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Analysis of competitiveness of Chinese textile in EU market Essay Example

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Analysis of competitiveness of Chinese textile in EU market

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Specific categories representing the economic position: Chapter1:Introduction; Chapter2: Literature Review; Chapter 3: Methodology; Chapter 4: Discussion; Chapter 5: Conclusions and results ; Reference, BibliographyChapter 1: Introduction: International Competitiveness has been defined in this Global Economy, as the measurement of the whole structure of the economy with its partners in the area of trade balance, world export share, rate of growth of productivity and real wages, and price elasticity of imports. The sate –societal arrangements significantly explain the changes in the International Competitiveness. This emphasizes the inclusion of the various tripartite institutions like business and organized labour force. These factors influence the international competitiveness through their impact on the creation and diffusion of innovation. The understanding of these state-societal arrangements and international competitiveness requires detailed industry specific analysis. Hart, further argues that a country does not need to be competitive in all industries, “some industries are economically strategic in the sense that their failure to be competitive makes it impossible for a country to be competitive in others in which participation is necessary to obtain access to generic technology” (Devine, 1994) As the largest textile and clothing exporter in the world, textile and clothing industry is an important traditional pillar industry of China. In spite of great achievement made in textile and clothing, China meets with great difficulties in textile and clothing export. EU market is one of the most important textile and clothing export markets of China.China’s Position in International Competitiveness: The performance of China’s textile and clothing industry can be measured in the international competitiveness based on the countries strategic advantage in the industrial field when evaluated in terms of workers relation and middle management, strategic advantage in the area of location, labour, land, natural resources and local population size. These basic advantages have to be boosted by sustained industrial growth as “clusters” which is a group of interconnected firms, suppliers, related industries, and institutions that arise in a particular location. The four “clusters” which influence the success of industry to an advantageous position are: “Firm Strategy, Structure and Rivalry which points out that the world is

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