Free Essay

A Rising China

In:

Submitted By lalana
Words 2830
Pages 12
American Response to Rising Powers in an Offensive Neo-Realist World: A Rising China and its challenge to American Interests

The year is 2045, it’s a brisk December morning and the television is turned to CNN news in many American homes. China once again makes headlines as they have successfully landed a man on mars. The Chinese military has developed a missile defense system and is making plans to confront the Japanese military over fishing rights in the pacific. The Chinese market also makes headlines since it is the largest market in the world in terms of GDP and produces 30% of the products in the world. The effects of the Chinese military can be felt in the U.S since it has had to withdraw its navy from the pacific and now has smaller global reach. Three out of ten products picked up at Wal-Mart have the all too familiar “Made in China” printed on the back. This future is of course, fictional and too many may seem farfetched and impossible. However, this future is not all that unrealistic and with the current development of China, it may soon be a reality. China is headed towards a future where China is a global superpower economically, militarily and politically. How should American foreign policy address a rising China? Should we be accommodating and welcome a rising China or should we prevent China from ever reaching superpower status? Given the development of China, the way rising powers interact with world powers historically as well as theoretically and current as well as hisotoric Sino-American realations, we should develop a dessisive foreign policy that addresses the potential threat China posses to American Interests. The Chinese Economic Miracle
China is everywhere these days. The words “Made in China” are universally recognized. China sews more shoes and stitches more clothes than any other country in the world. It is also the biggest producer of consumer electronics making more DVD’s, TV’s and cellular phones than any other country in the world. The Chinese economy is marked by a robust growth rate of 10.2%, compared to a miniscule 3.2% of the United States. China also has the second largest economy in the world at 2.2 trillion. Furthermore factories are constantly outsourcing jobs to China since production there is much cheaper. When factories move to China they bring technology with them and as a result the Chinese population is becoming more current on cutting edge technology. To understand the Chinese economy we must explore how it all began.
The story begins with the 1949 revolution , led by Mao Zedong. After winning the revolution Mao Zedong ended a system of private land ownership that dated back for centuries. In 1956 China turned away from individual land use and assimilated the Soviet model of collectivization. Furthermore the government implemented the hukou system which was a series of laws that made the state the feudal master over its farmers. As a result farmers were extremely unhappy and immigrated into cities. Over 50 million farmers moved from the country side to the city from 1959 to 1960 and as a result the Chinese population began to starve. The government reacted by deporting all of those farmers back to the country side where they were to stay. This infuriated the farmers even more. Eighteen farmers from the city Xiaogang in the Anhui province secretly met and decided to divide the plots up discretely amongst themselves. They would give a set amount of crops to the government and sell the surplus. They would of course underreport the amount of production so that they would be able to sell something. This secret agreement caught the eye of Deng Xiaoping , the de facto leader of China from late 1970’s to early 1990’s. He saw that this arrangement was working very well. The land was producing more crops and wealth among the locals was higher than ever. Farmers then looked for new ways to make more money with their money thus stimulating other businesses. Deng Xiaoping decided to allow this as an experiment which became know as the household responsibility system . This system was officially implemented by the government in 1980.In the end it was farmers that launched economic reform in China and gave birth to the fast growing Chinese economy. Economic Success Equals Military Might
Few people would argue the Chinese economy is anything less than influential in the world. This Chinese economy is also extremely important since it will eventually have the ability to convert economic power into military power just as the Unites States did in the late 1800’s. In Fareek Zakaria’s book, From Wealth to Power he explains how a strong economy eventually leads to strong military and political might. He says that “National Power can be converted into international influence, but the state first requires the mechanisms and institutions that make this conversion possible.” His case study is the United States before the twentieth century. After the civil war the United States’ economy began to grow rapidly. America remained isolationist for many years and its military was in no way proportional to its wealth. However, after the United States developed stronger governmental institutions in the late nineteenth century it converted its wealth into power. It invested heavily in the navy in order to protect its ever increasing interests abroad. The US is a perfect example of how economic power leads to military and political power. China will follow in the steps of the US and in fact is currently showing signs of turning economic might into military might. The People’s Republic of China now spends 81 billion dollars on defense a year, making it the 2nd largest defense budget of any other country. China is also a member of the 5 nuclear states and currently has around 130 nuclear warheads. As far as conventional forces go China’s figures are frightening. China currently has 2,255,000 active troops making it the largest army in the world. As of now the Chinese military is not as technologically advanced as the American military. This will soon change as the US is constantly outsourcing its technology to China by way of factories and other private enterprises. China currently has no aircraft carriers compared to 11 American aircraft carriers and one being built; therefore China poses no real threat to American interests. However, as the Chinese economy grows so will its military strength. Evolution of Strong Politics in China
Politics is extremely important in shaping domestic and foreign policy and a state would not be able to wield a strong economy or a strong military without a strong political system and powerful institutions. The Peoples Republic of China currently employs a single party socialist republic. As a single party system it is extremely easy for the government to pass laws and legislation since it has no opposition. China’s political system is also very unique in that it is a hybrid of communism, socialism and capitalism. As China’s domestic political influence increases domestically we will begin to see its influence abroad. In fact China already has political power abroad that sometimes comes into conflict with American politics.
As one of the five permanent members of the United Nations Security Council China has much political influence and even veto power in international political issues. This display of political power can be seen in 1990 when China used its veto power to prevent UN peacekeeping missions to the republic of Macedonia and Guatemala. China has been relatively passive with its veto power using it only in three other instances; Once in 1972 to veto the admission of Bangladesh into the UN, in 1973, in conjunction with the Soviet Union to veto a resolution on the ceasefire in the Yom Kippur War and again in 1997 to veto ceasefire observers to Guatemala. Although China has only used its veto power four times it is still in an extremely unique position in the world. There are 243 countries in the world and only 5 have the unique power of vetoing resolutins in the UN. Also, as China grows it will develop more interests abroad. China will eventually use its political, military and economic power to protect its interests abraod and eventaully China’s interests will come into conflict with America’s interests.

It’s a Neo Realist World Out There
In an article written by Robert Gilpin called Hegomonic War and International Change he discusses the role of dominant and rising states and how they will come into conflict with one another. He says says that “costs to the traditional dominant state of maintaining the internatinal system increase relative to its capicity to pay…while costs of changing the system for a rising state decrease.” According to the law of demand the rising state, as its power increases, will seek to change the status quo which will lead to war. Law of Demand We can see, by the graph illustrated above, that these two states will come into conflict with one another. China, as the rising state, is going to want to change the status quo of the international system to better itself. The United States, on the other hand, is going to want to keep the system the way it is. This will of course eventaully lead to conflict among the two nations. History has taught us that rising powers do in fact challenge status quo powers. A notable example is France and England in the early nineteenth century. The British Empire was thriving. It had oversees colonies in every continent, thus the saying “the sun never sets on the union jack.” It had the largest landmass, population and GDP of any other nation in the world. At its height the British Empire had a populaiton of around 400 million people. France was also a thriving nation, but not nearly to the extent of the British Empire. France had just had a revolution and was rebuilding its governmental institutions as well as its national identity. However, it was doing this at a very impressive rate eventually developing markets and a navy that rivaled that of the British Empire. France was able to do so well, in part, because the British Empire maintained the international system, but more importantly because it maintained the security of Europe. Since France did not have to invest in the security of Europe it could instead invest in its military, among other things. When Napoleon came into power he decided his interests conflicted with England, since both nations had oversees colonies and thus territorial disputes. It was not until the battle of Waterloo that France was defeated. In this example we can see how a rising power (France) challenged the status quo power (The British Empire). If we look at history we can see that most great powers were challenged by a rising power. The Roman Empire was challenged by Carthage , the Spanish empire was challenged by France and England. The Soviet Union was challenged by the United States through out the Cold War. If we consider the lessons learned in history and a neo realist theory into consideration we can safely assume that the United States will eventually be challenged by a rising power. China seems as the most likely candidate to challenge the United States given the rate at which it is growing. We must therefore develop and appropriate foreign policy. Current Policy
Sino-American relations have been mixed though out history. As a result American foreign policy toward China has been mixed and uncertain in the twentieth century. In World War II the two nations were allies against the empire of Japan. However, after the end of World War II relations between the two nations diminished dramatically. In 1949 the Republic of China was no longer the legitimate government in China. Instead the nation was headed by the Peoples Republic of China. The new communist regime was surely not going to be looked upon by the U.S as an ally. This proved to be correct when the United States worked to prevent the Peoples Republic of China from taking the Republic of China’s seat in the UN. Eventually this endeavor by the US failed. Furthermore, the US did not officially recognize the People’s Republic of China as the legitimate government for 30 years and instead, maintained diplomatic relations with the Republic of China government in Taiwan and recognized the Rebublic of China as the sole legitimate government of all China. It was not until January 1, 1979, with comminique on the establishment of diplomatic realtions, that the two nations officialy established relations. After this Sino-American realtions, for most part, improved and foregin policy shifted more toward a policy of cooperation. There have, of course, been a few instances of tension. For example, currently the United States does not support development bank lending and will not support IMF credits to the PRC except for projects that address basic human needs. Relations were also strained with the accidental NATO Bombing of the Chinese embassy in Belgrade . Two years later there was yet another incident when in April 2001, a People’s Rebublic of China J-8 fighter jet collided with a U.S. EP-3 reconnaissance aircraft flying over international waters south of the People’s Republic of China. In the letter of two sorries , the United States formally apolygized for the death of the chinese pilot and for the unauthorized emergency landing of the American pilot but never apolygized for conducting signals reconnaissance off the coast of China nor did it take responsibilty for the crash. Indeed, American foreign policy towards China has been historically mixed and continues to be mixed today. Currently, China is neither an American ally nor an enemy. However, given the development of china, the way rising powers interact with world powers and current and historic Sino-American relations, we should develop a less mixed foreign policy that addresses the potential threat China posses to American Interests.

Prescrition
The United States should develop a policy of containment and support for the Republic of China in Taiwan. China has invested billions of dollars on its military. The US should discourage this kind of spending and should instead encourage China to spend its money on more humaine porpuses such as education. This would help human rights in China, improve the quality of life in and would also develop a more skilled chinese labor work force. This would also benefit the US in two ways. First, China would not be spending as much on its military so it would no longer be a threat and second China would be better equipped to develop new technologies which it could share with the US. Currently the US exports technology to China by way of private enterprises. It seems more fair and beneficial to both nations if there was an exhange of technologies instead of just giving it away.
The US should develop closer ties to the Republic of China in Taiwan and should also support it. Currently the question of taiwan is very complex. It is not clear whether taiwan is part of the People’s Republic of China, the Republic of China or if it exists as its own soveirn state. It is vital to American interests that Taiwan remain its own state or part of the Republic of China. Taiwan is an extremely important economic center in the world. It also controls very important shipping routes in Asia. If Taiwan fell to the People’s Republic of China the balance of power in asia would shift dramatically. The People’s Republic of China would be able to project naval military power at an alarming distance which would be able to challenge American interests directly. This US has already failed at implementing this policy since in March 14, 2005 the People’s Rebulic of China passed the Anti sesession law . This law was passed and the US did nothing.
Policy should also discourage so much economic integreation. Many experts argue that integration will lead to peace since neither will be willing to risk war. However, they are making the huge assumption that economic benefits outwiegh any other benefits or reasons for war. The US should not be so dependent on foreign economies. Currently China owns 70% of American bonds. This is very alarming since China owns much of our debt. This will disourage American policy makers from making appropriate policies towards China.
Indeed, the future of Sino-American relations remains uncertain. Immidiate policy will determine whether the 21st century will be marked by Chinese expansion or the status quo of the American state and its role in the world. America has no friends only interests and given the current state of the world it is in our best interest to implement a policy of contaiment and support for Taiwan. If we do not act accordingly the 21st century will go down in history as the Chinese century. America will never be the same again.

Similar Documents

Free Essay

Urban-Rural Rising Income Inequality in China

...Urban-rural Rising Income Inequality in China As a developing country, China is trying to develop its economy and solving the threat of poverty since the economic reform. As a well-known economist Arthur Lewis said that "development must be inegalitarian because it does not start in every part of the economy at the same time" in 1954 (Lewis, 1954). It is also true for China. The income inequality issue between poor and rich increased faster, which has a negative impact as China tries to become a more stable society. The gap between rich and poor is caused by complex factors. This paper is intended to discover and explain the issue of income inequality through urban-rural gap, and also give some suggestions according to today’s situation. Historical Analysis In pre-reform, China is very poor and has about 90% rural population (Knight et al., 2004). At that time, Gini coefficient measure income distribution is 0.280 (0 means perfect equality, and 1 means extreme inequality) (Naughton, 2007, p.217), which shows that Chinese people has almost equal income across the whole republic. Although it is good to show China is “one of the most equal countries in the world”(Naughton, 2007, p.217), the truth is that everyone is equally poor at the same time. In order to decline poverty and connect the new republic to the world, the Chinese leader Deng Xiaoping institute market reform and said “let some people get rich first”(The economist, 2001). Since then, China has maintained rapid growth...

Words: 1209 - Pages: 5

Free Essay

Rapidly Rising Wages and Incomes- Threat or Opportunity to Western Businesses Wanting to Succeed in China?

...Do rapidly rising wages and incomes in China represent an opportunity or threat for western businesses wanting to succeed in china? With a growth rate of 7.7% China is a rapidly growing country that has not only the second largest economy in the world, after the united states of America, but a vastly developing country that has a major influence on the rest of the world, especially more developed countries such as the US and the UK. It has a population of 1.4 billion people, soon to be 1 billion in urbanised areas that provide an abundance of consumers for new markets and therefore making it a major player in multinational cooperation’s targets for growth and profit. In the past Chinas geography and low cost factor have meant that many Western businesses have not only expanded into China and its markets but set up manufacturing bases in many of the coastal provinces and near big cities such as Shanghai. In 2009, 153 of the largest 200 exporters in China were firms with a foreign stake. The advantages of low cost manufacturing that is vital to many western businesses to succeed however may be coming to an end. Wage levels in China have increased continually over the last two decades as the economy developed and also from a variety of factors including to an aging population, social pressure and consequently the pressure on multinational corporations who operate within china. These wage increases and therefore rising incomes both offer the opportunity and threat for western businesses...

Words: 1406 - Pages: 6

Premium Essay

China Running Out of Workers

...thought that the entry of China into the world of economy would change the rules, with an effective and infinite reserve army of labor, China would be able to grow and grow without ever running out of workers and so having to upgrade and pay higher wages. This thought is gradually changing as China is facing shortage of laborers making the number of Chinese working-age adults scarce. This will have an economic impact since labor shortage would mean rising wages and then rising prices of goods manufactured in China. Company owners must take into high consideration how they can retain their laborers, which is a vital input in their production function.  International Application: Is China Running Out of Workers? The most populous nation on earth will soon have a labor shortage. “It is a serious situation if you are a manufacturer because now, you have got to compete on wages” (Anderson, 2004, para. 2). The available number of rural workers seeking factory work is decreasing and younger and more educated Chinese workers are now pursuing white-collar jobs. The number of young people entering the workforce is smaller than the number of retiring employees. The working age population has plateaued in size and will begin getting smaller sometime in the next five years, according to demographers and recently released census data. What will be the implication of the labor shortage? As workers grow scarce, wages are going up; sharply rising wages, gradually rising manufacturing goods of...

Words: 645 - Pages: 3

Free Essay

Ddddddddddddd

...as genocidal. The origins of the genocidal views pertain to the rising internal tensions that have caused a civil dispute between the north and the south. Meanwhile, the Islamist National Front (NIF), a powerful political party lead by Omar Hassan al-Bashir, took advantage of the Sudanese political instability to rise into power and reform governmental policies in Sudan. Since the ruling of al-Bashir many Sudanese people have become frustrated with rising levels of poverty, humanitarian reform, lack of representation within the government, and support for the pro government militia known as the Janaweed. Rising oppositions of the al-Bashir totalitarian regime became victims of a brutal genocidal act enforced by the president of Sudan. Consequently, the issue has captured the attention of the UN and pro-western democracy countries around the world. Over the course of history there has been a sudden increase in international influence and responsibilities on the major countries that represent a unified regime. Western influence has spread to become the main source of influence in the world; however rising economic influence has allowed China, an anti -western humanitarian policy advocate, to become an influential country. China's paradoxical humanitarian intervention policy has allowed China’s intervention policy in Darfur to evolve to become more flexible despite ingrained national sovereignty values.  Therefore China has taken a greater responsibility as a...

Words: 1173 - Pages: 5

Free Essay

How Revolutionary Was China 1850-1920

...During the years of 1850-1920 China did have some factors of being revolutionary, the decline in imperial China, their rise of their military as well as the change in the political parties, China also had factors of being a continuation such as their economy and the leaderships. However there wasn’t many factors of China showing to be a continuation this was because China was changing massively and at a fast rate during this period of time. One way to show that China was a revolutionary was the Boxer Rising. This was a popular anti-western movement in China, which was supported by peasants (such as farmers) uprising in 1900 which was set up to drive all foreigners out of China. It was a violent anti-foreigner and anti-Christian movement; it was motivated by proto-nationalists and backed by the empress dowager CIXI. In 1900 the Boxers besieged the foreign embassies in Beijing for two months until they were relieved by an international force. The rising was intervened by the Great Powers, which defeated the Chinese forces; because of this it further reduced the authority of the QING dynasty. The Boxer Risings changed China quite a lot: It made the leaders of China realise that they had to modernize and adopt European technology as well as this it also helped to opened the doors for Revolutionary movements such as the Communist Party and the to rise and to gain the support of China's people. Another factor that shows how revolutionary China was, was the End of the Chinese Empire...

Words: 714 - Pages: 3

Premium Essay

Child Labor in China: Attributing Factors and Possible Solutions

...Child Labor in China: Attributing Factors and Possible Solutions 1. Introduction The child labor problem has long been a human right issue which is worth concerning. According to the International Labor Office (2013), the estimated number of child labor in the globe in 2012 is about 244 million, of which 78 million of them are working in hazardous conditions. As one of the world’s most populous country and the largest exporting economy, China manifests the problem of child labor. This report will first discuss the main factors for which the child labor problem in China are attributed to. It is then followed by suggested actions that policymakers and private enterprises should take to help cope with this worrying problem. 2. Factors Contributing to Child Labor Problem in China 2.1 Lack of Education To many rural families, the costs of attending school such as tuition fees are unaffordable, and the accessibility to schools in rural China is so low that they have to make long journey to the nearest school (Morley, 2009). In addition, the quality of schooling is not guaranteed in many schools such that parents are deterred from sending their children to schools (Jensen, Nielsen, 1997). With the Chinese traditional belief that sons are more superior to daughters, they would prefer sending their sons to school only even when the families have the ability to send some of their children to school (Morley, 2009). Lacking education in China leads to a spate of children having no...

Words: 946 - Pages: 4

Free Essay

Globalization on Native Non-Western Cultures

...college graduate would have had a difficult time finding a job that pays as well as a typical BPO firm. (Kuruvilla & Ranganathan, 2007) Another example of globalization I would like to highlight is the growth of the western fast food business/restaurants into China. Before the event (growth of fast-food business/restaurants) the Chinese population was healthier and had limited options for eating out which included your typical Chinese restaurant, wontons sold on the side of the street and local food merchants. After the event (growth of fast food restaurants) the Chinese society/culture has had many changes, including obesity, change in types of food choices which in turn affected the Chinese overall health and economy (Cheng, T, 2003) Part B The growth of the fast food business/restaurants into China is a great example of globalization on a native non-Western culture. Fast food restaurants found that global business expansion would be a way to grow business and increase profits. Fast food was only introduced into China in 1987, with opening of the first KFC. They become successful overseas by adapting to the local culture. McDonald’s opened their first franchise in 1990; there are now over 800 McDonalds in China and an additional two hundred in Hong Kong....

Words: 684 - Pages: 3

Premium Essay

Domestic Real Estate Prices Thinking

...outweigh the costs, conversely when house prices do not control, its influence will do more harm than good. Introduction Real estate prices question has been one of the important bothers Chinese governments, in my personal view, China's real estate prices continued to raise a few reasons. Was the total population growth, income level, continue to improve, housing costs rising prices, housing loan stimulation, rising expectations, etc. These reasons have been plagued by domestic real estate researchers, real estate prices also leads to national many influence. Its positive influence is can promote economic growth and increase GDP; Negative influence is can lead to inflation, expand the gap between rich and poor. 3.0 Research Methodology Choosing the topic and search the information on the Internet Neatening up the information I search from the Internet Collecting the data Making conclusions Analyzing the reasons by myself Coming up with the solutions of the problems Writing the report 4.0 Main body As is known to all, recent 10 years house prices have plagued the government of China and national. The continued rise in house prices to common people bring heavy life burden, "humble abode" phenomenon has become a very common thing. Since 2005, real estate problem has become a hot topic, when two meetings convened life during, the...

Words: 1895 - Pages: 8

Premium Essay

Wgu Lat 1 Final

...industrialization begins to take hold in countries previously not seen as traditional powerhouses. Worldwide, prices have risen at a rate never before seen. With a burgeoning population of middle class workers, Asia as a whole, and China and India specifically, have fueled this pricing explosion. Research shows that the development of these former 3rd world countries is responsible for a large increase in global pricing due to the high demand for steel, oil, and agricultural products. One major industry which has been affected by this shift is the steel industry. The demand for steel along with the decreased supply has caused prices to increase by 25 to 45 percent in the US market. (Van Der Schans, 2007). Several factors have coincided to deal a damaging blow to the US steel market. Firstly, China and India have become major players in the steel industry, accounting for the consumption of over 25 percent of the worldwide steel supply. Cooney found that, “China has become both the world’s largest steelmaker and steel consumer.” (2006). China’s ability to dictate the market has led to a global shortage of structural steel, and as most people are aware, when the supply dwindles and the demand increases, higher prices are inevitable. The increased demand in China and India has caused these countries to redirect their exports in order to meet their own domestic demands. Some Chinese and Indian suppliers have halted exports completely;...

Words: 2513 - Pages: 11

Premium Essay

Black Sunday

...http://economyincrisis.org/content/rising-employment-grows-trade-deficit-due-to-free-trade-policies Trade Deficit Grows Due to Free Trade Policies April 10, 2012 Karl Rusnak 1 Comment Unemployment is rampant in the United States today, and Americans are rightfully asking for policies that will bring the problem under control. Unfortunately under our current free trade policies there is a direct correlation between unemployment and the trade deficit. As unemployment decreases we see a rise in the trade deficit because we have become so dependent on imports for our needs. This means that, until we fix our trade policies, any gains in unemployment will be tempered by a ballooning trade deficit. An economy with a massive trade deficit is unsustainable, and we must change our trade policies if we want to see our nation prosper. The official unemployment figure is currently 8.2 percent. Many economists estimate the rate at which the economy is considered to be at full employment to be about 4 percent, because even under the best conditions there will be individuals seeking jobs. Certainly full employment is desirable, but under our current policies it would do little to create any long-term prosperity for the United States. Our trade deficit was over $500 billion last year, but at full employment it is estimated that we would have a trade deficit of $750 billion or more. As more Americans get jobs, they have more purchasing power. Unfortunately many of the items Americans...

Words: 2334 - Pages: 10

Premium Essay

Wrigley Innovation in China's Confectionary Market

...Royal Melbourne Institute of Technology Product Innovation Case Study: WM WRIGLEY-- INNOVATION IN CHINA’S CONFECTIONERY MARKET Name and Student ID: Chi-Hao Tu S3296463    Liang Yen-Hsiang S3306170   Sophal PEN S3394842   The role of product innovation for Wrigley in China Wrigley, the world’s largest confectionary company, operates in around 40 countries, and also distributes in more than 180 countries. In Asia market, it produces wide range of confectionery products such as chewing gum, hard and chewing candy, and lollipops. If we look at market segmentation in China, there are around 28%, 24.4%, and 61.1% of high- class, middle- class, and low- class respectively. Wrigley’s penetrates Chinese local market by segmenting its market carefully. As the picture shown below, Wrigley runs 39% of whole gum market share in 2006. Due to rising Chinese middle class in recent years, Wrigley planned to launch a new set of confectionary products, both gum and non-gum products, to meet emerging new market. Having seen this development, Product innovation plays a critical role to maintain its leading market position in the industry. Resources: Chicago business.com, (http://www.chicagobusiness.com/article/20080331/NEWS07/200028762/wrigleys-newest-taste-wolfberry) To sustain consumer’s choice of its products, Wrigley continues to innovate new products not only to maintain its already-segmented market but also to attract new emerging Chinese market...

Words: 2479 - Pages: 10

Free Essay

China Threat Theory

...China Threat Theory Rising China: a security threat to the West? Abstract The rising China into the world stage has paved the way to the China threat theory. The China threat theory claims that China will soon disrupt the status quo in the world that has been dictated for decades by the Western nations like United States, United Kingdom and France. Especially the United States will not easily give up or relinquish their position as hegemon. The perceived threat of a rising China; especially when there are several publications of books, articles and anti-China bashing blogs that helps to exacerbate these fears. China’s increase in soft power and hard power does not mean it is a threat to the global security; China’s development and their economic growth relies on peaceful relations with the West because China needs access to their domestic markets. The main reason why China is considered to be a threat to the West is because they cannot maintain their domination on the world stage, and has to make room for developing nations like the BRICS countries (Brazil, Russia, India, China and South Africa). Yet China simply wants to develop and increase the living standards of its people, and no desire of aggressive military actions. Thus, the foundation of why China is still been seen as a threat will be explored but the conception will be dismissed because as a growing superpower these steps are logical and any country that is in the same situation as China now will simply...

Words: 1324 - Pages: 6

Premium Essay

Why Starbucks Succeeds in China and Others Haven't

...Why Starbucks succeeds in China and others haven't By Shaun Rein, CNBC.com Contributor Updated 2/10/2012 3:03 PM • Comments • • • • [pic] • [pic] • [pic] About 14 years ago, I met an entrepreneur who wanted to open up coffee shops around China. I never thought the coffee business would work there. The Chinese would not easily give up their tea-drinking culture for a bitter, overpriced drink, I told him. • [pic] By Greg Baker, AP A worker cleans the sign outside one of the many Starbucks outlets in Beijing. Enlarge By Greg Baker, AP A worker cleans the sign outside one of the many Starbucks outlets in Beijing. Sponsored Links Starbucks has proven me wrong. Howard Schultz, the CEO of Starbucks (SBUX), announced that China will soon become its largest market outside the United States. It has opened over 500 outlets in the country, which are more profitable per outlet than in the U.S. even though sales per outlet lags its U.S. counterparts considerably, according to the chain's chief financial officer, Troy Alstead. What did Starbucks do to succeed in a market where so many other Western food and beverage brands such asDunkin Donuts, Krispy Kreme, and Burger King have failed to live up to their own expectations? What Starbucks did right in China is a textbook case study in how food brands can succeed despite rising labor and real estate costs and increased competition on the Mainland. • PHOTOS: 10 fake businesses...

Words: 909 - Pages: 4

Free Essay

Chili Prices

...Macroeconomics Short Essay 1 Chili Prices hot on short supply and rising demand PK KRISHNAKUMAR & JAYASHREE BHOSALE, ET Bureau Jul 16, 2015, 04.00AM IST Tags: * (Meanwhile, keeping with…) KOCHI/PUNE: Chili prices are getting hotter due to supply squeeze and rising demand. The prices of the largest exported spice from India are hovering around Rs 95-Rs 100 a kg, 20 per cent more than the prices a year ago, and may race to a new high depending on the demand, trade insiders say Chili crop was down by 15 per cent-20 per cent due to erratic rains last year. This along with high export demand in the end of 2014-15 seems to have dried up the stock, particularly in Andhra Pradesh — the largest chili producing region. "At present the cold storages in Guntur are showing 30 per cent-40 per cent deficiency," said Ravipati Peraiah, MD at Vijayakrishna Spice Farm, a dry chili manufacturer and supplier based in Bellary. The annual chili production in the country is about 13-14 lakh tonne. Rising prices have led to hoarding, which in turn affects supply and boost prices further. "About 75 per cent of the available stock is with the traders and only the rest is with the farmers," said Venkat Rosaiah, president of Guntur Chilli Commission Agents Association. "Heavy purchase by China and Bangladesh last year has created pressure on the stock and has lifted the price. But if Andhra gets good rainfall in the coming weeks, the prices will cool." The prices are expected to go above...

Words: 839 - Pages: 4

Free Essay

China and New World Order

...China and New World Order Based on what you have learnt in this course, what kind of world order do you think we have now and to what extent a new world order is shaped by the rise of China? In what aspects is the rising China changing the existing world order? World order has a variety of definitions. In general, it refers the pattern of relations between states, behaved according to a set of institutional rules and principles. It changes over time when great powers rise and fall. Suggested by George Modelski, the Long Cycle Theory believes a war will emerge after the rising power threatens the original hegemony and might replace the existing world order. The challenge posed by the rise of China to the western dominance is felt worldwide as her second largest economic status. A question has been asked by an American scholar John Ikenberry – “Will China overthrow the existing order or become part of it?” This essay aims at introducing the current world order and investigating how it has been changed with the inclusion of China. One of the two major types of world order is the Westphalia order which is based on the modern state system. It is the concept of authority on the territory that the sovereignty of states and the fundamental right of politics is self-determined without any intervention from other states in internal affairs. This system highly respects the territorial integrity of states and the legal equality between states that is no matter the size of a country...

Words: 1169 - Pages: 5