverse affects on the body-both positive and negative. Alcohol not only kills brain cells, but when taken in profusion it has almost no constructive affects. Sure it can make one overlook his/her problems, but the consequences of drinking in excess far outweigh the benefits. It is not a crime to get drunk, however alcohol will almost always cause one to conduct them self in a way he or she would not normally behave. For instance, a sober man will not usually drive ninety-five mph down I-95, however, after consuming a good amount of alcohol, his eyesight, judgement, reflexes and abilities are hindered to the point that he feels indestructible. Alcohol is a drug, and when abused it has almost no positive affects. It is the most widely used and socially acceptable drug in the world. (Taylor, 6-7) Alcohol abuse is more physically destructive than the abuse of any other popular drug. When much is consumed in a short period of time, alcohol (ethanol) causes immediate changes in the body. First it slows down the workings of the brain. The drinker?s speech may become slurred and his steps staggered. The body?s reflexes become dulled as the nervous system slows down. (Taylor, 14) The drinker does not always realize this and may feel as if he is perfectly capable of normal functioning, but this is not always so. His abilities are impaired and he should not be given responsibility. Alcohol is often incorporated in many different aspects in our society. It is drunk as part of social celebrations such as birthdays, weddings, and parties. It is also drunk as a salve for the emotional pain of rejection and heartache. Alcoholi... ...teens are purchasing alcoholic beverages from irresponsible storeowners. In 1997, it was recorded that 56% of eighth graders have tried alcohol, as well as 71% of tenth graders, 80% of twelfth graders, rising to 88% in college students. These are large numbers when stated that the legal drinking age in almost all fifty states is twenty-one. In conclusion, the public as a whole needs to learn when enough is enough. It is fine to drink, but the key is to drink in moderation. People should not allow themselves to get ?totally trashed? or ?ridiculously wasted?, but drink with maturity. It is not a crime to get drunk, it is the things one does when he/she becomes intoxicated that will get them incarcerated. People will always drink, but there need to be strict laws enforced for the punishment of those who choose not to be responsible while under the influence.

The Meaning of Life :: Philosophy essays

In approaching the meaning of life we have to examine the nature of meaning itself.   Meaning is by definition the point, or the intended goal.   Consider the point of humans and the universe as seen from monotheistic religion.   If life and the universe is some sort of toy or form of entertainment for some prime mover, his point, his own entertainment, would then be the meaning of humans and the universe.   Consider the goals of the deities of various cultures.   Some strive for a balance between the forces of 'good' and 'evil'.   This balance seems to simply be a choice of the deity, the way he thinks it ought to be.   The concept of a prime mover as a source of the meaning of life is flawed, because in talking about an actual point to absolutely everything, we are simply considering the goals of a being more powerful than ourselves who has chosen one of many possible goals that humans can conceive of.   This is to say that, if a god like this exists, his goal for life and the universe is not necessarily valid as a meaning of life, the universe, and himself.   For instance, the Bible claims that the Christian deity created the universe and placed humans in it that they might be in awe of his power.   If this is so, why is worship the correct response?   The meaning of the universe as created by God is the entertainment of God, but what is the meaning of the larger system containing God and his creations?   We could conceive of an even 'primer' mover, but that simply takes us all the way back into the wall of infinite regression.      Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚  Ã‚   When I first read the Bible, it struck me as neutral on the idea of worship.   The Bible flat out tells you that God created humans so that they would be in awe of him, which amounts to saying God created us to inflate his ego.   We are to God as our pets are to ourselves, sources of unconditional love.   In the book of Job, God essentially makes a gentleman's bet with Satan that Job's worship is genuine and not inspired by God's kindness.   In other words, you throw a rock at my dog and I'll swing my arm so it looks I

Nature: A Tool of Society Essay examples -- Natural Advertising Essays

Nature: A Tool of Society William Cronon says in the Epilogue of Natureà ­s Metropolis, à ¬Much as I say I love à ¬natureà ® that word usually remains an abstraction in my daily lifeà ³a non-urban quality of aesthetic or sacred beauty to be looked at and à ¬appreciated,à ® not the gritty web of material connections that feed, clothe, shelter, and cleanse me and my community.à ® (Cronon 384). This can be said for most of the population of urban areas. It is this ambiguous view of nature that makes us susceptible to otherà ­s interpretations of nature. This susceptibility makes nature a powerful force in society. This is especially evident in advertisements, which mold nature into the image that is favorable to portray the product being advertised. The Sony advertisement from Esquire magazine is for the Wega flat screen television, and is a good example of how advertisements use nature to sell a product. This ad shows two very contrasting images, one of the black and white desert, and the other of the television set showing pictures of children playing in the water of a fire hydrant. The use of the television to frame the picture of the children shows very distinctly that these are two very separate and different images, because as Leonardo da Vinci said à ¬There are no lines in natureà ®. In this ad through the use of colors, or the lack there of, this cultural icon is shown to be more favorable than the image of nature. The ad offers the viewer a sense of escape from the dull, monotone world outside by offering a more vibrant, playful world experienced through television. While the link between the images shown in the ad and the offer made by the advertisement seems very surreal, it is a natural link. The reasoning behind this link as being ... ...rural hinterland. We fool ourselves if we think we can choose between them, for the green lake and the orange cloud are creatures of the same landscape. We can only take tehm together and in making the journey between them, find a way that does justice to them bothà ® (Cronon 385). According to Cronon the nature-culture dichotomy that we believe in is incorrect, because nature is just as much a part of culture as culture is a part of nature. Works Cited Cronon, William - short selection from Epilogue, Nature's Metropolis Norton 1991 pp. 384-5. Marlboro Lights. à ¬Esquireà ® January 2001. back cover. Nash, Roderick - 'Old World Roots of Opinion,' Ch 1 from Wilderness and the American Mind 1982 Yale Univ Press pp. 8-22. Sony Wega. à ¬Esquireà ® December 2000. pgs. 17-18. Timberland. à ¬Maximà ® December 2000. pg. Yahoo! Email. à ¬Esquireà ® January 2001.

Foreign Trade of China

Foreign Trade of China K. C. Fung University of California, Santa Cruz Hitomi Iizaka University of California, Santa Cruz Sarah Tong University of Hong Kong June 2002 Paper prepared for an international conference on â€Å"China’s Economy in the 21st Century†, to be held on June 24-25, 2002, Hong Kong. We would like to thank Alan Siu and Richard Wong for their encouragement. 1. Introduction On December 11, 2001, China officially joined the World Trade Organization (WTO) and became its 143rd member. China’s presence in the world economy will continue to grow and deepen. The foreign trade sector plays an important and ultifaceted role in China’s economic development. At the same time, China’s expanded role in the world economy is beneficial to all its trading partners. Regions that trade with China benefit from cheaper and more varieties of imported consumer goods, raw materials and intermediate products. China is also a large and growing export marke t. While the entry of any major trading nation in the global trading system can create a process of adjustment, the outcome is fundamentally a win-win situation. In this paper we would like to provide a survey of the various institutions, laws and characteristics of China’s trade.Among some of the findings, we can highlight the following: †¢ †¢ †¢ In 2001, total trade to gross domestic product (GDP) ratio in China is 44% In 2001, 47% of Chinese trade is processed trade1 In 2001, 51% of Chinese trade is conducted by foreign firms in China2 1 We define processed trade to include both trade due to processing and assembly and trade due to processing with imported materials. Processing and assembly refers to the type of inward processing in which foreign suppliers provide raw materials, parts or components under a contractual arrangement for the subsequent re-exportation of the processed products.Both the imported inputs and the finished outputs remain property of t he foreign supplier. Processing with imported materials refers to the type of inward processing other than â€Å"processing and assembly†. For details, see China’s Customs Statistics Monthly, December, 2001. †¢ †¢ In 2001, 36% of Chinese exports originate from Guangdong province In 2001, 39% of China’s exports go through Hong Kong to be re-exported elsewhere3 The organization of this paper is as follows: in the next section, we provide a general overview of the past institutions and rules governing trade in China.We will also examine the evolution of China’s general trade pattern over time. In section 3, we will study China’s processed trade and trade conducted by foreign firms. In section 4, we study China's trade by province and by regions. In section 5, we focus on China's trade with the world major regions, including Asia, Europe, North America, Latin America and Africa. In section 6, we will examine China's trade with various major t rading partners. In section 7, we discuss China's new trade regime with its entry to the World Trade Organization (WTO).In section 8, we analyze in greater details the trade relationships between China and the United States, China and Japan, China and the European Union, and between China and the Association of Southeast Asian Nations (ASEAN). In section 9, we conclude. 2. Evolution of China’s Trade Regime Since the economic reforms and open door policy started in 1978, there has been a strikingly sharp rise in China’s exports and imports. As is shown in Table 1, between 1978 and 2001, the total value of China’s trade grew at an average annual rate of 15. 5% and export and imports grew at 16. % and 15. 6% per annum, respectively. 2 Foreign firms include Sino-foreign contractual joint venture, Sino-foreign equity joint venture and foreign-owned enterprises. A substantial portion of trade conducted by foreign firms is processed trade. 3 This is obtained by dividin g the value of Hong Kong re-exports that originate from China by the total Chinese exports to the world. In the pre-reform era, China was an insignificant participant in international trade. China’s foreign trade system was a complete state monopoly controlled by the Ministry of Foreign Trade (MOFT).Trade was conducted by product-specific national foreign trade corporations (FTCs) operating under a near total mandatory trade plan. In 1977, China’s total trade volume was $14. 8 billion, which accounted for only 0. 6% of world trade. A series of measure was introduced to promote exports since 1979. They are meant to decentralize foreign trade administration, to reduce the scope of mandatory planning, and to introduce the market mechanism. Compared to the export system, the import system remained relatively unreformed in the 1980s.In addition to import licensing and high tariffs on protected products, almost all import users were subject to a series of administrative meas ure and complicated approval procedure. By the early 1990s, the significance of China’s role in the international economy was transformed. In 1992, its trade volume accounted for 2. 2% of world trade. China’s trade regime has become more transparent with its desire to join the WTO. The control over imports was more relaxed with a reduction on a large number of tariff rates.In 1994, the foreign exchange regime was reformed by abolishing the dual exchange rate system, which was introduced in 1986 with the establishment of the foreign exchange adjustment centers (FEACs), or swap centers. The new regime allowed domestic firms to buy and sell foreign currencies at the official exchange rate. In 1996, the new foreign exchange regime became applicable to foreign enterprises as well. During the years 1997-1998, the adverse effects of the Asia financial crisis became more apparent, and China’s foreign trade was met with unprecedented difficulties. China’s total tr ade went down by 0. 4% and its imports decreased by 1. %, although its exports maintain a small growth rate of 0. 5%. But China’s trade growth accelerated since 1999 with the recovery in the Asian economies. From 1999 to 2000, total trade grew at an annualized rate of 31. 2%. The export value reached $249. 2 billion, up 27. 8% and the import value reached $225. 1 billion, up 35. 8%. In 2001, there is a modest increase in trading activities, with total trade rising by 7. 8%. Equally remarkable are the changes in the commodity composition of China’s exports and imports. Table 2a shows China’s annual export volumes of primary goods and manufactured goods over time.In 1980, primary goods accounted for 50. 3% of China’s exports and manufactured goods accounted for 49. 7%. Although the share of primary good declines slightly during the first half of 1980’s, it remains at 50. 6% in 1985. Since then, exports of manufactured goods have grown at a much faste r rate than exports of primary goods. As a result, the share of manufactured goods increased to 90. 1%, and that of primary good decreased to 9. 9% by 2001. Also shown in those tables are five subgroups for manufactured goods and primary goods. China’s export was highly dependent on its exports of coal, petroleum, and petroleum products until mid-80s.The large export volume of petroleum was also supported by a sharp rise in oil prices during the period. In 1985, the share of mineral fuels is 26. 1%. In 1986, the sudden decline in the share of primary goods in total exports occurs, which is largely associated with the decline in the export volume of mineral fuels. The price reforms coupled with the declined world petroleum price are attributable to the decline. Domestic agriculture production expanded during the 1980’s in response to the higher prices through the price reforms and more opportunities given to the producers to market their products.Although the share of f ood and live animals in total exports has declined over time, China has become a net exporter of such products since 1984. Turning to the manufactured goods, the large increase in the share of the manufactured goods in the total exports since mid-80s is largely accounted for by the increase in the export in the textile category and the miscellaneous products category. These two groups include labor-intensive products such as textiles, apparel, footwear, and toys and sporting goods. During the 1990s, the category that exhibited the most significant surge in exports is machinery and transport equipment.Its share expanded from 9. 0% in 1990 to 35. 7 % in 2001. The change in the commodity composition in China’s imports can be seen in Table 2b. The share of primary goods in total exports fell from 34. 8% in 1980 to 18. 8% in 2001. The decline in the share reflects large decrease in imports of food and live animals. Its share reached the highest at 21. 8% in 1982 has declined over the past 20 years to 2. 0% in 2001. The increased production of agricultural production due to domestic economic reforms enable China to reduce the amount of its agricultural imports.The share of mineral fuels in imports on the other hand, has been steadily increasing during the period. The rapid economic growth that China has experienced has led to a shortage of those products domestically. China has been a net importer of mineral fuels for the past six consecutive years. The share of manufactured products in total imports rose from 65. 2% in 1980 to 81. 2% in 2001. This is largely attributed to sharply rising imports of machinery and transportation equipment. There are two major factors that led to the increase of importing machinery and transportation equipment.First, the imported machinery and transportation equipment embodied a higher level of technology than those produced domestically. Second, since China initiated the open-door policy, throughout the 1980s and the 1990s, the government promoted to open the economy to foreign investors by adopting a series of reforms and new regulations. Those include establishing Special Economic Zones, Open Coastal Cities, opening up of new sectors, various preferential policies for foreign multinationals such as tax concession, import tariff exemption, and so on.These efforts resulted in creating a more favorable investment environment for foreign multinationals, which led to a considerable rise in foreign direct investment. Among other activities, these foreign firms engage in processing trade. China has become an important link in the global supply chain for multinationals. In addition, China has also a large and growing market. The increased share of imports of machinery and electronics products reflects the increased use of global outsourcing as well as the growth of China’s domestic market. 3.China’s Processing Trade and Trade by Foreign Invested Firms China established the legal framework for proc essing and assembly arrangements in 1979. Since then, China has built up considerable strengths in assembling and processing of industrial parts and components. It covers a wide range of industries such as electric machinery, automobile, aerospace, and shipbuilding. Table 3a and Table 3b demonstrate the amount of processing exports and imports and the importance of stateowned enterprises (SOEs) and foreign-invested enterprises (FIEs) in such forms of trade for 1995-2001.Throughout the period from 1995 to 2001, the shares of these two types of processing exports exceed more than half of China’s total exports. In 2001, processing exports account for 55. 4% of the total exports. As is seen in Table 3a, process & assembling was dominated by SOEs in 1995. However, the trend has been changing. The share of SOEs in process & assembling has been steadily declining over the years from 84% in 1995 to 62% in 2001. The other type of trade, process with imported materials was largely cond ucted by FIEs and their shares have been gradually increasing from 81% in 1995 to 88% in 2001.In China’s imports (see Table 3b), processing trade is relatively small compared to exports. After it peaked at 49% in 1997, processed imports decline to 39% in 2001. The decreasing importance of SOEs can be seen in China’s imports as well. Shares by SOEs decreased from 81% in 1995 to 58% in 2001 for process & assembling, and from 18% to 7% for process with imported materials. The decreased role for SOEs in processing trade may reflect the inefficiency in conducting their business. Since 1997, the Chinese government decided to implement the shareholding system and to sell a large number of medium- and small-sized SOEs to the private sector.A number of larger enterprise groups will be established in various industries through mergers, acquisitions, and leasing and contracting. The restructuring of SOEs is intended to increase profits and to improve their competitive edge. 4. Ch ina’s Trade by Provinces and Regions A regional breakdown of exports and imports reveals important characteristics of the foreign trade in China. In 1997, 89. 1% of the total exports came from the Eastern region of China (Beijing, Tianjin, Heibei, Lioaning, Guangxi, Shanghai, Jiangsu, Zhejiang, Fujian, Shangdong, Guandong and Hainan).Within the East, the Southeast region accounts for 76. 3% of China's exports in 1997. 4 Guangdong alone produces 41. 6% of the total exports for the same year. Such regional imbalances in exporting activities persist to the present day. In 2001, Guandong's share of the national exports is 36. 0%. For the Southeast and the East, the shares are respectively 79. 0% and 91. 1%. A similar degree of unevenness in trade can be seen in the nation’s imports. For the year 1997, the East and the Southeast accounts for 91. 6% and 74. 7% of the total imports, while Guangdong imports 39. %. In 2001, the East and the Southeast again accounts for 91. 4% a nd 74. 0%. Guangdong remains the international trade powerhouse of China. In 2001, the province imports 34. 6% or more than one-third of the nation's imports. This imbalance of the regional growth in foreign trade may partially be attributed to the various geographic-specific and sequential open-door policies China has exercised throughout the last twenty years. The strong growth of the export sector in the coastal area has been supported by the massive use of foreign direct investment (FDI).FDI was first attracted by the creation of the Special Economic Zones (SEZ). FDI was concentrated in the provinces of the Southeast coast, namely, Guandong and Fujian. The multinational enterprises that are export-oriented or use advanced technologies are able to enjoy various preferential policies in the SEZs, such as reduced or exempted corporate income tax, exemption from import tariffs on imported equipment and raw materials. In 1984, fourteen coastal cities were opened and were granted simi lar policies as SEZs.Out of those fourteen cities, ten are located in the Southeast coast regions and four are in the rest of the Eastern regions. Furthermore in 1985, similar preferential policies were 4 Southeast region includes Shanghai, Jiangsu province, Zhejiang province, Fujian province, Shangdong province, Guandong province and Hainan Province. granted to other coastal economic regions, Pearl River Delta, Yangtze River Delta and Minnan Delta which is to the south of Fujian. In 1990, Pudong in Shanghai was opened and was granted extensive preferential policies.Since 1984, the Chinese government established thirty-two national-level Economic and Technological Development Zones (ETDZs) to enhance FDIs from foreign firms that are export-oriented and technologically advanced. Of those ETDZs, twenty are located in the Southeast coastal area, six are in the rest of the Eastern region, four are in the Central part of China, and only two are in the Western region of China. Thus govern ment policies which establish these economic zones attract foreign direct investment mainly in the Eastern and Southeastern regions, which lead to a concentration of exports and trade in these areas.Another reason for the unevenly high export growth in the Southeast coast is its geographic proximity to Hong Kong, Macao, and Taiwan. Since the early stages of the opening-up of China, Hong Kong has been moving their labor-intensive manufacturing industries to the Southeast of China, mainly to Guangdong, to take advantage of the abundant supply of cheap labor. These firms contributed to the fast growth of processed exports in the region. On the other hand, the Fujian Delta area became the home for many firms from Taiwan due to its geographic and cultural proximity to Taiwan.The share of exports in The Yangtze River Delta, the home of Shanghai and two provinces, Jiangsu and Zhejiang has grown steadily during the period 1997 to 2001. The share of those three regions grew to 10. 1%, 11. 0% , and 9. 1% in 2001 from 8. 1%, 7. 9% and 5. 9% in 1997, respectively. As the role of high-tech industry becomes more significant in China’s output and China’s comparative advantage in skilled-labor and capital-intensive industries becomes higher, the Yangtze River Delta becomes a new magnet for investment by foreign enterprises.These foreign investments in turn lead to more export and trade. 5. Foreign Trade by Major World Regions Using China’s official statistics, Table 4a and 4b highlight merchandise exports and imports to and from major world regions for 1993 – 2001: Asia, Africa, Europe, Latin America, North America and Oceania. As we see from Table 4a, China’s most important export region has always been Asia, which absorbs 53% of China’s exports in 2001. However, their share of absorption declines from almost 62%, their peak level of 1995.The importance of North America and Europe in China’s exports, however, has been increasin g since 1998. In 2001, North America takes in more than 22% of exports and Europe takes in more than 18%. The reliance of China’s trade on Asia can be seen in merchandise imports as well. Asia by far is the largest supplier of China’s imports. Asia accounts for more than 60% of China’s imports in 2001. Furthermore, its share has been more stable than that for exports. The next largest supplier was Europe. However, Europe’s share has been declining gradually over the period.North America has been third, with a share of more than 12% in 2001. A somewhat surprising finding is the significant increase in China’s imports from Africa. Import volume from Africa in 2001 is close to five times as big as it was in 1993. Table 4a and 4b highlight China’s reliance on the Asian market for both its imports and exports. On the other hand, North America has been more of an export market than a source of import supply. 5 5 If we take into account of re-expor ts to different regions, the shares of exports and imports to various world regions will have to be adjusted. . China’s Merchandise Exports and Imports by Major Trading Partners Table 5a and Table 5b document China’s merchandise exports to and imports from its major trading partners, using China’s official statistics. According to Table 5a, the major exports markets for China in 2001 are: the United States (20. 4%), Hong Kong (17. 5%), Japan (16. 9%) and the European Union (15. 4%). It is well-known that a large proportion of Chinese exports to Hong Kong are re-exported elsewhere so that the true size of the Hong Kong export market has to be estimated.To save space for this paper, we will just rely on the official Chinese figures. 6 Even without adjusting for re-exports, the United States in 2001 is the largest export market for China. Thus, from an international trade perspective alone, the most important bilateral trade relationship for China is the relationsh ip with the United States. Together the United States, Hong Kong, Japan and the European Union take in 70. 2% of China’s exports in 2001. Within ASEAN (Association of Southeast Asian Nations), Singapore has been the largest export market for China. In 2001, 31. % of China’s total exports to ASEAN is destined for Singapore. Within the European Union (EU), Germany is the largest market with 23. 8% of the total Chinese exports going to the EU. Turning to the import side, Japan is the largest source of China's imports. In 2001, Japan accounted for 17. 6% of China’s total imports. The European Union comes in second, with a share of 14. 7%. Taiwan and the United States are respectively third and fourth, with shares of 11. 2% and 10. 8%. Korea is fourth largest, with a share of 9. 6%. Korea’s export to China has more than quadrupled in absolute terms from $5. 6 billion in 1993 to $23. 4 billion in 2001 with its share increased from 5. 16% to 9. 6%. Another tradi ng partner that shows a growing importance as a supplier of China’s imports is ASEAN. According to official Chinese figures, in 2001, the total value of their exports to China is $23. 2 billion, which is close to four times as large as it was in 1993. We are aware that the official Chinese trade statistics do not appropriately take the large volume of re-exports via Hong Kong into account and the above comparisons of China’s exports to and import from its trading partners has to be adjusted.For the case of the United States, Fung and Lau (2001) have done detailed adjustments to the official U. S. and Chinese trade data. If we do adjust these trade figures, the two countries with the largest export markets for China in 2001 will almost surely be the United States and Japan. In fact, the United States has been the largest export market for China for quite sometime. This reiterates a point that we have made earlier: from a trade standpoint, the bilateral Sino-U. S. relati onship is the single most important relationship for China. It is essential that China takes steps to maintain the health and stability of such a relationship. . China’s Trade Regime with Entry to the WTO China formally applied to become a member of the GATT in July 1986. It is not until December 2001 that China finally entered the WTO. During these 15 years, China engaged in multilateral negotiations, as well as bilateral negotiations with 37 separate countries and areas including Japan, the United States and the European Union. Although China will enjoy its rights as a full member of the WTO, many domestic laws and regulations need to be reviewed, abolished or modified in order to enforce the WTO agreement and the protocol of accessions.China is required to implement WTO- consistent policy regimes in a wide range of areas and sectors, such as, tariffs, non-tariff6 For details of such adjustments, see Fung and Lau (2001). measures, trade-related investment measure, telecommu nications, financial sector, service sector, government procurement, etc. The following is the short and selective summary of the WTO agreement and its possible impact on China’s economy. 7. 1. Tariffs China has agreed to gradually lower its tariffs on a total of 7,151 items by 2010.Details of the expected changes in the tariff schedules are shown in Table 6. Tariffs on passenger automobiles were 80 to 100% in 1998. Tariffs were cut to 51. 9% with WTO accession and will further be decreased to 25% by 2005. Tariffs on information technology products such as computers and semiconductors will be reduced to zero and those on home appliances such as air conditioners, refrigerators, and television sets will be reduced to 10% to 20% by 2005. The average rate of tariffs on all items at the time of accession in 2001 was 13. 6%, which is scheduled to be lowered to 9. 8% in 2010.Out of 7,151 items, 977 are in agricultural products, whose average rate of tariff is scheduled to be lowered from 22. 7% to 15. 0%. The average rate of tariff on the rest of the 6,174 items, which include mining and manufacturing products, will be lowered from 16. 6% to 8. 9%. China lowered tariffs on over 5,300 items to 12% in January 2002. Currently, the average rate of tariffs on manufactured products is 11. 6%. The average tariff rate on agricultural products is 15. 8%. Cutting tariffs will benefit China’s economy by increasing efficiency and expanding a variety of goods for consumers.Increased foreign competition will challenge domestic producers to improve their competitiveness. The extent of economic benefits from reduced tariffs to foreign firms should also be significant but not as large as it seems. Since 1996, China has already cut tariffs significantly. The average tariff rate on all imports was reduced from 42% in 1992 to 17. 5% in 2000. China’s proposal to reduce the average tariffs amounts to a reduction of a little over 1% a year. But tariff rates applied in certain sectors can be significantly lower than the published rates. This is the case for high technology industry.A new foreign investment policy in 1999, for an example, allows export-oriented foreign firms to import equipment from abroad without any import duties. 7. 2. Other import restrictions China agrees to eliminate any import restrictions that are not WTO compatible, such as import quotas, import licensing, and foreign exchange control by 2005. China subjects a broad range of commodities to import quotas, including agricultural products such as grains and vegetable oils, raw materials such as fertilizer and cotton, consumer products such as color TVs, cameras, video camera recorders, automobiles, and so on.Many products that are subject to import quotas also require import licenses. Accession to the WTO requires China to comply with rules set out by various WTO Articles to ensure nondiscriminatory application of quotas and to make import licensing procedures more transparen t and simple. For example, import quotas on automobiles and parts will be eliminated by 2005. In the meantime, the value of total imports of automobiles and parts allowed will be increased by 15% each year. The elimination of these non-tariff barriers will significantly increase international competition. Protected sectors such as the utomobile industry in China will face difficult challenges from foreign competitors. But after a period of adjustments and consolidations, such industries are expected to become more efficient and competitive. 7. 3. Service Industries In accordance to WTO agreements, China will also open up its service sector to foreign competition, including distribution, insurance, banking, and telecommunications. Telecommunications, including fixed-line telephone services, cellular telephones, and internet services is one area that has been under strong government control in the past.The various restrictions imposed on the sector, such as the percentage of foreign c apital allowed and the area where foreign firms can operate, will be eliminated. A foreign nonlife insurer is permitted to establish as a branch or as a joint venture with 51% foreign ownership. A foreign life insurer is permitted 50% foreign ownership in a joint venture. Over time, geographical restrictions will also be eliminated. Within five years, foreign financial institutions are allowed to have full market access and to provide services to all Chinese clients.The financial position of the Chinese banking system is weak and foreign participation in the sector has been small. In order to improve efficiency and to gain foreign capital, some banks are expected to form strategic partnerships with foreign banks. China will also allow full trading and direct distribution by foreign firms including wholesale and retail trade and the provision of after-sale service. In sum, in all these areas, domestic Chinese entities will face stiff competition from foreign firms.But the increased c ompetition will eventually lead to increased efficiency and higher labor productivity, which will raise China's competitiveness in the world market. 8. China’s Trade Relations with Selective Trading Partners 8. 1 U. S – China Relationship A healthy Sino-U. S. economic relationship is critical to China's economic development. U. S. -China commercial ties have expanded substantially since the beginning of economic reforms. According to Chinese statistics, U. S. exports to China were $721. 1 million and imports were $270. 67 million in 1978.Those figures grew to $26. 20 billion and $54. 28 billion in 2001, respectively. China is currently the 4th largest trading partner for the United States. U. S. -China commercial ties have been strained by a number of issues. The U. S. -China bilateral trade balance has been in deficits for years and is progressively increasing. Even though professional economists view bilateral trade deficits as a result of saving-investment imbalance s and government budget deficits, U. S. policymakers continue to have great concerns with the presence of the bilateral trade imbalances.Fung and Lau (2001) have estimated that the China-United States bilateral trade balance is bigger than what the official Chinese figures indicate, but much smaller than the official U. S. official estimates. These discrepancies are due to a variety of factors, including the different ways imports and exports are measured, re-exports via Hong Kong and the re-export markups imposed by Hong Kong middlemen. Despite the fact that the bilateral trade deficits are not as large as they appear, they are still big and are growing. countries. Table 7a shows the top 15 U. S. mports from China for the years 1995 to 2000. During this period, there is a significant growth in U. S. imports of capital-intensive manufactures goods. The largest import from China has been electrical machinery, Trade imbalances remain a source of trade friction between the two which ac counts for almost 20% of total U. S. imports from China in 2000. Non-electric machinery, which includes boilers, machinery and mechanical appliance, accounts for about 8% of imports in 1995 but has grown to 13% by the year 2000. Non-electric machinery is now the second largest U.S. import item from China. There is no doubt that some of these items are processed exports from China. In other words, production in China and its subsequent export constitutes only one or several stages of the entire global production chain. The rest of the U. S. imports from China largely concentrate in low valued-added and labor-intensive products, such as toys, games, and sports equipment, footwear, furniture, apparel; and leather products. China’s accession to the WTO would likely have a significant positive effect on U. S. -China trade. A study by the U. S.International Trade Commission estimates that the United States will benefit from increasing its exports to China by $3. 1 billion. Another study by Goldman Sachs estimates that China’s WTO accession will bring an additional $13 billion to U. S. exports by 2005. Table 7b shows the top 15 U. S. exports to China for the years 1995 to 2000. As mentioned before, Chinese import quotas and licensing covers a wide range of commodities. A number of items that is important to the United States, including oilseeds, cameras, and motor vehicles have been subjected to both import licensing and quotas.Elimination of import licensing and quotas under the WTO agreement will create a positive impact on the U. S. economy by generating more exports, reducing costs for trade. At the same time, the Chinese economy will also benefit in the longer run as its domestic producers will become more efficient and more productive in the face of more intense foreign competition. The U. S. – China bilateral WTO agreement provides increased access for U. S. agricultural exports across a wide range of commodities. A tariff-rate quota (TRQ) ystem will be established to wheat, corn, rice, oilseeds, vegetable oils, sugar, wool, and cotton, which are identified as priority sectors to the United States. Under a TRQ, the same low in-quota duty is applied to each importer up to a particular amount and out-ofquota rate is applied to any imports that exceed the particular threshold amount. China still can reserve a share of imports for state trading enterprises. The institution of TRQ will provide a share of the TRQ for private traders other than state trading entities. Some U. S. sectors will benefit from significant cuts in tariffs.Overall industrial tariffs will be cut from an average of 24. 6% in 1997 to 9. 4% by 2005. Average tariffs for U. S. priority agriculture products, such as beef, grapes, wine cheese, poultry, and pork will be cut from 31. 5% to 14. 5% by 2004. A study by the U. S. International Trade Commission finds that U. S. exporters will gain from such tariff cuts by a modest amount, ranging from $1. 5 billi on to $1. 9 billion. As U. S. and China expanded their commercial relations, disputes have arisen over a wide variety of issues. One of the on-going trade frictions that the two countries face is textile trade.Under the Agreement on Textile and Clothing, the U. S. textile and clothing quotas will have to be removed by 20057. The U. S. textiles and clothing industries, which have been under the protection of quotas, will be subjected to competition with Chinese imports. But this is likely to be beneficial to both countries, as the United States eliminate the inefficient trade barriers in textile and garment. 7 The U. S. negotiated with China for a special safeguard provision to enable the United States to have additional protection against Chinese imports. 8. Japan-China Relations Japan and China have deepened their economic ties since China’s reform policy started in 1978. Japan is China’s largest trading partner, while China is Japan’s second largest trading pa rtner. The two countries together constitute Asia’s largest trading partner. Although the total volume of trade declined in 1998, it quickly recovered during the following year. According to Chinese statistics, the value of Chinese exports to Japan in 1999 is $32. 40 billion, which exceeds the value of Chinese exports in 1996 before the onset of the Asian financial crisis.There has been robust growth in the volume of trade between the two countries in 2001. Japanese exports to China have grown from $3. 11 billion in 1978 to $42. 8 billion in 2001, and Japanese imports from China have grown from $1. 72 billion in 1978 to $45. 0 billion in 2001. Table 8 takes data from official Japanese trade statistics and it shows changes in the commodity composition of Japanese exports and imports to and from China. 8 Traditionally, China has supplied Japan with agricultural goods and raw materials, while Japan supplied China with capital goods to China. In 1991, Japanese imports of oodstuff s and textile amounts to almost half of its total imports from China, while more than 70% of Japanese exports to China are capital goods. This pattern changes in the 1990s. Japanese imports of foodstuff decline to 10. 7% in 2000, and those of textile declined to 30. 3% after reaching a peak of 36. 4% in 1993. On the other hand, the shares of Chinese exports of both general machinery and electrical machinery increase dramatically from 0. 9% and 4. 0% in 1991 to 6. 9% and 15. 1% in 2000, respectively. A large proportion of the production and export of such machinery in China is processed ith imported components by Japanese affiliated firm, reflecting the increased amount of Japan’s production in the manufacturing sector in China. China concluded its bilateral trade agreement with Japan on September 4, 1999. China’s accession to the WTO would likely have a significant positive effect on SinoJapanese trade for the following reasons. First, China and Japan are important tra ding partners with each other. Second, many products subject to licensing and quotas in China are consumer electronics such as color TVs, VCRs, tape players and cameras, which are major Japanese exports.The removal of non-tariff barriers will eventually strengthen the competitiveness of the Chinese industries. At the same time, it will have a significant impact on Japanese exports. A study by the Economic Planning Agency (2000) of the Japanese government estimates that by 2005, China’s accession to the WTO will increase Japanese exports by 20. 1 billion, while raising its imports from China by 6. 5 billion. The large reduction in Chinese tariffs happens to occur in industries in which Japan has already established competitive edges, such as the automobile industry and the information technology industry.For example, in 1998, Japanese exports share of automobiles to China was 66% in terms of the value, whereas the figures for the U. S. and the EU are 10% and 7%, respectively. China cuts its tariffs on automobile imports from 80-100% to 70-80% at the beginning of 2001. Auto imports from China are expected to continue to increase. 8. 3 ASEAN – China Relations 8 Data are taken from White Paper in International Trade, MITI, Government of Japan, various years. Note that the aggregate import and export values in Table 8 differ from those taken from the official Chinese data.According to ASEAN statistics, their share of China’s trade rises significantly from 5. 8% in 1991 to 8. 3% in 20009. ASEAN has become the fifth largest trade partner of China after Japan, the United States, the European Union and Hong Kong. The change in the commodity composition in ASEAN exports to China is equally remarkable. In 1993, two of their largest export commodities to China are HS#27: mineral fuels; oils; and waxes, and HS#44: wood and articles of wood, which account for about 55% of their total exports. In 2000, however, the share of those commodities declined to pproximately 22%. In contrast, the shares of HS#84 and 85, electrical and general machinery go up from about 12% to 38% during the same period. On the imports side, electrical and general machinery are the largest and the second largest import commodities from China in 1993, and these two items continue to be the most important ones in the year 2000. However, their relative shares in total ASEAN imports from China increase dramatically from 21% in 1993 to 51% in 2000. ASEAN’s largest trading partners (excluding ASEAN itself) have always been the United States, the European Union and Japan.During the 1990s, many ASEAN members started to lose competitiveness and market shares to China. In trading with the large industrialized countries, China has been catching up to the ASEAN member countries. Table 9 shows the exports from ASEAN and China to the United States, the European Union and Japan. Compared to the 1993 Chinese exports, ASEAN’s exports to the United States, the E uropean Union and Japan are respectively 148%, 157%, and 96% larger for the same year. Similar comparisons show that China has been gaining on 9 Data are taken out from the ASEAN Trade Statistics Database.ASEAN throughout the 1990s, By 2000, ASEAN’s exports to these three key markets are only larger than those from China by 30%, 51%, and 25% respectively10. Many ASEAN member countries are concerned as China develops and finally joins the WTO. On the positive side, China’s accession to the WTO will mean greater market access for ASEAN exports to China. Chinese tariffs against ASEAN products will be cut between 34% to 47% by the year 2005 (Thitapha Wattanapruttipaisan, 2001). However, China’s accession also creates new competitiveness challenges to many ASEAN countries.There will be increased Chinese competition in ASEAN’S key export commodities in all the important markets. China’s largest export commodities are electric and general machinery (HS# X VI), which accounts for 31. 9% of their exports in 2001. Among other items, this category includes televisions, sound recorders, parts of those articles, mechanical appliances, and other machinery. Exports by ASEAN countries such as Malaysia, Philippines, and Singapore also rely heavily on these commodities. The share of electric and general machinery in total exports from Malaysia, Philippines, and Singapore in 2000 is 72. 2%, 84. 3%, and 77. 3%, respectively.Due to low wages, China may have competitive advantages in these industries. Another sector that China displays strong competitiveness is textile and clothing. During the 1990’s China has increased its market shares in key markets such as the United States, the European Union and Japan. This sector is particularly important to Thailand, Indonesia, and Philippines. For Philippines, knitted fabric (HS#61) and not-knitted fabric (HS#62) are the third and the fourth largest export commodities in 2000. China’s accessi on to the WTO will likely 10 Since the Asian crisis in 1997, China’s catching-up process appears to be accelerated ntensify competition between exporters from China and from ASEAN in both the Chinese domestic market as well as markets in the industrialized countries. 8. 4 EU – China Relation From 1978, the year when China’s economic reform started, to the year 2001, total trade volume between China and the European Union has increased more than fortyfold. In the early 1990’s, there has been frequent EU anti-dumping proceedings against China. In 1992, there were 20 anti-dumping measures against China, and the figure increases to 30 at the end of 1995 (Roger Strange, 1998).As China’s economy grows, the European Union begins to focus on fostering a more stable relationship with China. In 1995, the European Union passed a document entitled â€Å"A Long-Term Policy for China-Europe Relations. † This document emphasizes the importance of developin g more active economic engagements with China. Further EU policies toward China were set out in the 1998 communication â€Å"Building a Comprehensive Partnership with China†, which was implemented in 2001, with suggestions about concrete ways of furthering EUChina relations.Like almost all of the trading partners with China, a significant amount of trade between the European Union and China occurs as re-exports via Hong Kong. According to the Census and Statistics Department of the Hong Kong government, re-exports of Chinese goods to the European Union is $24. 3 billion in 2000. This accounts for 22. 3% of the total re-exports of goods of Chinese origin that passed through Hong Kong that year. In contrast, Hong Kong’s re-exports of goods from the European Union to China was only $6. 7 billion. This is 10. 7% of all the re-exports that go through Hong Kong to China that year.Table 10 shows the top 10 Chinese exports to and imports from the European Union. EU exports to China is highly concentrated in electrical and non-electrical machinery, accounting for 56% of its total exports to China. Although concentration on this category of exports is fairly common with China’s other trading partners, the extent of such concentration is unique to the European Union. For example, the percentage share of electrical and non-electrical machinery in U. S. total exports to China is 35. 8% in 2000 and comparable figure for Japan for the same year is 47%.In addition, electrical and non-electrical machinery are also important items on the list of EU imports from China. In 2000, this category of goods constitutes 35. 5% of total imports from China to the European Union. A bilateral EU-China agreement on China’s accession to the WTO was concluded on May 19, 2000. China agreed to cut its average import tariffs for 150 key products11 from 18. 6% to 10. 6%. These key products include spirits, cosmetics, leather articles, textiles, building materials, and m achinery and appliances. Furthermore, the agreement made specific commitment in the automobile industry.First, in two years, automobile manufacturers who have invested or will invest in joint ventures with Chinese firms will have freedom to make their own decisions regarding the class and models of the vehicle to be produced. Second, provincial authorities alone can approve automobile foreign investment projects with a value of no more than $150 million. The old limit used to be $30 million. Third, wholly foreign owned enterprises will be allowed in the automobile 11 These key products are spirits, cosmetics, leather articles, textiles, building materials, and machinery and appliances. ngine industry. Opening up the automobile sector is important to the European Union. Many European automobile manufacturers such as Volkswagen, Mercedes, Peugeot, Audi, and BMW are well established in China. Japan has been a key player in this industry in China for many years. But many European manufa cturers, particularly the Germans, have paid increasing attention to the growing Chinese market. . According to the People’s Daily (July 23, 2001), the number of automobiles imported by China from Japan in the first five month of 2001 accounts for 56% of the total imports of automobiles.However China also imports 14% of its automobiles from Germany. In the future, China may face increasing challenges in exporting to the European Union. The first challenge is the increased use of anti-dumping duties by the European Union towards China. According to China Daily (March 28, 2002), the current total number of anti-dumping cases against Chinese products launched by the European Union reaches 91, accounting for about one-fifth of the total anti-dumping cases that China faces. Second, with the launch of the Euro and plans to expand the European Union to include more members, there should be an increase of intra-EU trade.In some instances, the increase in intra-EU trade may occur at t he expense of trade with non-EU countries such as China. 9. Conclusion China has gone a considerable distance in its attempt to integrate itself to the global economy. China’s economy is an increasingly open one. In 2001, its total trade to GDP ratio reaches 44%. In December 2001, China formally joins the WTO. By joining the WTO, China binds itself to a rule-based trading system and signals to the world that it is ready to continue and even accelerate its open door reform policy. China’s trade is characterized by at least four characteristics.First, a large amount of trade is actually conducted by foreign firms in China. In 2001, 50% of Chinese trade is carried out by foreign-invested firms. Second, a very high percentage of Chinese trade is processed trade. In 2001, 47% of Chinese trade is related to processing. Furthermore, of the processed trade, 73% is conducted by foreign-invested enterprises. Third, there is a large amount of re-exports in China’s interact ions with the world. In 2001, 39% of China’s exports go through Hong Kong to be re-exported elsewhere. Lastly, China’s trade is geographically concentrated.In 2001, 35. 3% of Chinese trade originates from one province, viz. Guangdong. What might we expect to see in the future? With increased integration in the global economy, the prominent role of foreign firms in China’s trade will likely continue. The presence of foreign firms in Chinese trade reflects also the increased use of global outsourcing as a competitiveness strategy by multinationals from the industrialized economies. With low wages and a large pool of high quality labor, China has become a critical link in the global network of production fragmentation.At the same time, as China continues to grow, more and more of the foreign-invested firms, particularly those from the United States, Japan and the European Union, are set up to sell to the booming domestic Chinese market. While processed trade should remain an important feature of Chinese trade, it is no longer confined to low-tech and low value-added activities. U. S. high-technology companies continue to subcontract to firms in Taiwan. The same Taiwanese firms are moving or subcontracting to the Mainland. China has also become an important market for information technology (IT) products.According to the American Electronics Association (AEA), the largest umbrella industry group of high-technology companies in the United States, China is now the third largest IT market in the world. In fact, due to its own estimation of the importance and growth of China’s IT market, Silicon Valley acted as one of the most vocal and strongest supporters for China to join the WTO. In the near future, we can expect to see that China’s trade will be increasingly high-tech. The share of re-exports in China’s trade has declined in recent years. It is expected that this trend will continue.As China’s trade regime becomes more rule-based and more transparent, Chinese trade will also become more direct. With its advanced infrastructure in finance, insurance, shipping and telecommunications, Hong Kong remains a favorite site for multinationals to set up and maintain its regional headquarters. Hong Kong will continue to play an important role in coordinating the global supply chains involving parents of multinationals and specialized suppliers located in China and other Asian countries. The share of trade conducted by Guangdong province remains high.But there are indications that Shanghai and the Yangtze River Delta have taken an increasing active role in the last few years. Over time, we may expect to see that there is some mild diversification in the share of trading activities away from Guangdong. In the future, we see that there are at least two challenges facing China in the area of international trade. First, with China’s competitiveness growing, many countries will perceive that their prod ucers will not be able to compete with the Chinese exports, either in the third market or in their own domestic market. The backlash will take the form of n increased use of anti-dumping duties and safeguards. We have already seen the use of such trade instruments against China from a variety of countries, including Japan, the European Union and the United States. A relatively new development is that even developing countries such as India and Mexico are using anti-dumping measures against Chinese exports to their countries. The difficulty with anti-dumping duties is that they are generally WTO-consistent. Thus joining the WTO does not mean that other countries will reduce their use of anti-dumping duties against China.A second challenge facing China is how to manage its trade relationship with the United States. The United States is the largest economy on earth. The United States is China’s largest export market. It is also a critical source of technology. A stable and healt hy relationship with the United States is important for China’s economic development. It is always a difficult adjustment process for countries to accept a newly emergent economic power. The United States as well as other countries may perceive China as a potential economic threat.Judging from the experience of the relationship between the United States and a rising Japan in the 1970s and the 1980s, it will not be too hard to imagine that there will be difficulties in the trade relationship between the United States and China. Managing and smoothing such a relationship should be an important goal for China. References: Almanac of China’s Foreign Economic Relations and Trade, Beijing: China Foreign Economic Relations and Trade Publishing, various years. Association of Southeast Asian Nations, ASEAN Database, various years. Chen, Xikang, Leonard Cheng, K. C. Fung and Lawrence J.Lau, â€Å"The Estimation of Chinese Domestic Value Added Induced by Chinese Exports to the U nited States,† Department of Economics, Stanford University, mimeo. Cheng, L. , L. Qiu and Keith Wong, 2001, â€Å"Antidumping Measures as a Tool of Protectionism: A Mechanism Design Approach,† Canadian Journal of Economics, 34(3), 639-660. China’s Customs Statistics Monthly, December, Beijing: General Administration of Customs of the People’s Republic of China, various years. China Statistical Yearbook, Beijing: China Statistical Press, various years. Fung, K. C. , 1998, â€Å"Accounting for Chinese Trade: Some National and RegionalConsiderations,† in R. Baldwin, R. Lipsey and J. David Richardson (ed. ) Geography and Ownership as Bases for Economic Accounting, NBER Conference Volume, Chicago: University of Chicago Press. Fung, K. C. and Lawrence J. Lau, 2001, â€Å"New Estimates of the United States-China Bilateral Trade Balances,† Journal of Japanese and International Economies, December. Naughton, B. , 1996, â€Å"China’s Emergence and Prospects as a Trading Nation,† Brookings Papers on Economic Activity, 2. Sung, Yun-Wing, 1991, The China-Hong Kong Connection, Cambridge: Cambridge University Press.Sung, Yun Wing, Pak Wai Liu, Richard Yue-Chim Wong and Pui King Lau, 1995, The Fifth Dragon: The Emergence of the Pearl River Delta, Singapore: Addison Wesley Publishing Company. Wong,Richard, Y. C. , 1995, â€Å"China’s Economic Reform—The Next Step,† Contemporary Economic Policy, 13:18-27. White Paper in International Trade, MITI, Tokyo: Government of Japan, various years. Woo, Wing T. , 2001, â€Å"Recent Claims of China’s Exceptionalism: Reflections Inspired by WTO Accession,† China Economic Review, 12, No. 2/3. WTO, 2002, â€Å"China Accession to the World Trade Organization,† mimeo.Table 1 China's Foreign Merchandise Trade Year 1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 Trade Volume (US $ billion) Total Exports Imports 20. 7 29. 4 38. 1 44 41. 6 43. 6 53. 5 69. 7 73. 8 82. 7 102. 8 111. 7 115. 4 135. 7 165. 6 195. 8 236. 7 280. 9 289. 9 325. 2 323. 9 360. 6 473. 3 509. 8 9. 8 13. 7 18. 1 22 22. 3 22. 2 26. 1 27. 4 30. 9 39. 4 47. 5 52. 5 62. 1 71. 9 85 91. 8 121 148. 8 151 182. 8 183. 7 194. 9 249. 2 266. 2 10. 9 15. 7 20 22 19. 3 21. 4 27. 4 42. 3 42. 9 43. 2 55. 3 59. 1 53. 63. 8 80. 6 104 115. 7 132. 1 138. 8 142. 4 140. 2 165. 7 225. 1 243. 6 Balance -1. 1 -2 -1. 9 0 3 0. 8 -1. 3 -14. 9 -12 -3. 8 -7. 8 -6. 6 8. 7 8. 1 4. 4 -12. 2 5. 3 16. 7 12. 2 40. 4 43. 5 29. 2 24. 1 22. 5 Total 100 142 184 213 201 211 258 337 357 400 497 540 557 656 800 946 1,143 1,357 1,400 1,571 1,565 1,742 2,287 2,463 Index 1978=100 Exports Imports 100 140 185 224 228 227 266 280 315 402 485 536 634 734 867 937 1,235 1,518 1,541 1,865 1,875 1,989 2,543 2,716 100 144 183 202 177 196 251 388 394 396 507 542 490 585 739 954 1,061 1,212 1,274 1,306 1,287 1,520 2,065 2,234Source: China's Cust oms Statistics, various years, General Administration of Customs of the People's Republic of China. Note: The figures are in US$ billion. Exports are valued on a f. o. b. basis, imports on a c. i. f. basis. Table 2a Composition of China's Export (US$100million) Total Primary goods total food Manufacture goods raw beveraes materials mineral oil total chemicals textile machinery miscel. others 1980 181. 19 91. 14 29. 85 0. 78 17. 11 42. 8 0. 6 90. 05 11. 2 39. 99 8. 43 28. 36 2. 07 1981 220. 07 102. 48 29. 24 0. 6 19. 48 52. 28 0. 88 117. 59 13. 42 47. 06 10. 87 37. 25 8. 99 1982 223. 1 100. 5 29. 08 0. 97 16. 53 53. 14 0. 78 122. 71 11. 96 43. 02 12. 63 37. 05 18. 05 1983 222. 26 96. 2 28. 53 1. 04 18. 92 46. 66 1. 05 126. 06 12. 51 43. 65 12. 21 38. 04 19. 65 1984 261. 39 119. 34 32. 32 1. 1 24. 21 60. 27 1. 44 142. 05 13. 64 50. 54 14. 93 46. 97 15. 97 1985 273. 5 138. 28 38. 03 1. 05 26. 53 71. 32 1. 35 135. 22 13. 58 44. 93 7. 72 34. 86 34. 13 1986 309. 42 112. 72 44. 48 1. 19 29 . 08 36. 83 1. 14 196. 7 17. 33 58. 86 10. 94 49. 48 60. 09 1987 394. 37 132. 31 47. 81 1. 75 36. 5 45. 44 0. 81 262. 06 22. 35 85. 7 17. 41 62. 73 73. 87 1988 475. 16 144. 06 58. 9 2. 35 42. 57 39. 0. 74 331. 1 28. 97 104. 89 27. 69 82. 68 86. 87 1989 525. 38 150. 78 61. 45 3. 14 42. 12 43. 21 0. 86 374. 6 32. 01 108. 97 38. 74 107. 55 87. 33 1990 620. 91 158. 86 66. 09 3. 42 35. 37 52. 37 1. 61 462. 05 37. 3 125. 76 55. 88 126. 86 116. 25 1991 718. 43 161. 45 72. 26 5. 29 34. 86 47. 54 1. 5 556. 98 38. 18 144. 56 71. 49 166. 2 136. 55 1992 849. 4 170. 04 83. 09 7. 2 31. 43 46. 93 1. 39 679. 36 43. 48 161. 35 132. 19 342. 34 NA 1993 917. 44 166. 66 83. 99 9. 01 30. 52 41. 09 2. 05 750. 78 46. 23 163. 92 152. 82 387. 81 NA 1994 1,210. 06 197. 08 100. 15 10. 02 41. 27 40. 69 4. 95 1,012. 98 62. 6 232. 18 218. 95 499. 37 0. 12 1995 1,487. 80 214. 85 99. 54 13. 7 43. 75 53. 32 4. 54 1,272. 95 90. 94 322. 4 314. 07 545. 48 0. 06 1996 1,510. 48 219. 25 102. 31 13. 42 40. 45 59. 31 3. 76 1,291. 23 88. 77 284. 98 353. 12 564. 24 0. 12 1997 1,827. 92 239. 53 110. 75 10. 49 41. 95 69. 87 6. 47 1,588. 39 102. 27 344. 32 437. 09 704. 67 0. 04 1998 1,837. 57 206 106. 19 9. 76 35. 17 51. 81 3. 07 1,631. 57 103. 16 323. 83 502. 33 702. 2 0. 05 1999 1,949. 31 199. 41 104. 58 7. 71 39. 21 46. 59 1. 32 1,749. 90 103. 73 332. 62 588. 36 725. 1 0. 09 2000 2,492. 03 254. 6 122. 82 7. 45 44. 62 78. 55 1. 6 2,237. 43 120. 98 425. 46 826 862. 78 2. 21 2001 2,661. 54 263. 53 127. 79 8. 74 41. 73 84. 16 1. 11 2,398. 01 133. 53 438. 23 949. 18 871. 23 5. 85 Source: China Statistical Yearbook 2001, China's Customs Statistics Monthly, December 2001 Note: Since 1992 and 1993, there has been a change in the classification system for for categories like â€Å"Others†. tem † Table 2b Composition of China's Import (US$100 million) Manufacture goods raw total food beveraes materials mineral oil total chemicals textile machinery miscel. others 1980 200. 17 69. 59 29. 27 0. 36 35. 5 4 2. 03 2. 39 130. 58 29. 09 41. 4 51. 19 5. 42 3. 34 1981 220. 15 80. 44 36. 22 2. 13 40. 27 0. 83 0. 99 139. 71 26. 06 40. 35 58. 66 5. 58 9. 06 1982 192. 85 76. 34 42. 01 1. 3 30. 12 1. 83 1. 08 116. 51 29. 36 39. 06 32. 04 4. 86 11. 19 1983 213. 9 58. 08 31. 22 0. 46 24. 59 1. 11 0. 7 155. 82 31. 83 62. 89 39. 88 7. 82 13. 4 1984 274. 1 52. 08 23. 31 1. 16 25. 42 1. 39 0. 8 222. 02 42. 37 73. 18 72. 45 11. 82 22. 2 1985 422. 52 52. 89 15. 53 2. 06 32. 36 1. 72 1. 22 369. 63 44. 69 118. 98 162. 39 19. 02 24. 55 1986 429. 04 56. 49 16. 25 1. 72 31. 43 5. 04 2. 05 372. 55 37. 71 111. 92 167. 81 18. 77 36. 34 1987 432. 16 69. 15 24. 3 2. 63 33. 21 5. 39 3. 49 363. 01 50. 08 97. 3 146. 07 18. 78 50. 78 1988 552. 75 100. 68 34. 76 3. 46 50. 9 7. 87 3. 69 452. 07 91. 39 104. 1 166. 97 19. 82 69. 79 1989 591. 4 117. 54 41. 92 2. 02 48. 35 16. 5 8. 75 473. 86 75. 56 123. 35 182. 07 20. 73 72. 15 1990 533. 45 98. 53 33. 35 1. 57 41. 07 12. 72 9. 82 434. 92 66. 48 89. 06 168. 45 21. 03 89. 9 1991 637. 91 108. 34 27. 99 2 50. 03 21. 13 7. 19 529. 57 92. 77 104. 93 196. 01 24. 39 111. 47 1992 805. 85 132. 55 31. 46 2. 39 57. 75 35. 7 5. 25 673. 3 111. 57 192. 73 313. 12 55. 88 NA 1993 1,039. 59 142. 1 22. 06 2. 45 54. 38 58. 19 5. 2 897. 49 97. 04 285. 27 450. 23 64. 95 NA 1994 1,156. 14 164. 86 31. 37 0. 68 74. 37 40. 35 18. 09 991. 28 121. 3 280. 84 514. 67 67. 68 6. 79 1995 1,320. 84 244. 17 61. 32 3. 94 101. 59 51. 27 26. 05 1,076. 67 172. 99 287. 72 526. 42 82. 61 6. 93 1996 1,388. 33 254. 41 56. 72 4. 97 106. 98 68. 77 16. 97 1,133. 92 181. 06 313. 91 547. 63 84. 86 6. 46 1997 1,423. 70 286. 2 43. 04 3. 2 120. 06 103. 06 16. 84 1,137. 50 192. 97 322. 2 527. 74 85. 5 9. 09 1998 1,401. 66 229. 52 37. 93 1. 79 107. 16 67. 73 14. 91 1,172. 14 201. 66 310. 71 567. 68 84. 55 7. 54 1999 1,656. 99 268. 46 36. 19 2. 08 127. 89. 12 13. 67 1,388. 53 240. 3 243. 17 694. 53 97. 01 13. 52 2000 2,250. 94 467. 39 47. 58 3. 64 200. 03 206. 37 9. 77 1,783. 55 302. 13 418. 07 919. 31 127. 51 16. 53 2001 2,436. 13 457. 74 49. 76 4. 12 221. 28 174. 95 7. 63 1,978. 40 321. 06 419. 39 1,070. 42 150. 76 16. 77 Source: China Statistical Yearbook 2001, China's Customs Statistics Monthly, December 2001. Note: Since 1992 and 1993, there has been a change in the classification system for categories like â€Å"Others†. Total Primary goods Table 3a Exports by Type of Enterprise and by Customs Regime (US$ billion) 1995 1996 1997 1998 Total 148. 151. 1 182. 7 183. 8 Process and Assembly 20. 7 24. 2 29. 4 30. 7 Process with Imported Materials 53 60. 1 70. 2 73. 7 Process and Assembly Total SOE FIE sub total Process with Imported Materials Total SOE FIE sub total 1995 20. 7 17. 3 2. 9 1995 53 13. 4 39. 2 1996 24. 2 19 4. 5 1996 60. 1 10. 9 48. 6 1997 29. 4 22. 3 6. 1 1997 70. 2 11. 7 57. 7 1998 30. 7 22. 5 7. 2 1998 73. 7 10. 9 62 1999 194. 9 35. 8 75. 1 1999 35. 8 24. 2 10. 4 1999 75. 1 9. 8 64. 2 2000 249. 2 41. 1 96. 5 2000 41. 1 26. 5 13. 1 2000 96. 5 10. 4 84. 1 2001 266. 2 42. 2 105. 2 2001 42. 2 26 14. 3 2001 105. 2 9. 9 92. Table 3b Imports by Type of Enterprise and by Customs Regime (US$ billion) Total 1995 1996 1997 1998 Process and Assembly 132. 1 138. 8 142. 4 140. 2 Process with Imported Materials 16. 2 17. 8 20. 9 19. 9 42. 1 44. 5 49. 3 48. 7 Process and Assembly Total SOE FIE sub total Process with Imported Materials Total SOE FIE sub total Source: China's Customs Statistics, various years. 1995 16. 2 13. 2 2. 7 1995 42. 1 7. 4 34. 4 1996 17. 8 13. 6 3. 7 1996 44. 5 6. 5 37. 8 1997 20. 9 15. 4 4. 9 1997 49. 3 6. 1 42. 9 1998 19. 9 14. 2 5 1998 48. 7 5. 1 43. 2 1999 165. 7 23. 6 50 1999 23. 6 15. 4 7. 1999 50 4. 3 45. 3 2000 225. 1 28 64. 6 2000 28 17. 4 9. 7 2000 64. 6 4. 8 58. 9 2001 243. 6 28. 9 65. 1 2001 28. 9 16. 9 10. 8 2001 65. 1 4. 3 59. 5 Table 4a China's Exports to Major World Regions (US$ billion) Export To Total Asia North Anerica Europe Latin America Oceania Africa 1993 91. 74 52. 62 18. 16 16. 43 1. 78 1. 23 1. 53 1 994 121 73. 45 22. 86 18. 77 2. 45 1. 72 1. 75 1995 148. 77 92 26. 24 22. 98 3. 15 1. 9 2. 49 1996 151. 07 91. 25 28. 3 23. 87 3. 12 1. 96 2. 57 1997 182. 7 108. 92 34. 6 28. 96 4. 61 2. 4 3. 21 1998 183. 71 98. 18 40. 1 33. 43 5. 32 2. 66 4. 06 1999 194. 93 102. 8 44. 39 35. 47 5. 27 3. 11 4. 11 2000 249. 21 132. 31 55. 28 45. 48 7. 19 3. 91 5. 04 2001 266. 15 140. 96 87. 88 49. 24 8. 24 4. 07 6. 01 Table 4b China's Imports from Major World Regions (US$ billion) Import From Total Asia North America Europe Latin America Oceania Africa 1993 103. 96 62. 6 12. 07 23. 97 1. 93 2. 36 1 1994 115. 62 68. 77 15. 74 25. 02 2. 25 2. 92 0. 89 1995 132. 08 78. 05 18. 8 27. 81 2. 97 3. 02 1. 43 1996 138. 84 83. 44 18. 73 27. 66 3. 61 3. 94 1. 46 1997 142. 36 88. 4 18. 31 25. 75 3. 77 3. 67 2. 46 1998 140. 24 87. 05 19. 2 26. 31 2. 99 3. 14 1. 48 1999 165. 72 101. 9 21. 82 32. 65 2. 99 4. 19 2. 38 2000 225. 1 141. 34 26. 12 40. 78 5. 41 5. 88 5. 56 2001 243. 61 147. 18 30. 24 48. 4 6. 7 6. 29 4. 79 Source: China's Customs Statistics, various years Table 5a Merchandise Exports to Major Trading Partners (US$ Billion) 1993 91. 74 22. 05 1. 46 15. 78 2. 86 16. 96 12. 24 3. 97 1. 29 1. 61 1. 3 1. 93 4. 68 2. 25 1994 121 32. 36 2. 24 21. 58 4. 38 21. 46 15. 39 4. 76 1. 42 2. 27 1. 59 2. 41 6. 38 2. 56 1995 148. 77 35. 98 3. 1 28. 46 6. 69 24. 71 19. 09 5. 67 1. 84 3. 23 2. 07 2. 79 9. 04 3. 5 1996 151. 07 32. 91 2. 8 30. 87 7. 51 26. 69 19. 83 5. 84 1. 91 3. 4 1. 84 3. 2 9. 7 3. 75 1997 182. 7 43. 78 3. 4 31. 82 9. 12 32. 69 23. 81 6. 49 2. 33 4. 4 2. 24 3. 81 12.