Chinas Trade Disputes Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

By 2009, China's exports jumped from $ 250 billion in 2000 to a projected $ 1.500 billion in 2009. This is a huge increase in exports severely damaged competing enterprises in developed countries, particularly the United States and Europe. China's entry into the World Trade Organization (WTO) in 2001, guarantees the right of China to export to these countries, but at the same time, the WTO required China to adhere to certain rules, which sought to maintain fair trade and a level playing field. Several large pieces of each generated a series of trade disputes: the protection of intellectual property concerns, health and safety of products in China, labor and environmental standards, China's manipulation of its currency, and the costs and prices are determined by the government, not free markets. This case is a set of trade disputes and Chinese attempts to solve them. Much controversy has been invested in the cultural practices and ideological positions, so they can not quickly disappear. Deficiencies in the legal and judicial system in China prevent entities. In addition, many have relied on the government's commitment to protect interestsof Chinese enterprises and their employees, and this is why China can change its practice only when faced with retalitory real threats. The central government of China has experienced "principal-agent" problem, where his desires and decisions can be ignored by local authorities and businesses. Meanwhile, changes in the structure of the industry in developed countries have been negotiating changes in the position of Western governments. The case considers the WTO dispute settlement procedures and enforcement mechanisms, which were aimed at China's trade disputes. "Hide
by David W. Conklin, Daniel Cadieux Source: Richard Ivey School of Business Foundation 17 pages. Publication Date: February 20, 2009. Prod. #: 909M18-PDF-ENG