An Analysis Of The Competitiveness Of Korean Trade In Services

The process of global economic services structure optimization has developed rapidly, followed by the scale of the world trade in services was developed. Especially in the21st century, the scale of global service exports increased rapidly, the scale of global service trade export in2009increased by2.4times than in2000. More and more important in trade in services under the international trade environment, however. South Korea’s trade in services, based on a manufacturing-based economic development strategy, has not received sufficient attention.On the one hand, in South Korea, scales of trade in goods expanses rapidly, compared with a slight expansion of the scale of trade in services, but the deficit trend is very significant in the21st century. Currently, for the developing countries, a defect in services industries will become an obstacle to foot on the road toward to developed countries. To this end, studies about enhancing the competitiveness of trade in services in South Korea are very important. Over the past, studies about competitiveness of trade in services in South Korea are mainly based on comparative advantage, but this theory have some defects in the service industry, and some researchers consider that theory of competitive advantage is more suitable for the analysis of trade in services. Therefore, this paper will analysis competitiveness of trade in services in South Korea applies to above two theories.This paper is divided into following six sections:First, describes the background and significance of study, and the international competitiveness of trade in services of South Korean studies to be reviewed, and has established methods and logical framework of this study, at the same time described shortcomings and innovation of this paper. In the second part, outlines the theoretical basis of this study, including the theory of comparative advantage and the usefulness of trade in services and Diamond Model in "Competitive Advantage of Nations" of Michael·Porter. In the third part, at first define trade in services and then overview statistical sources of the data in this paper, and describe an international competitiveness and also corresponding describes the indicators in analysis competitiveness used. The fourth part includes detailed empirical analysis of the structure and competitive index analysis. First, the structure of trade in services for the analysis of South Korea consists of three parts:the overall structure of trade in services, structure analysis by category and by trading partner. After analyzing the results, through analysis about structure of trade in services in South Korea, this paper find that trade in services in South Korea have some problems, such as:import and export have focused on three specific categories, exports depend on traditional trade in services, have the small proportion of knowledge and capital-intensive trade in services, continuous long-term deficit. Secondly, analyze about the competitiveness index of trade in services in South Korea, this paper using collected data calculates three competitiveness indicators by the time series and categories, and then based on the results analyze on overall trade in services and by categories. Part V, based on Porter’s diamond model. in this part, trade in services is divided into transportation services, tourism services and other services, and then analyze on factors that influence on competitiveness of trade in services in South Korea. Finally, based on theoretical and empirical analysis, make some suggestion for improvement trade suggestion on improvements the competitiveness of trade in services in South Korea.