Economics of International Business - Assignment Example

Economics of International Business Student Name Institutional Affiliation Economics of International Business Question 1: Report Regarding the Attractiveness of Alternative Countries based on the Potential Return of FDI Though it seems like a long time ago, it was only 2007-2008 when the foreign direct investment and global economic performance decreased to all-time lows. During that past recent period of global economic recession, the business performance of many industries was at a standstill, if not at decline. The housing market seemed to collapse, banking industry experienced financial crises, the rate of unemployment was at unprecedented rise, and consumption was falling, which lead to 2 years of delayed investment and stagnant growth (Davidson, 2012). Therefore, foreign direct investment experienced a major strike from 2008 to 2009, with a significant rebound in 2010. Today, investors are seemingly ready to resume to business as the future business performance appears promising. Despite the fiscal policy stalemate, as well as unresolved debt issues affecting many developed countries across the world, most international investors are surprisingly positive about the global economic progress. Top in the list of the FDI Attractiveness Index is the United States (U.S.), which has resumed the 1st position for the second time since 2001. Indeed, the United States has made significant progress towards sustainable and steady growth through working to solve its debt issues, as well as other broader fiscal challenges. Despite this, the country is operating within the context of severe policy uncertainty. The other countries in the top this year include China (2nd), Brazil (3rd), Canada (4th), India (5th), Australia (6th), Germany (7th), United Kingdom (8th), Mexico (9th), and Singapore (10th). Essentially, Canada and Australia are popular for their eccentric minerals and fossil fuels, while the United Kingdom and Germany are known to offer investment opportunities, which are perceived as reliable and safe despite their specific, ongoing political and debt issues. At the same time, emerging markets progress charging ahead. In this regard, emerging markets account for 16 out of the top 25 FDI Attractive Index, with China being 2nd, Brazil is 3rd, and India is position 5. Led by Singapore, Indonesia, and Thailand, South East Asia is increasingly getting more empowered by the rising disposable income among consumers, which is a key aspect attracting investors. With strong exports and manufacturing capabilities, as well as close links to Canada and the United States, Mexico in the top ten. More importantly, the presence of Chile and Argentina in the FDI Confidence Index significantly highlights the South America’s rich bequest of natural resources, as well as the increasing consumer spending. Essentially, at the onset of the recent global recession, the global FDI decreased from a record of $2.1 trillion in 2007 to $1.9 trillion in 2008 and $1.3 trillion in 2009. This was as profits decreased, credit conditions stretched, and asset values plunged. However, the following year, 2010, modest gains were registered, on which FDI increased by $1.4 trillion. This reflected continued concern about the global economic prospects. In 2011, the global FDI progressed to improve to reach $1.7 trillion (Contessi & Weinberger, 2012). However, the following year, the ongoing impacts of the sovereign debt and global economic crises, as well as concerns over systematic uncertainty took their toll, on which global foreign direct investment took a huge step backward, decreasing by 18% to reach $1.4 trillion. More important to note is that indications suggest that caution remains a notable sentiment among investors. Nevertheless, most investors progress to hold back investment due to a range of near-term risks, such as the continued eurozone troubles, the United States fiscal uncertainty, as well as a potential economic deceleration in China. Undeniably, optimism appears to have a fresh definition today among investors reprimanded by economic disquiet. Whether the increased hopefulness proves real, remains to be actualized. However, this new optimism might play a great role in the continuing recovery. Today, indeed, there is a slow, but steady growth in the global economy with a notable exception of Europe (Ramcharran, 2011). In addition, the outlook is most positive for developing markets, such as most countries in Asia, South America and Africa, in spite of economic disquiet in developed nations, which are the main source of most investments in developing countries. Analysts indicate high optimism of growth in the United States and sparkles of hope is increasingly appearing. This is despite the fact that the United States growth since 2008 has been lowly inspiring. However, the United States labor force is more competitive, exports are improving as a result of a weaker dollar, the real estate market could be ultimately recovering, and the mining of unconventional fossil fuel and natural gas is surging. Nonetheless, growth could still be disheartening by the past standards, and fiscal stalemate still poses a great risk. What is more, investment analysts are very pessimistic about the European countries. This is perhaps because of the fact that 6 years since the economic crisis started, Europe could undeniably faces more decade characterized with no growth, if not a return to economic recession, particularly within the eurozone’s side-line countries, which could be a similar case with that of Japan in the 1990’s. Regional Perspectives Asia Pacific Region Asia attracts about one third of all foreign direct investment and remains the most preferred destination for investors. China’s consistent reign at the top of the list and its continued strength mirror its speedy economic growth, as well as its attractiveness for foreign direct investment. In addition, China’s incredible capable manufacturing, as well as enormous and increasingly attractive consumer market size draws immense inflows of foreign direct investors. Given the China’s changing dynamics of cost and the susceptibility of its export reliance throughout the economic crisis, the leaders of China are keen on enhancing their firms’ international positioning on one hand and intensifying domestic product demand on the other. Indicating this progress, foreign direct investment frequency in the service sector is registering faster growth, even surpassing those of the manufacturing sector. In addition, being the world’s most heavily populated consumer markets; the country continues to magnetize multinational firms, which are attracted by its rising disposable incomes among consumers, as well as the rise in demand for consumer products. Consumption is now exceeding investments as the country’s largest contributor to GDP, thanks to the rising spending on food, travel, and cosmetics. In what is viewed as complementing the domestic growth, many companies in China are becoming foreign direct investment players in their own right through acquiring core brands, technology, and sales channels (Keller, 2013). India has experienced swift economic gains in the past decade and has got a large, young, and a fast-growing population. In the recent years, the country has seen enormous foreign direct investment inflows, with investors consistently anticipating great potential. However, the fading away of investors’ sentiment could be on the way, mirrored by the decreasing growth and rising budget deficits and inflation are possible indicators of a rough path ahead. In addition, despite assurances of economic reforms, foreign investors could not be wholly reassured that reforms are forthcoming. More importantly, with the Indian government still holding the power of authorizing investments, red tape and local opposition could throw up obstacles to foreign investors. Moreover, manufacturing makes up only 16% of India’s national economy, but more industrial investors are increasingly getting attracted by its thriving domestic market (Hayakawa, Kimura & Lee, 2013). Technology-oriented manufacturing is on the rise and exports are swinging towards engineering products. Australia also holds steady in the FDI Attractiveness Index as resource value addition drives progressive economic growth. Coal and iron investment decreased due to declining prices and increased costs of production, but gold and mineral fuels have drawn interest, especially from China. Essentially, China is increasing its holdings in order to evade its spotlight to foreign currency. It also consumes more gold thanks to the remarkable growth of its aspiring middle class (Zhai, 2014). Furthermore, Singapore is also seemingly attractive for investors, appearing at position 10 in the FDI Confidence Index. More importantly, Singapore and the European Union are set to finalize a free trade accord that could further enhance foreign direct investment from Europe, which is already the nation’s largest investment source. Americas With the United States at the top of the list, and Brazil, Canada, Mexico, Chile, and Argentina making it within the top 25 in the list, Americas makes a sturdy showing going forward. Looking forward, investors are positive about the U.S’s solid fundamentals, such as an increasingly competitive labor force, as well as improving cost factors, which are helping the US business environment. Though the federal budget scuffle does not necessarily and directly affect foreign direct investment decision making, investors often keep a close eye on the possible effect on consumers and business sentiment (Stoian, 2013). However, the U.S. is still viewed as a base of economic stability among developed countries with market size, as well as the quality of its technology resources and skills remain essential to many multinationals. The United States’ manufacturing productivity has decreased since the economic recession. Following weathering downturn-induced curtails, firms invested in productivity-oriented equipment and tools. Coupled with rising wages and a weaker dollar in developing nations, these gains might bring long term economic benefits to the U.S. economy. In various less labor-intensive industries, outsourcing savings might diminish, making the U.S. a more attractive country to manufacture products bound for its own consumer. Although manufacturing might never be a key to the United States employment as it was during the 20th century, the renaissance might widen the economy and help in reclaiming opportunities (Sanjo, 2012). Essentially, most of manufacturing growth is intense in steel, automotive, and other sectors of transportation. European companies have been very active in exploiting opportunities of wage differentials in order to enhance production of automotives destined for the United State market. In addition, the revolution of natural gas is swiftly bringing down the energy cost in the U.S. Many corporations have commenced bringing production back to the American shores and they are considering costs and reduced time to market. Canada being in the 4th place, it is the only G7 nation to regain all of its employment and output losses since the global recession. Manufacturing is still the primary target, attracting more than one third of the foreign direct investment. In addition, Canada is the 1st G20 nation to provide a tariff free economic zone for manufacturers, and by the year 2015, all industrial tariffs will have been removed across the nation (Albuquerque, Loayza & Servén, 2013). In addition, the Canada’s gas and oil boom is increasingly attracting a beckon of interest, as the country boasts the biggest reserves world over, in which private corporations can invest. In regard to Mexico, its foreign direct investment decreased in 2012 to $12 billion from $21 billion in 2011. However, the new government is seen considering increasing foreign ownership limits in transport, energy, and communications in order to help in making the economy more competitive and dynamic as it recuperates from the recession. The demand from the United States, which drives 80% of Mexican exports, is essential for upturn as well. More importantly, North American vehicle market, and increased manufacturing could be upcoming, as the effects of logistics, pay, and currency fluctuations turn Mexico to a low-cost place for the United States firms to produce products, ahead of India, China, and Vietnam. While some investors could be discouraged by perceptions of Mexico’s continuing security problems, others seem not to be. Europe European region remain mired in debts, with unemployment, undercapitalized banks, and poor growth. However, investors continue committing resources to the region’s huge market of wealthy consumers, mature innovation climate, high quality workforce, as well as solid infrastructure. Essentially, the market value of the largest companies in eurozone, as well as the stock market values across the region has dramatically dropped. The region’s debt crisis has opened up opportunity for the emerging market investors, not only in regard to access to patents or raw materials, but also solid corporations established R&D capacity and distribution networks at a discount (Ramady & Saee, 2013). In addition, recent moves by the European Central Bank towards enhancing looser monetary policy might help improve the desolate growth projection and further give confidence to investors looking for attractive and promising markets. Although Germany is directly affected by the eurozone debt crisis, a sturdy rebound from the primary global economic crisis and the nation’s role as the Europe’s biggest global and industrial economy maintain it at the priority of investors’ minds. Just recently, China became the biggest single investor in the country thanks to acquisitions of many small and medium enterprises. These businesses, which are typically privately owned and niche industrial manufacturers’ acts as the backbone of country’s export driven economy and offer shortcuts to an international profile, local talent, leading technologies, and new markets (Jackson & Markowski, 2014). Moreover, investors from other nations also view Germany’s sturdy fundamentals as a reliable bet. The United Kingdom seems to be a progressively admired target for wealthy investors seeking resilience and stability in developed world. However, a British departure from the E.U has become an astonishingly realistic prospect, which might make a significant dent in investment and trade. The Prime Minister’s plan of a referendum by 2017 is being monitored closely by the entire European region, as well as by governments and investors across the globe that utilizes the United Kingdom as an entry to Europe (Meldrum, 2014). Though it appears at position 11 in the FDI Attractiveness Index, Russia is a country that should not be overlooked. Today, Russia is seen to be increasingly committed in seeking economic modernization and diversification. In addition, Russia joined the W.T.O. in 2012, which brought increased accessibility to export markets, as well as investors and lower trade tariffs. Coupled with cheaper labor costs and market growth, the move has really increased the attractiveness in the services sector for foreign direct investments. Africa and Middle East With volatility in Egypt, Bahrain, Syria, Libya, Yemen, and Tunisia, as well as continuing issues among Iran and the big powers, it is not a surprise that the foreign direct investment inflows to Africa and the Middle East is on the decrease. Nevertheless, pockets of might remain, with South Africa and the UAE serving as the main hubs for regional investments. Conclusion For heartened investors, the recent FDI Confidence Index suggests that there are important investment opportunities in both developing and developed countries. Asia has become a home to an increasing number of international investors, Latin America’s main economies are advancing ground, Europe is having many bright spots in spite of economic unrest, economies in Africa and the Middle East continue to thrive in spite of the regional economic instability, and the U.S. has become an inspiration of raised expectations. Increased upbeat investors’ attitudes focus on the potential for bright prospects in the future years, even as the intensity of near-future risks looms large and might potentially jeopardize progress. As investors shift to this swiftly changing economic scenery, they might play a significant role in enhancing strong economic recovery. Worth noting, rather than serving as momentary safe haven in times of economic turmoil, developing economies are increasingly becoming a complement, but not an alternative, for the developed world investors. Thanks to far-sighted internal investments and domestic policies, developing economies are increasingly having higher income consumers, who have become attractive target markets for international investors. The conventional perception of developing economies as high risk places is shifting. In locale after locale, from volatility of macroeconomics and consumer demand to taxation and regulatory barriers, investors indicate that developing economies have almost the same risk level as developed economies. Question 2: Factors that must be Considered when Formulating the Marketing Strategy for the Australian Venture Capital Company in the China Market Country Background China has a rich historical culture from 4000 years ago and these have played a critical role in shaping the Chinese culture and consumer behavior. China is one of the prosperous and leading societies in ancient times, but its development stagnated due to civil unrest, foreign influence and Mao‘s foreign autocratic regime. The People’s Republic of China was established in 1949 after Mao‘s communist party defeated the Kuomintang Nationalist party. Mao‘s Cultural Revolution in the 1960‘s instigated an egalitarian society and this has influenced the modern Chinese culture. Following the death of Mao in the 1980‘s, China has liberated its trade barriers and opened itself to foreign investment (LaFleur, 2010). Consequently, the economy has continued to grow until it has become the second largest economy in the world today. Geographical Factors of China China is located in the Eastern Asia and has the biggest population in the world of about 1.3 billion. The country is the second biggest country in the world in terms of land area, behind Russia. China borders 14 countries, which are more than any other country in the world. The bordering countries include Vietnam, Burma, Laos, Bhutan, India, Pakistan, Nepal, Afganistan, Kyrgyzstan, Kazakhstan, Tajikistan, Mongolia, Russia, North Korea, Japan, South Korea, Taiwan, and the Philippines (Cheong & Berg, 1997). The capital city of China is Beijing, but Shanghai is the largest city in the country. Essentially, Shanghai is located in the South-East Asia and has been identified as the 5th largest city across the world. In addition, it consists of the most essential commercial and industrial cities and is among the largest port cities in the world (Gaff, Choy & Chan, 2012). Presently, Shanghai has a population of 23 million and is anticipated to reach 30 million by 2020. Due to the favorable market environment in the Shanghai city, the the Australian Venture Capital Company should firstly establish its premises in Shanghai. Worth noting, China is characterized with 4 seasons, which include summer, spring, fall and winter. Essentially, summer is the peak tourist season. Seasons tend to impact what and how much a consumer chooses to purchase. Therefore, it is recommended that the Australian Venture Capital Company should adjust its product and service offers to meet this fluctuating demand between seasons. Socio-Cultural Factors More importantly, China is a country that is grounded in many social institutions, in which it manifests itself in a tendency towards high power distance index and collectivism. This significantly reflects how people and respect opinions are given from a higher authority. As individuals, the Chinese consumers perceive their family as the main source of influence in the cultural sense. What is more, authority revering behavior means that motivation is often to accomplish the goal of the family unit, since grandparents and parents have a higher status (Waterlow, 2003). In this regard, if the Australian Venture Capital Company takes on a family oriented position, the attitude of the Chinese consumers will be favorable towards them. In order to enhance external relationships, gift giving is usually practiced in order to build goodwill and companionship. More importantly, the effects of collectivism are most prominent in word of mouth marketing, which is generated from the high contact rate amongst group members (Fan & Zigang, 2003). Therefore, diffusion of a new product or promotional campaign is much faster when dealing with the Chinese consumers. In addition, brand loyalty is established in the group due to the preference of Chinese consumers to conform to the reference group. Essentially, their high degree of brand consciousness can be attributed to their belief in continuous interrelations with people and things. This means that, unless the brand or product proves to be unsatisfactory, the Chinese consumers are likely to become loyal customers. What is more, the living conditions of Chinese have increasingly improved at a progressive rate as the economy strengthens. As a result, the Chinese consumers can afford to buy more premium goods and services, and their desire to do so is reflected in a word-oriented lifestyle. More importantly, language is among the main visible differences between cultures, particularly when entering the Asian countries. The Chinese language uses characters that are a type of pictographic language. This indicates that the Chinese thinking tends towards a more holistic information processing. In other words, Chinese people are capable of seeing the bigger picture rather than focusing on the details. The media infrastructure in China limits the accessibility of social media, including Facebook and YouTube, but there is high foot traffic so outdoor billboard advertising is significantly more effective (Steele & Yau, 2000). Confucian values are the basis of organizing the Chinese society. Political Factors China is among the few remaining socialist countries that openly endorse communism. The government of China is commonly described, not only as communist and socialist, but also as a corporatist and authoritarian. In addition, it is attributed to numerous restrictions in many areas, which include free access to the internet, freedom of assembly and the press, freedom of religion, as well as freedom to have children, among others. China is ruled by the Chinese Communist Party, on which its powers are incorporated in the constitution. The country has got a hierarchical electoral system, on which the lower People’s Congresses are elected directly, while the higher People’s Congress are elected indirectly by the lower People’s Congresses. Economic Factors China has increasingly enjoyed a large economic growth with an average GDP growth rate of about 10% for more than 3 decades. This sustained growth has been driven by export oriented and labor intensive manufacturing activities. The country’s share of the world’s GDP has also increased since the commencement of its globalization activities, on which it increased steadily from 2% in 1980 to reach almost 16% in 2010. In addition, during the recent global economic condition, the GDP of China experienced a decelerated growth, although it did not suffer an actual recession (Richardson, 2010). In fact, China has actually assisted various economies recover from their recession due to its large demand for imported goods, as well as its contributions to support Asia’s emerging market economies. More importantly, China has experienced a heavy trade evolution since the late 1980s, where exports grew at an annual rate of 17%, which is more than twice the rate of world export growth. It was ranked 13th worldwide before the economic reform, but has since improved comprehensively to even surpass the United States, and become the world leader of trade in terms of total exported and imported goods in 2012. The United States achieved a total value trade amounting to USD$ 3.82 trillion, whereas China‘s total value of trade reached USD$3. 87 trillion. Following a pattern of between 10% and 20% of trade balance as a percentage of GDP in the early 2000s, the figures jumped to 30% in 2005 and nearly reached 40% in 2006 (LaFleur, 2010). In terms of China‘s trade patterns, China, regularly exported manufactured goods since the early 1990‘s, including machinery, electronics, iron and steel, and textiles and clothing. However, this share has significantly declined more than 20 per cent over the last decade and has instead been replaced with more capital intensive and technologically advanced goods. Essentially, the country’s rapid economic growth in the recent years is one of the greatest opportunity at the company’s disposal in its plans to venture in China (Richardson, 2010). In this regard, this business opportunity will significantly maximize the company’s full potential after establishment. Population Presently, China has the biggest population in the world, with more than 1.35 billion people. Nevertheless, China is among the countries with lowest population growth in the world. In addition, China almost 50% of the total Chinese population resides in the urban areas and amongst the largest cities on which, Shanghai has the largest population with approximately 17 million people, followed by Beijing with 12 million people (Flower, 2011). Therefore, it will be most appropriate for the quick service restaurant to firstly open up in the busiest city of China, Shanghai. General Business Climate of China China formally became a member of the World Trade Organization in 2001, and as a result, trade and foreign investments have grown in the country. Under the World Trade Organization agreement, tariffs on international trade have significantly been decreased and the market access to several regulated industries has also been phased in gradually. In the recent past years, a number of industrial sectors have been opened up, including franchising, inspection services, advertising services, technology sector, as well as freight forwarding agency services. Availability of advanced technology and raw materials, as well as the China’s rich human resources, both skilled and unskilled, have significantly turned the country into one of the most essential manufacturing bases across the world. Nevertheless, China still holds various challenging areas for foreign investments. However, the government of China is increasingly making substantial efforts towards addressing some of these challenges with a focus of encouraging foreign investors. For instance, China has relaxed its requisites on foreign exchange balancing, as well as raw material sourcing for foreign investors. In this regard, the foreign investors are no longer required to prioritize the local market while purchasing fuels, raw materials and other business operations materials (Steele & Yau, 2012). Many industries of China’s economy are becoming increasingly more market oriented, which means that smaller range of economic sectors is currently under administrative control. In addition, the current industrial policy places high emphasis on strengthening infrastructure, basic industries, transport, as well as energy. Market forces are increasingly playing a more active role in the country and the Chinese business climate is becoming less subjected to the government’s administrative guidance that previously. What is more, foreign investments in China continue being encouraged by the authorities, and the government is increasingly taking adequate measures in order to make the investment climate more favorable and less bureaucratic. For instance, the Chinese government is gradually delegating the business approval authority to the local governments. Essentially, this is considered as a major step towards decreasing bureaucracy. Furthermore, the main areas of priority include modern technology, energy, service sector, as well as environmental protection. More importantly, the Chinese government has enacted a series of regulations and laws intended to encourage foreign investors in the country. Incentives, such as reduced taxes and tax holidays are increasingly being introduced in an effort to encourage foreign investors (Simmons, 2011). Customer Profiles Depending on the geographical backgrounds and consumer segment in the country, consumer behavior is considerably different, which makes it impossible to arrive at a single conclusive description of the Chinese consumer behavior. However, some few generalizations can be made for the mainstream consumer. Among the mainstream consumers are the conservative spenders, the Chinese consumers are known for their pragmatic and are usually engaged in high involvement decision making process. These customers tend to fix a budget and evaluate the product features and attributes they feel they are worth paying for prior to making the purchase decision. This behavior is largely derived from the Chinese traditional Confucian values (Dinnie, 2004). The second mainstream of customers is the increasingly loyal consumer. In comparison to the Western consumers, Chinese customers are less likely to have a set of brand preference. However, if a company can promote the emotional benefits of its products, the loyal customers are likely to increase, given that income and status are adequate for the product. The modern shoppers are the other mainstream consumers. Currently, one main outstanding change in the Chinese marketplace is that consumers have started embracing the shopping experience as a form of entertainment, rather than a necessity (Dunfee & Warren, 2001). In addition, more consumers are increasingly seeking an online shopping experience, as well as convenience. Market Entry Strategy In deciding an entry mode, the company will significantly consider the nature of its product, as well as environmental and cultural factors. In this regard, the Australian Venture Capital Company will need to initially adopt a direct distribution method such as joint venturing, foreign direct investment (FDI) or franchising (Eng, 2005). This is mainly because of the fact that the company’s product comprises of a service element and can be classified as a high contact product. What is more, the company should also consider the factor that it is a foreign based company that has little experience with the Chinese culture. In this context, instead of adopting a high-cost and high-risk entry mode, the company should consider using franchising or joint venturing. Although franchising or joint venturing entry mode strategies are significantly indirect, they can act as a bridge between the company and the Chinese market environment through providing the company with superior local knowledge. Essentially, the effectiveness of this entry mode is reflected in the success of DHL and IKEA‘s success in entering the market (Richardson, 2010). Since China is a foreign market for the company, making a franchise or joint venture arrangement with an already established firm in China will enable the Australian Venture Capital Company to observe how the market works and develop a strong and consistent brand image while establishing a wide customer base. Having accomplished these objectives, the company can consequently choose to stand by itself after the time lapse of the joint venture or franchising arrangement (Block & Collins, 2013). One of the main advantages the company would gain through the use of joint venture or franchising market entry strategy is that the partner will have a deep knowledge of the most suitable business and marketing strategy applicable in the local market of China (Pigott, et al. 2002). This would significantly save the company time and resource wastage, which would otherwise be used in learning and adapting to this new market. This strategy is also cheaper as compared to the other forms of market entry strategy, such as direct foreign investment. Essentially, Chinese consumers tend to be very brand conscious. Therefore, the company should keenly focus on building and protecting a strong brand and image. In addition, before making substantive moves in the market, the company should consult with a suitable business consultant regarding trademark registration, as well as other concerns regarding intellectual property rights. Product Adaptation China is a country where adaptation is necessary when any foreign firms are entering the market because of its strong cultural characteristics and beliefs that are deeply rooted and different from that of the Western countries. Indeed, there are many foreign businesses that have failed to market and establish themselves successfully in China, which is mainly due to understanding the difference and the need to adapt (Xie, 2007). Considering the changes and attributes in the market, the Australian Venture Capital Company should focus on understanding how its product influences the market, as well as how the market influences the business. In addition, the company can use trial and error method to determine how the company and its product will be perceived in the Chinese market. References Albuquerque, R., Loayza, N., & Servén, L. (2013). World market integration through the lens of foreign direct investors. Journal of International Economics, 66 (2), 267-295. Block, C., & Collins, R. (2013). Doing business in China for Dummies. Hoboken, N.J: John Wiley & Sons. Cheong, C., & Berg, E. (1997). China. Milwaukee: G. Stevens. Contessi, S., & Weinberger, A. (2012). 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