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Individual project 2 - Essay Example

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Individual project 2

The elevated productivity was due to the raise in capital, machines, innovation in technology, more experienced and educated labor, enhanced support from the government and favorable political policies. Therefore, Japan’s miraculous economy was in the past as compared to the modern times as it is facing obstacles of low growth and development rate. Although the economic growth also enhanced the standard of living of the Japanese as compared to the Americans (Flath, 2005). The important factor was that the income in Japan is evenly and fairly distributed in relation to United States. Similar to United States economy Japan has also turned out to be a manufacturing nation. Japan has been successful in getting cheap labor from the neighboring Southeast Asian countries. This alteration from a comparatively more service economy has also exhibited the alteration of preferences and tastes of the consumers. Japan is considered to be the eight most densely populated country around the globe. The main problem with Japan is that the land of Japan is not large enough to cater the demand of agriculture. Japan despite all its success is not able to produce food for its own population. Japan is devoid of many raw materials necessary for the industry, for example coal, oil, iron ore, aluminum, copper and wood. Japan is relying on other countries for most of its imports. For these natural resources and energy Japan has to import all the following resources. The problem occurs to pay for the imports of Japan, what they do is that in order to pay for the imports Japan has to export some products to other countries. Chief exports comprising Japan is cars and electronic equipment. Trade or exports with neighboring and other countries is very essential for Japan. The variety of the goods of exports has altered over the time, moving from agriculture products to manufactured goods, steel, cars and textiles. As discussed above Japan has become unpopular in the field of agriculture due to lack of farmland. In current time manufacturing has become highly expensive as the wages have also increased. Another drawback for Japan is that it less competitive in energy for instance, aluminum and petrol and other chemicals, as the domestic energy resources are very few (Gao, 2001). Due to reasons Japan has to import oil from Middle East, as the prices of the oil were increased conversely Japan had to pay more for the oil. Japan has to export its products somewhere else not in the Middle East as they are not in need of those resources. This has increased the interdependency of Japan as they have trade relations with each other to make products available in their own countries. Japan even has to purchase raw materials such as coal and technology based items from Australia. With Australia, Japan has a trade deficit as they are not able to pay as they do not produce finished products. United States and Japan are very essential trading associates. Therefore, there exists a disproportion in their trade. Currently Japan is making use of its trade surpluses with the United States in order to pay for its trade deficit with the OPEC countries. China has many natural resources such as petroleum, iron ore, mercury, tungsten, antimony, molybdenum, vanadium, magnetite, zinc, uranium and hydro power. It also produces coffee beans and rice. The problem is that the quality of the natural resources is not very superior as compare to the other countries, for this matter many of ...Show more


Marketing Individual Project [Pick the date] Author The two- Asian countries selected for the purpose of report are Japan and China. Both of the countries have their own advantages making them distinct in their own respect. However, the resources of China are vaster as compared to Japan and they have less trade deficit as well…
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