Product Life Cycle THEORY (國際貿(mào)易-英文)產(chǎn)品生命周期理論

1、.The product life-cycle model of trade (PLC) ()2 “The model (PLC) claims that many products go through a trade cycle, during which the United States is initially an exporter, then loses its export markets and may finally become an importer of the product. ”Louis T. Wells, JR34 Factor Endowment Theor

2、y assumed that: same technology in production; production function(生產(chǎn)函數(shù)); kind of products.) ( eg: some advanced countries: share very similar general economic conditions) But in reality, the technology every country adopted does exist gap, and this gap is dynamically changing. To explain the causes

3、 of international trade and trade patterns based on the changes in technology ,in 1961, the U.S. economist M. V. Posner proposed the Technological Gap Theory and gave an explanation. 5Technological Gap Theory (技術差距論) Trade maybe caused by technical changes and developments. “Particular technical cha

4、nges originate in one country, comparative cost differences(比較成本差異) may induce trade in particular goods during the lapse of time taken for the rest of the world to imitate one countrys innovation. ”International Trade and Technical ChangeA demand lag (需求時滯) (模仿時滯) A reaction lag (反應時滯) A mastery la

5、g (掌握時滯) 6t0模仿國生產(chǎn)和出口模仿國生產(chǎn)和出口T T（時間）（時間）創(chuàng)新國生產(chǎn)創(chuàng)新國生產(chǎn)創(chuàng)新國進口創(chuàng)新國進口模仿國出口模仿國出口創(chuàng)新國出口創(chuàng)新國出口模仿國進口模仿國進口t1t2t3需求時滯需求時滯反應時滯反應時滯掌握時滯掌握時滯模仿時滯模仿時滯模仿國生產(chǎn)模仿國生產(chǎn)國際貿(mào)易的可能國際貿(mào)易的可能7 However (whytake the leading position) (how longimitation gap) By combining PLC in marketing with international trade theory Technological developm

6、ent of a new product generally has three stages: new product stage, the stage of maturity and standardization.8World tradeManufactured products A products lifeTechnology transferFDI (Foreign Direct Investment)Import & Export tradeAdvanced countriesRaymond Vernon9 Products have a limited market l

7、ife PLC four stages (Marketing) location of production shifts dynamic development of comparative Advantage Theory based on Technological Gap Theory.10 Stage I: The New Product -Innovationhighly skilled labor; capital for R&D; location non-standardized; high cost; monopolizeTechnology-intensiveNo

8、 international trade happensStage II: The Maturing ProductStage III: The Standardized Product 11Stage I: The New ProductStage II: The Maturing ProductIncreasingly standardized flexibility in design; manufacturing declines; competitors develop; (prices and profit margins)Loses market or invests abroa

9、dtrade and investment are intertwinedCapital-intensive Stage III: The Standardized Product 12 Stage I: The New ProductStage II: The Maturing ProductStage III: The Standardized ProductCompletely standardized; Technology accounts less (LDC)Profit margins are thin, and competition is fierce.Labor-inten

10、sive (unskilled)13Stages of Product Development14 The PLC hypothesis in a has been changing for two reasons: geographical reach (networks spread) overseas subsidiaries (子公司) national markets of the advanced industrialized countries differences reduce-Raymond Vernon15A. The product is initially desig

11、ned and manufactured in the U.S.B. As the product moves to the maturing product stage, production expands to other advanced countries.C. The standardized production stage sees the comparative advantage of production and export shift to less developed countries.16 Exports Imports America Canada and EU Developing nationsCanada and EU import from U.S.Developing nations import from U.S. and Canada and EUU.S. Imports from other nations.TimeT1- T3- T4- T5-17 As the product life cycle stage changes, the determinants affecting the comparati