BUILT-IN CONFLICTS BETWEEN PRODUCERS AND IMPORTERS IN HOME COUNTRIES. By Professor Sylvain Plasschaert. SOME CASES OF BUILT-IN CONFLICTS. 1. BICYCLES (2004).
Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.
By Professor Sylvain Plasschaert
SOME CASES OF BUILT-IN CONFLICTS
EBMA (European Bicycle Manufacturers Assocation) versus ETRA (European Two-wheel Retailers) 2004 re bicycles manufactured in Vietnam
The press reported both the complaint by EBMA and the rejoinder by ETRA, both of which were reported on the same page
The bicycles were manufactured in Vietnam by Taiwanese firms
Ex. Nokia handles 100 bln components for its 900.000 mobile phones
Finalized ‘made in China’ products contain much less value added in China
Domestic content share of ‘export’ processed (output only 18 % in 2006 and mainly operated by foreign –invested firms)
→ “made in China” ╪ “full value added within China”
SAME MULTINATIONAL with own production abroad
GLOBALIZED FIRM which outsources manufacturing
LOCAL CONTRACT MANUFACTURER
Has only contact with exporting firm in host country
Many firms in textiles, shoes, furniture in EU abandoned manufacturing and turned into traders/importers