• Journal of Korea Trade
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• v.24 no.5
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• pp.1-17
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• 2020

Purpose - This paper tries to estimate the effects of China's and Japan's free trade agreement (FTA) by panel generalized least squares (GLS). Design/methodology - The GLS model includes the basic gravity theory and Difference in Difference (DD) method to divide FTA conclusion countries and non-FTA conclusion countries with China and Japan. In order to empirically research the difference between Chinese and Japanese FTAs, we use the Difference in Difference in Difference (DDD) method. Findings - This paper finds the distance variable has more influence on Japanese than Chinese trade. The exchange rate indicates that Chinese trade depends on export and Japanese trade has the structure of re-import; shows that the countries that concluded FTAs with China and Japan have more positive trade effects than those that did not; finds the Chinese FTA promotion effects greater than the Japanese FTA because China had pushed ahead with trade policy since joining the WTO in 2001. Originality/value - This study shows that a single country's FTA and trade policies are an important factor concerning not just the promotion of trade but also the issue of trade conflicts.

• Human Ecology Research
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• v.53 no.3
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• pp.279-291
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• 2015

Fair trade is international trade that pays just wages, supplies stable and eco-friendly products, and supports the sustainable development of economies. This study examined consumers 'cognition of fair trade, product intention of fair trade products, and consumer demand for fair trade education. We compare these variables between Korean and Chinese consumers and explored variables that affect consumers' cognition, purchase intentions and consumer education demand. This study randomly targeted 428 adult consumers in Seoul (219) and Beijing (209) to grasp the demand of customer education and a purchasing intention for fair trade products. The results of this study are as follows. First, participants showed a low cognition of fair trade and purchase intention, while consumer demand for fair trade education on concept, campaign and effect had a comparatively higher level. Chinese consumers showed a higher level of purchase intention, but a lower level of consumer education demand for fair trade concepts. Second, a higher education level resulted in a higher cognition of fair trade by Korean consumers and more experienced Chinese consumers had a higher cognition. Third, the cognition of fair trade affected the purchase intentions positively for both in Korean and Chinese consumers. Finally, cognition and purchase intention showed positive effects of the consumer demand for fair trade education on concept, campaign, and effect.

• International Commerce and Information Review
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• v.6 no.2
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• pp.3-12
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• 2004

A large number of Chinese trade marks and domain names have been registered improperly or illegally by foreign companies or businessmen. Additionally, a large number of famous Chinese brands have vanished through joint ventures, mergers and acquisitions since foreign direct investment (FDI) came to China more than two decades ago because some Chinese managers have not been fully aware of the value of trade marks and domain names. Consequently, the number of China's registered trade marks and famous brands does not match China's export volume and its Number four trade status in the world. China's enterprises have yet to realize the effects of these events. It is very important for China to protect and cultivate its own famous brands. This paper discusses Chinese companies' neglect of the value of their trade marks and domain names, and the possible consequences. Additionally, this paper puts forward suggestions concerning the protection and cultivation of China's famous brands.

• Korea Trade Review
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• v.44 no.1
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• pp.101-113
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• 2019

First, this study considered the trade situation of cosmetics products between Korea and China and conducted a survey on Chinese women about the purchasing behavior of Korean cosmetics. Five hypotheses were set up to further analyze Chinese women's purchasing behaviors. Subjective norms, conspicuous consumption, perceived behavioral control, brand and Korean wave were used as five variables to analyze hypothesis tests on the impact of purchase behavior. The results of the study showed that Chinese women's subjective norms, conspicuous consumptions, brands, and Korean wave factors had a significant effect on purchasing behavior, while perceived behavioral control factors did not affect purchasing behavior.

• Asia-Pacific Journal of Business
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• v.7 no.2
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• pp.49-59
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• 2016

The study attempts to investigate the causes of Sino-U.S. trade friction in recent years and provides countermeasures accordingly. The import and export volume of two countries, the product structure of China's export, the 337th Act lawsuits related to China, the industries involved in trade friction, and the G-L Index of Sino-U.S. Products are analyzed in detail. The causes of Sino-US trade frictions are discussed from the aspect of mercantilism and trade protectionism, interest groups and governments' trade policies, Chinese product structure, intellectual property protection in China, and performance of Chinese enterprises in litigation. Based on these, countermeasures are put forward. China needs to implement industrial upgrading, increasing the added value of products, and improving intellectual property protection. A trade friction warning system also needs to be constructed. The Chinese government needs to carry out strategic dialogue and international negotiation.

• Journal of Korea Trade
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• v.23 no.7
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• pp.147-155
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• 2019

Purpose - As the U.S.-China trade war has become considerably worse, the Chinese government is considering applying non-tariff barriers to trade, especially local contents rule. The main purpose of this research is to check whether it is suitable for Korean investors to invest in the current Chinese capital market. Design/methodology - In order to check the stability of the recent Chinese capital market, we investigated the behavior of foreign equity investment (including Korean equity investment) in the Chinese capital market after China announced the Shanghai-Hong Kong Stock Connect (SH-HK Connect). In this paper, we researched whether international portfolio investment would or would not contribute to an increase the volatility of an emerging market's stock market (Chinese capital market) when foreign investors make investment decisions based on the objective of short-term gains by rushing into countries whose markets are booming and fleeing from countries whose markets are falling. Findings - The empirical results indicate that foreign investors show strong, negative feedback trading behavior with regard to the stock index of the Shanghai Stock Exchange (SSE), and when the performance of foreign investors in the Chinese stock market was fairly good. Also, we found evidence that the behavior of foreign investors significantly decreased volatility in SSE stock returns. Consequently, the SH-HK Connect brought on a win-win effect for both the Chinese capital market and foreign investors. Originality/value - It appeared that the Chinese capital market was very suitable for Korean investors after the China's declaration of the SH-HK Connect. However, the win-win effect was brought on by the Chinese government's aggressive capital control but the capital controls could possibly cause financial turmoil in the Chinese capital market. Therefore, Chinese reform in industrial structure and the financial sector should keep pace with suitable capital control policies.

• Korea Trade Review
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• v.45 no.5
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• pp.201-222
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• 2020

This paper examines that determinants of BAOMAI, (i.e., behavior of Chinese tourist bulk purchase in duty free shop) with analytical framework and empirical tests. The results of applying the structural equation modeling to 196 samples suggest that Chinese tourist consumption orientations (conspicuous/compulsive/unplanned consumption) have a positive effect on BAOMAI decision value chain (perceived value and loyalty). The marketing mix of duty free shop as control variables in research framework also have a positive effect on BAOMAI perceived values (functional/social/emotional value). This paper has a contribution to prior literatures: the first empirical analysis on BAOMAI determinants with exploring scholarly definition.

• International Commerce and Information Review
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• v.14 no.3
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• pp.513-536
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• 2012

This study aims to examine the status and problems of trade risk management of Korean companies in Incheon area trading with China and to suggest some improvement measures. On the survey with twenty five questions on company profiles, business process and transactions, claims and trade risks, etc. with Chinese trading partners, the following facts are found. In general, Chinese policies on foreign trade, finance, labour, investment, etc. and China's logistics system have caused great worries to Korean companies in Incheon area. This kind of risks from Chinese government policies and China's economic structure are beyond control of each company. Korean government should take more effective measures to negotiate with Chinese government. In the stage of contract, procurement and transportation, settlement, disputes resolution and etc. Korean companies in Incheon area also have many problems with relatively high risks with Chinese trading partners. Based on these survey results, some suggestions for better trade risk management are given.

• Korea Trade Review
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• v.47 no.4
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• pp.1-14
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• 2022

This study examines the impact of trade facilitation on China's trade for the period 2010-2017 using a gravity model with a measurement of APEC trade facilitation through principal component analysis. The empirical results confirmed that trade facilitation was a key factor to have a positive effect on Chinese exports and that the higher the level of trade facilitation in APEC countries, the more positive the increase in exports and quantities with China. Further, the size of the economy, the total population, and the border between the trading partner had a positive effect on Chinese trade volume. To promote economic growth through increase in trade volume, countries should actively improve trade facilitation and participate in global trade facilitation reform through continuous cooperation with trading partners.

• International Commerce and Information Review
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• v.14 no.3
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• pp.253-280
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• 2012

Since China reformed and opened up itself, processing trade system has enormously contributed to chinese economic development and also become driving force of chinese economic growth. However, due to imbalance of industrial distribution, overproduction of labor-intensive product has expanded, and as a result, mass export of low-value-added products has aggravated trade friction. Also, these low-value-added products has caused environmental pollution and brought resource waste. On this, Chinese government start to modify system according to strategy for enhancement of processing trade. In this study, as a countermeasure of the Change of Chinese processing trade system, applicability of the bonded area is suggested. Firstly, even if a company's item is applied to prohibited or restricted items, the company can trade if through the bonded area. Secondly, even if a company has duty of deposit reservation, the company can be exempt from duty of deposit reservation if through the bonded area. Thirdly, as to importing facilities for processing trade, a company can receive more benefit through the bonded area than through outside of the bonded area.