| China's agricultural has been experiencing a unprecedented challenges and chances as join in the WTO. At the end of last century, the Chinese has lived a relatively comfortable life in general, and the consumption structure in China is upgrading. To satisfying the gradually increasing and changing demand of people, China should speed up the adjustment on industry structure. It is only to quicken the transformation of organizational structure, can we face and survival the harsh international competition. All of these problems can be solved by improving the competitiveness of agricultural products. Fruits are labor- intensive products, and fruit industry in one of the pillar industry in Chinese agriculture. In recent years, some problems such as structural surplus of products, low prices are affecting the development of China's fruit industry. Aimed at solving the problems in China's fruit industry, the thesis has analyzed the competitiveness of China's fruits and prospected the development of fruits industry in loess plateau in Northwestern China, it regards that there has latent competitiveness in developing the fruits industry in loess plateau. Also, the thesis has provided some constructive suggestions and measures to develop fruit industry.1. Based on the study on the international competitiveness domestic and outer, the chapter has defined the fruits competitiveness by the quality and quantities methods. Fruit competition is defined as the fight actions between two or over fruit companies to occupy a fruit market or pursuit certain developing objective of fruit. Fruit competitiveness is defined as the fruit industry of a company or a region to survive and develop in the international competition. Also, the chapter has reviewed and evaluated the competitive theory of western classic and neo-classic economics, neo-liberalism economics, maximum economics as well as competitive advantage. After summarizing the theories and experiences in the reform and development on China's fruit industry. It regards that weshould stick to the theory of competitive advantage, utilize utterly the regional advantage in loess plateau and form a interactive regional economic structure so as to improve the fruit competitiveness in loess plateau and China overall.2. With the theory of agricultural economics, the chapter has analyzed the international competitiveness of fruits in the frame of WTO. It regards that the fruit competitiveness is not only decided by the price but also firmly related to the marketing results. There are two aspects which affected the international competitiveness, the production cost and marketing results. Due to imperfect competition, differential products and consumer's preference, the prices of some products are high but still have stronger international competitiveness. Through forming a framework of domestic rate of cost, the thesis has analyzed the competitive advantages from three levels, resource allocation efficiency of fresh fruits, latent competitive advantages and protective level and distorting degree from the government firstly. Then, the thesis post-analyzed and examined the comparative advantages of China's apple and orange with TSC and KCA. It consider that apple, orange, pear in China gave higher competitive advantages but the competitive advantage of fruits is decreasing in general, mandarin orange and golden orange's export competitiveness is stronger while aurantium, lemon and bitter orange have no export competitiveness at all. In additional, the processed products such as apple juice , canned fruits have stronger competitiveness but fresh frozen fruits have not at all.3. The chapter has analyzed the non-price competitiveness from the following four aspects which weakened the international competitiveness of China's fruits: First, the variations and specialized species of fruits are less. Second, the inner quality of China's fruits is superior but the shape of fruits, chemical residuals in fruits has affected the quality heavily. Third, though the quality of some...
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