The Study Of The Goal-orientation Of Transforming Our Country's Foreign Trade Strategy

The integrated foreign trade strategy is the one our country is applying and based on the theory of comparative advantage. This strategy itself and its theoretical basis have many shortcomings, which results in a series of problems that include the incompetence of our exports, lack of power to increase export, worse off terms of trade, less advanced industry structures and so on. This situation makes the development of our country's foreign trade fall into the trap of comparative advantage. After the entry to WTO, the dramatic changes of international economic and competitive situations makes it inevitable to transform our foreign trade strategy. Brazilian's experience in carrying out the integrated foreign trade strategy can serve as an example for us to transform our current foreign trade strategy to another that could guide the development of our foreign trade. This thesis argues that several assertions of transforming our foreign trade strategy including export oriented strategy and free foreign trade strategy are unsuitable for the current condition of our foreign trade. According to the fundamentals for choosing a suitable foreign trade strategy, this thesis asserts that the competitive advantage-oriented strategy could be a better choice for directing our foreign trade. This strategy is based on the theory of competitive advantage and the theory of strategic trade policy. It takes the realistic and objective needs of our foreign trade into consideration,and also avoids the shortcomings accompanying other foreign trade strategies directed by the orthodox comparative advantage. The competitive advantage-oriented strategy still puts emphasis on bringing the comparative advantage of labors into full play. In addition, government, industry and enterprise constitute the three wheels that push forward with this strategy, in which each play a respective but indispensable and important role. This establishes the trinity model that helps carry out the competitive advantage-oriented strategy.