Our investment to china has been increased since 1989. But the degree of investment is a little lower than that of any other countries. Under the internalization Korea should replace America, Japan with China to trade or invest because China is more a...
Our investment to china has been increased since 1989. But the degree of investment is a little lower than that of any other countries. Under the internalization Korea should replace America, Japan with China to trade or invest because China is more attractive than America or Japan.
From the theoretical study, the results are as follows. First, Korean corporates are competitive with Japanese on the obtaining skillful labor and raw materials at the area of Sandongsung, Tenjincity, Killimsung etc.
Secon, Japaness diversify from manufacturing department to non-manufacturing department, from labor-intensived industry type to capital-intensived one. So it is necessary for Korean to make more attractive investment strategy
Third, in case of direct investment, Japaness Keep primarily to prevent the transfer of production technology before maturity. But Korean is neccessary to review the technology transfer if getting the adverse profit of benefit.
Fourth, Korean needs ①to co-build department store, ②to open the market which only sell Korean product and to use together ③to lift the cognition through the lease of chinese department store.
Fifth Korean have stand-alone strategy but To make alliance with chinese of other country is necessary.
So. to develop the chinese market for a long term view, Korean pursuit bilateral strategy by way of the internal production of high value added products and the production with in china of low value added products.
Besides, it is necessary to co-invest with foreign corporates(example ; HongKong), to co-enter the chinese market with Korean corporates, to invest actively on the distribution sectors and major industry.