Expansibility And Empirical Research On The Otherness IIT's Model

As a hot issue in the new theories of international trade, the phenomenon ofintra-industry trade is having deep influence on international division and industrydevelopment. And more and more scholars begin to study it. The paper uses the method of theacademic research and the demonstration analysis to study the issue. In the mass, the paperbegins with the theories of the otherness IIT, and then studies the development process of IIT,and the emphases is to study the otherness IIT model. The difference with the former paper isto consider the country characteristics and the industrial characteristics synthetically.The theoretic section of the paper is based on the existing productions and conclusions ofthe IIT. And after the review of the frontal and hot issues, the author analyses the othernessmodel of IIT and its applicability to China.As for the application section of this theme, the author uses the relative theories of greycluster analysis to study the relationship between the level of iron and steel's IIT and its effectfactors of China and its commerce partner country (region), and find out the main factors.Apply the grey system theory's GM model and consider both of the country characteristicsand the industrial characteristics to set up the otherness IIT model of China's iron and steelindustry. And have a forecast study of China's steel and iron industry's IIT. The resultindicates that the main effect factors of IIT is the average scale of the market ((?)) andCR4 of the steel and iron industry, and they can explain well the IIT. It indicates that themodel is good for the swatch countries. Through the analysis we can find out the CR4 ofChina's iron and steel industry is too low, and it the reason that CR4 has a negative effect toIIT of China's steel and iron industry. At last, we have a conclusion and offer somesuggestions to develop and perfect the study.