Political arguments for regional economic integration

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1. You are the international manager of a US business that has just invented a revolutionary computer chip that can perform the functions of all known chips plus much, much more, but costs only half as much to manufacture. Your boss has asked you to decide how to expand into the Asian market. Your options are (i) export from US, (ii) license an Asian firm to manufacture and market the chip in Asia, and (iii) set up a wholly owned subsidiary in Asia. Evaluate the pros and cons of each alternative and suggest a course of action to your boss. 2. What are the economic and political arguments for regional economic integration? Given these arguments, why don’t we see more integration in the world economy?

Reference no: EM131006228

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