A Study of Factors Leading to International Trade between Taiwan and South America: The cases of Chile and Peru

• Main Authors: Jessica Aracena, 潔西卡
• Other Authors: Dr. Rolando J.N. CHANG
• Format: Others
• Language: en_US
• Published: 2011
• Online Access: http://ndltd.ncl.edu.tw/handle/43979273785631205283

碩士 === 銘傳大學 === 國際事務研究所碩士班 === 99 === World trade in goods and services has grown rapidly through years. As a result, the world’s trading nations have become more integrated. The cause of this rapid increase according to different intellectuals can be attributed to the rise in incomes, demand for goods and services of the world’s leading economies, and a reduction in the restrictions on trade basically after the establishment of institutions WTO. Nevertheless, trade is not distributed evenly across countries and not all of them trade with the same intensity. Therefore there are factors determining the creation and the intensity of international trade between two countries. The objective of the research is to understand the factors explaining international trade between two parts; in this case Taiwan and South America, studying the experiences of two representative cases in the area, Chile and Peru. The motivation of the author was using the results as a model for other nations interested on boosting or starting international trade with Taiwan. For the purpose of this study, a qualitative research was adopted with a contrast of quantitative data collection through interviews. The analysis of results of the interviews was combined with an analysis of secondary data. The findings showed that the most explicative factor of the trade relations between Taiwan and South America is the type of products traded. It is a determinant of the complementarity of markets and the intensity of international trade. The next significant factors identified were categorized in technological factors, social factors, economic factors and finally endowments of a country. Additional factors which have influenced in lesser extent international trade are diplomacy and the role of governments. And finally in order to contribute with the development of the trade relations analyzed, the research identified factors that would boost international trade for Chile and Peru. They are dissemination of information, promotion of markets, facilitations in trade through the signing of trade agreements, and encouragement to a variety of exchanges between countries. All the factors encountered provide opportunities to improve the conditions of the trade relations for the selected countries studied and also opportunities for other nations in the area of South America wishing to start international trade with Taiwan.