• Korea Trade Review
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• v.47 no.3
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• pp.141-156
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• 2022

This study intends to examine the regional blocs of the international crude oil futures market by analyzing the dynamic conditional correlation between the international crude oil futures markets using the DCC-GARCH model. For statistical data, from April 2, 2018 to March 31, 2022, international crude oil futures prices such as Europe, the United States, China, and Dubai were used. To summarize the results of the study, first, the phenomenon of regional blocs in the international crude oil futures market is occurring, and it is found that it is gradually strengthening as time goes by. Second, it was found that the dynamic correlation of the international crude oil futures market is temporarily strengthened when a supply-demand imbalance problem occurs due to a global shock. Third, it was found that the volatility of the Chinese crude oil futures market affects the international crude oil futures market. This study confirmed that the regional blocs phenomenon in the international crude oil futures market is strengthened as time goes by. In particular, it suggested that China's influence in the international oil market would increase.

• 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.

• Journal of Korea Trade
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• v.24 no.8
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• pp.121-132
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• 2020

Purpose - The principle aim of this study is to further investigate the relationship between market diversity and export performance. We examine the benefits and costs of geographic market diversity regarding the number of countries exported to by firms on their export performance. Based on the financial risk reduction model and the entry costs model, we propose a way to incorporate the costs and benefits aspects of market diversity. Design/methodology - To empirically investigate our research question, the curvilinear relationship between market diversity and export performance, we built a secondary panel data set between 2015 and 2019, containing 17,863 observations of Korean exporting companies. A generalized least squares panel estimator with fixed effects was employed to test the hypothesis, and the statistical package, Stata 14, was used. Findings - Our main findings are as follows: As market diversity increases, export performance increases because exporters can diversify and reduce financial risks in export markets. However, the relationship between the two does not grow. As it peaks, the entry costs increase due to the high market diversity, thereby outweighing the benefits, leading, eventually to decrease in the export performance. Consequently, there is an inverted U-shaped relationship between market diversity and export performance. Originality/value - In the export and trade literature, the impact of market diversity on export performance has not been addressed yet, despite the importance of this subject. Many scholars have assumed a positive linear relationship between the two, considering only the decrease in market risks as the number of overseas markets increases, without examining the increase in the entry and management costs. Therefore, our study contributes by providing a new perspective for analyzing the characteristics and outcomes of market diversity.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.53
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• pp.265-288
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• 2012

Trade in service, which deals with intangible product, is distinguished from trade of goods for tangible product. The current multilateral service trade is based on GATS which includes MFN, securing the predictability as well as transparency of related service rules, specific commitment basis market access national treatment. Recently the WTO service disputes are increasing according to the frequent filing complaints against the regulation of service trade in China. The rules of GATS are not as strict as those of GATT. The commitment schedules, which were materialized between members, gets binding effect through the obligatory provisions of GATS. The GATS is inseparable relation with the Appendix of finance, of telecommunication, and of air transport, with the schedules of commitment of member states, and with the reference paper to the 4th protocol. GATS article XIV which is the general exception of GATS has a similar structure of GATT article XX. Based on the possibility of filing to the WTO, there is a need to examine whether the whole rules, regulation, and policy international trade in service of Korea perfectly macthed with the GATS. Korea with poor resources should take up the more positive attitude for the opening of international service market. According to the reciprocal aspects of concession, if Korea doesn't open a service market, the other WTO member country wouldn't allow Korea to access the their market as well as national treatment.

• International Commerce and Information Review
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• v.8 no.4
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• pp.255-275
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• 2006

The objective of this study is to find the traits of the automobile parts industry in Korea and to analyze the performance of overseas market research. Considering the characteristics of the automobile parts industry & overseas market research, the proposed hypothesis are based on practical business in exporting & importing enterprises. A questionnaire was used to analysis the performance of overseas market research. According to the findings, first. oversea market research in the automobiles parts industry should carry out by various means because of the performance & traits differ from industry to industry. second, direct oversea market research(ex, trade exhibition) is better than indirect overseas market research due to high efficiency. finally, to support exporting company, the various data of economic, trade, international commerce should improve the quality.

• Journal of Distribution Science
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• v.13 no.7
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• pp.11-18
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• 2015

Purpose - This paper reviews the changes in the ship export and import structure between Korea and China. It utilizes the comparative advantage trade theory to analyze time-series statistical data from the market share index, revealed comparative advantage index (RCA), and trade specialization index(TSI). Research design, data, and methodology - Based on their economic phases, both Korea and China have similar country characteristics. The purpose of this research is to understand the two country's trade structures to fortify the Korea-Sino economic relationship including verifying what is working and what is not. Results - Based on the analysis, bilateral economic activity to achieve a plus trade stimulus environment should be realized in the long run. Both countries should establish guarantee-free trade negotiations and boundaries instead of various non-tariff barriers. Conclusion - Reviewing the research, a sound competitive relationship can be grown for mutual benefit including export market diversification in the near future. The review of the Korea-Sino ship industry is keenly important and investigative research about it is timely because it is a major industry in each country.

• Journal of Agricultural Extension & Community Development
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• v.10 no.2
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• pp.211-227
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• 2003

According to the TRQ system created by WTO agreement on agriculture, Korea notified the WTO of the application of tariff rate quotas for 67 agricultural commodities(now, 63 commodities). Among these government administrate state-operated trade for 17 commodities. However, WTO/DDA negotiation will bring about lowering tariffs and increasing quantities of tariff quota. This study suggest the development programs corresponding WTO/DDA agriculture negotiation. First, from the viewpoint of the protection of domestic agriculture & improving transparency of agricultural import administration, the administration system of the state-operated trade will be necessary to be transformed for market oriented methods. Second, the administration system of the state-operated trade will be necessary to be rendered unified organization also. The current system of the state-operated trade shows the phenomena og many divergency. And third, The quantities of market access of FTA between Korea and Chile will be desirable to be administrate by state-operated trade. Because, according to diffusion of FTA treaties, the amount of market access quantities of FTA increase rapidly henceforth.

• Journal of Korea Game Society
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• v.12 no.6
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• pp.59-70
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• 2012

There are many methods to buy and sell online items. But A lot of people use item trade sites when they want to sell or buy their items. This article analyzes the price structure of item trade, and finds why gamers use item trade sites in spite of the brokerage. We analyze the difference of item prices between in the market of item trade sites and in the market of other trade methods. And we find that the prices of item trade sites is higher than those of other markets. Buyers pay about 6% higher prices to seller. The higher prices are for the safe trading what item trade sites supply. And sellers take about 0.7% higher prices than in other markets. There is a sufficient motive when gamers use item trade sites in spite of their high prices.

• Korean Journal of Organic Agriculture
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• v.23 no.4
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• pp.683-702
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• 2015

The static status and dynamic trend of the market structure in the international wheat trade market are empirically analyzed. The export inequality level empirically proved to be high compared to import inequality level. And such states have been maintained since 2001 until 2014. Although the concentration level of export side seems to be easing, the international wheat market remains imperfect competitive market. Moreover, overall imperfect competitive status over 2002-2014 has been worsened compared to 2001 level. The main reasons are that the overall trends of the imports concentration is reduced more than those of the export concentration level.

• Journal of Arbitration Studies
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• v.26 no.2
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• pp.91-114
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• 2016

The purpose of this study is to promote trade between Korea and South American countries. Korea's trade with South America has decreased recently. This study analyzed the effects of arbitration on trade between Korea and South America. To this end, we conducted an analysis of the gravity model of trade between Korea and South America. The gravity model is a research method that is widely used to analyze the pattern of international trade. The dependent variables of the gravity model were trade in Korea and South America. The independent variables were GDP, population, and distance between Korea and South America. In addition, dummy variables were the FTA and whether to join the New York Convention or Washington Convention. Joining either Convention indicated the establishment of an international arbitration system. As a result, an arbitration system appeared to be effective in increasing trade. Depending on the results it shows the importance of utilizing the system of arbitration in South America. So this study analyzed the current status of arbitration in South America. To companies doing business in South America it provided the implications for an arbitration system there. Also it proposed a method for increasing trade for the Korean government and institutions.