• Journal of Korea Trade
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• v.26 no.6
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• pp.41-60
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• 2022

Purpose - The policy implications of free trade agreements have traditionally been a matter of debate among economists. The official signing of the Korea-China Free Trade Agreement provides economists with a quasi-natural experiment to analyze the FTA's policy effects. This article aims to more accurately understand the impact of Korea's FTA accession on the macro economy. Design/methodology - This study adopts the counterfactual method based on panel data to find common factors in the generation process of macro data to fit the counterfactual path, to accurately evaluate the effect of the macro policy. Findings - Our research results show that the signing of the Korea-China FTA has a relatively significant short-term positive effect on Korea's economic growth. On average, Korea's real GDP growth rate has increased by 2.1%. This study finds evidence in support of FTA signing not having a significant impact on Korea's GDP growth in the long run. Additionally, we evaluated the impact of the FTA on Korea's imports and exports and found that it had a significant positive impact in the short term, but the trade effect of the FTA is significantly affected by the external macro-environment. Originality/value - First, this study uses macro panel data at the national level to examine the impact of the Korea-China FTA on Korea, and more accurately describes the policy effect of the FTA. Second, our empirical results show that the Korea-China FTA policy impact is subject to occasional changes in the external environment, such as the geopolitical conflict (crisis) between Korea and China, and the US-China trade war. Finally, the analysis shows that the short-term effect of FTA is significant but the long-term is uncertain, which provides empirical evidence for the debate on whether joining FTA can promote national economic growth.

• The Journal of Asian Finance, Economics and Business
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• v.8 no.3
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• pp.771-780
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• 2021

The study assesses the impact of tariffs on Vietnam's trade in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). Research data was conducted between 2001 and 2018 on the official website of the Uncomtrade and the World Bank. This paper uses the gravity model to estimate the relationship between data series and considers the impact of factors on Vietnam's trade with CPTPP countries. The results have proven that tariff reductions have a positive effect on Vietnam's trade. Besides, the trade openness of Vietnam and CPTPP countries has positive impacts on Vietnam's trade. The study also shows that Real Effective Exchange Rate (REER) between Vietnam's and CPTPP countries' currencies has no strong effect on Vietnam's trade. Based on these findings, the article also suggests a number of policies to promote Vietnam's trade in future. In order to support businesses to better utilize opportunities and promote exports to CPTPP countries, the government of Vietnam should: (1) focus on reducing costs and time to participate in the market for production and business investors; (2) improve business investment environment to mobilize resources for production; and (3) continue to organize information campaigns to raise businesses' awareness of how to take advantage of CPTPP preferences.

• Fashion & Textile Research Journal
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• v.18 no.2
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• pp.139-148
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• 2016

There is an expanding global network of free trade agreements (FTA). High-quality, comprehensive free trade agreements play an important role to support global trade liberalization and are explicitly allowed under the World Trade Organization (WTO) rules. An FTA is an international treaty that removes barriers to trade and facilitates stronger trade and commercial ties that contribute to increased economic integration between participating countries. Korea benefits from the global FTA trend; however it has started and developed FTA negotiations later than other countries. Current FTA agreements exist with Chile, Singapore, EFTA, ASIAN, India, EU, Peru, USA, Turkey, Australia, and Canada; in addition, there are ongoing negotiations with China, Colombia, New Zealand, and Vietnam. FTA open up opportunities for the textile/clothing industry to expand businesses into key overseas markets. FTA improve market access across all areas of trade to help maintain and stimulate the competitiveness of textile/clothing firms. This study examines the expansion of free trade agreements in light of changes in the international trade environment and the status of the Korean textile/clothing industry. Korea's textile/clothing export/import products and concession of tariff, country of origin covered under Korea-US/China FTA are investigated to identify problems. This study provides practical and policy implications for the textile/clothing industry in regards to the Korea-US/China FTA.

• Asian Journal of Business Environment
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• v.3 no.2
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• pp.17-22
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• 2013

Purpose - This dissertation is based on previous research, and analyzes processing trade, which constitutes a major section of foreign trade in Shandong Province. Research design, data, and methodology - The study uses the survey data on polarization, which is a vital index reflecting the unbalanced growth of regional economic development. The article introduces the processing trade polarization index, and the processing trade polarization fluctuation rate, to predict the geographical polarization posture and development trends in Shandong Province. Results -The development of processing trade in Shandong Province shows the level of gradient from east to west. The first-line growth pole has been formed and developed, and the initial formation of the diffusion mechanism has taken place. However, coordination problems in accompanying regional development have become increasingly prominent. Conclusions - This study focuses on the development of processing trade strategy and suggests overall coordination of development objectives, using non-balanced development goals. According to regional characteristics and development objectives of the processing trade in Shandong Province, the region around the city is divided into innovation diffusion region, enhanced growth areas, areas expected to undertake development, and areas to upgrade in four levels, given the different policy proposals.

• Journal of Korea Trade
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• v.23 no.7
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• pp.83-95
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• 2019

Purpose - This study analyzed the effect of the Trump Government's protectionist trade policies on foreign ownership. Specifically, this study empirically analyzes the hypothesis that foreign ownership will decrease after the Trump Government rather than before the Trump Government. Design/methodology - The hypothesis of this study is based on the expectation that US protection trade policy will negatively affect the profitability of Korean companies. The dependent variable in this study is the foreign ownership ratio, and the independent variable is a dummy variable representing before and after the Trump Government. Multiple regression analysis was performed, including the control variables suggested in previous studies related to foreign ownership. Findings - As a result, foreign ownership increased after the Trump Government rather than before the Trump Government. This study further analyzes whether the main variables affecting foreign investor's decision-making are differences before and after Trump Government. The export ratio, profitability and dividends did not differ before and after Trump Government. However, the level of information asymmetry decreased after the Trump Government than before the Trump Government. This suggests that US protection trade policies do not adversely affect the profitability of Korean companies. However, Korean firms are improving their information environment because US protectionist trade policies can lower profitability and negatively impact capital raising. In this regard, the foreign ownership ratio seems to differ before and after the Trump Government. Originality/value - This study contributes in that it presents data that US protectionist policies can affect Korean corporate governance. This study has implications from the short-term analysis of US protection trade policy.

• Proceedings of the Korea Contents Association Conference
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• 2004.11a
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• pp.240-243
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• 2004

Recently, in the global and digital business environment, we are in need of a single window through which we can exchange market information, make a contract, exchange foreign currency, clear customs and settle accounts. The "e-Trade platform" provides all the stakeholders in international trading circles with these series of trading processes by use of any available information technologies in an effective and seamless manner. The platform collectively includes e-trade infrastructures(e-trade documents repository, e-trade messaging system, e-trade standard documents repository) enabling small and medium sized companies as well as large enterprises to interface with government organizations and global trading institutions. The IT levels of the trading companies are significantly important in terms of benefiting the quality services from the e-trade platform.

• Asian Journal of Business Environment
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• v.1 no.1
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• pp.21-25
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• 2011

Sub-region cooperation is necessary based on the condition that China-Japan-Korea free trade area has not been established. Shandong has common interests with Koreain economic and trade cooperation and it has been equipped with prominent external environment and industrial advantages in sub-region cooperation. The article discusses the advantages, the specific patterns, the cooperation contents and the matched government measures of sub-region cooperation between Shandong and Korea, with the purpose of modifying the relevant policies launched by government.

• The Journal of Asian Finance, Economics and Business
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• v.9 no.7
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• pp.41-52
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• 2022

This paper analyzes the advantages and opportunities of regional development prospects of the China (Anhui) Pilot Free Trade Zone. In addition, it provides suggestions for the future development of the Anhui Pilot Free Trade Zone. The establishment of the Anhui Pilot Free Trade Zone is a major platform for Anhui Province, China, to serve the nation's opening-up strategy to the world and an opportunity for the Anhui region to enhance the level of an open economy. The development plan points out that the Anhui Pilot Free Trade Zone 1) takes institutional innovation as the core, 2) complies with the requirements of the innovation-driven development and promotion of the Yangtze River Delta regional integration development strategy, and 3) plays a vital node role in promoting the construction of the Belt and Road Initiative, and 4) accelerates the construction of scientific and technological innovation sources, advanced manufacturing and strategic emerging industries. The findings of this study highlight three critical achievements as follows: 1) optimization and improvement of the business environment have progressed, 2) the conversion rate of scientific and technological innovation achievements has increased, and 3) advanced high-tech manufacturing and strategic emerging industries are clustered and developed.

• Korea Trade Review
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• v.46 no.1
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• pp.59-81
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• 2021

This paper aims to analyze Korea's trade and investment performance in Spain and the business environment of Spain, and to find efficient strategies for entering into the Spanish market. This study is organized into five chapters. To begin with, it explains an overview of the Spanish economy and the current status of its major industries. Then, it analyzes Korea's trade and investment performance in Spain, the structure of comparative advantage and the trade trends of major import and export items, since 2011 when the Korea-EU FTA went into effect. Lastly, based on the results of this analysis, Korea's strategies for entering into the Spanish market are derived. The strategies derived from the analysis are as follows: (1) entering startups in the Spanish market through CVC cooperation and participation in large tech forums, (2) linking the Spanish interest in K-Culture to consumer goods exports, (3) promoting cooperation in the IT industry in response to the Spanish government's 'Connected Industry 4.0', (4) building a new Korean-Spanish value chain in response to the mobility revolution, (5) advancing jointly into a third country by combining the strengths of both Korea and Spain, (6) cooperating with the Spanish government to establish a sustainable energy policy, (7) promoting jointly with the Spanish government through smart city strategies and project exchanges, and (8) building a European logistics hub in Spain in preparation for post-Brexit.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.37
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• pp.329-360
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• 2008

In Korea, the major of international trade and business introduced in the 1960s to supply trade expert to trading companies, and the heyday of the trade major was in the 1980s. However the trade major fell into decay from the middle of 1990s. The purpose of trade education in university is to supply high qualified employees to societies and companies. The problem is that companies have difficuties for recruiting of trade expert, on the other hand university graduates have few job oppertunies. It has some discrepancies between education and field. The object of this paper is to propose a direction of modification of the trade and international business curriculum for global trade expert. We research international trade and business departments' curriculums of GTEP universities. GTEP stands for global trade expert incubating program started from 2006 which have charge of MOCIE and KITA. First, in the title of department, a lot of former researchers have taken up the position to return "Trade" or "International Trade". We think more important fact is not the title of department but the curriculum, so we insist on a harmony between the department title and curriculums. The focus of modification of curriculum is to educate global trade expert, so we need to know about global business environment and companies' needs also. Second, We propose the directions for modification of curriculum are "convergence" and "specialty". Trade major is a mixed study in nature and trade major try to treat lots of subjects such as trade, business adminstration, economics, international law, international commerce, logistics and marketing etc to catch up changing global business circumstanses and companies' needs. So convergence of adjacent field is very important in study and training. Specialty means selection and concentration strategy for global trade expert. It is difficult to learn every knowledge and skills for employer's needs in 4 years and 140 credits. A students who has studied basic subject in trade, management, economics can choose 1 or 2 specailty subject such as trade and e-commerce, global marketing, logistics and transportation, commerce and policy, servive trade, foreign language and cross culture etc. In concusion, the concept of convergence and specialty is not separation but harmony each other, so we propose to promote two concept together for modification of the trade and international business curriculum for training of global trade expert.