TY - JOUR
T1 - US and Chinese Strategic Trade Policies and Product Differentiation in the ASEAN Apple Market
AU - Luckstead, Jeff
AU - Devadoss, Stephen
AU - Mittelhammer, Ron C.
N1 - Publisher Copyright:
© 2014 Korea International Economic Association.
PY - 2014/10/2
Y1 - 2014/10/2
N2 - ABSTRACT: We investigate oligopolistic competition between US and Chinese apple exporters in the ASEAN market using strategic trade theory and the NEIO literature. We also analyze competition in the US and Chinese domestic markets. The US supplies higher quality apples to ASEAN than China, resulting in product differentiation. The results show that US exporters had a higher markup than Chinese exporters through the 1990s; however, as the share of Chinese apples expanded, the US markup declined and the Chinese markup increased dramatically. Competitive pricing prevails both in the US and Chinese domestic markets.
AB - ABSTRACT: We investigate oligopolistic competition between US and Chinese apple exporters in the ASEAN market using strategic trade theory and the NEIO literature. We also analyze competition in the US and Chinese domestic markets. The US supplies higher quality apples to ASEAN than China, resulting in product differentiation. The results show that US exporters had a higher markup than Chinese exporters through the 1990s; however, as the share of Chinese apples expanded, the US markup declined and the Chinese markup increased dramatically. Competitive pricing prevails both in the US and Chinese domestic markets.
KW - ASEAN
KW - NEIO
KW - apples
KW - conjectural elasticity
KW - strategic trade policy
UR - http://www.scopus.com/inward/record.url?scp=84920130994&partnerID=8YFLogxK
U2 - 10.1080/10168737.2014.920894
DO - 10.1080/10168737.2014.920894
M3 - Article
AN - SCOPUS:84920130994
SN - 1016-8737
VL - 28
SP - 613
EP - 637
JO - International Economic Journal
JF - International Economic Journal
IS - 4
ER -