Category: Asia

In South Korea, similar to Taiwan, a forced industrialization path was followed with a limited raw material base. From the beginning of the 1970s, a concentrated build-up of steel production, shipbuilding, the chemical industry, automobile and mechanical engineering could be observed in South Korea. In the first half of the 1980s, the country turned more towards capital, technology and knowledge intensive industries and services; Not only the electrical industry, car manufacturing and mechanical engineering were promoted, but also electronics and biotechnology. At the same time, the state supported the large conglomerates, the Chaebol, with financial aid and tax breaks.

South Korea and Taiwan are going through industrial development cycles that follow in the footsteps of Japan. Both countries repeatedly took over industries that had passed their peak in Japan. In the 1960s and 1970s, Taiwan and South Korea relied on the textile industry, which was already stagnating in Japan, and on simple consumer electronics. Today, South Korean companies compete with their Japanese competitors in automobiles, computers, cell phones and consumer electronics; they have even overtaken them in many areas. South Korea is also very active in the growing biotechnology and service sectors. The country’s business locations are strongly networked internationally.

The People’s Republic of China occupies a special position with its path towards a socialist market economy. Due to the high economic growth, the export orientation and the huge domestic market, the country has become one of the most important economic nations on earth. In terms of GDP, China currently ranks second in the world (after the USA). Since the beginning of the economic reforms, the special economic zones on the coast and the “open coastal cities” established in 1984 have experienced the fastest economic growth. At the same time, they are the regions with the largest proportion of export-oriented companies. For more information about the continent of Asia, please check oxfordastronomy.com.