A Study On The Pricing Power Of Import Bulk Commodity In China

Recently,the international business of bulk commodity is more and more active,which promotes the study of pricing power.Iron ore occupies a pivotal role in the domestic economic development of a country,as the representative of the goods,China's iron ore imports takes more than half shares of the world's total iron ore imports.Iron ore imports mainly contain the spot transaction pricing model and long-term agreement pricing model.Currently,Rio Tinto mineral company,BHP,CVRD are the world's largest three iron ore suppliers and occupy more than 70% share of the world's iron ore supply market,occupying a huge monopoly advantage in the price negotiations.Spot ore are mainly from India,domain a small market share,with price fluctuations,thus the buyers are mainly small and medium steel enterprises.Nowadays,the Chinese companies basically lack the right to determine the price in international negotiations,including iron ore.In this paper,the iron ore pricing model is chosen as the research object,taking CNBM iron ore import as a sample,on the basis of the analysis of SDI model,combined with the successful experience of foreign iron ore import right negotiation,this paper analyzes the countermeasure of CNBM Company's international import pricing power.