China the Dilemma of a Ethical Practices Essay

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China

The Dilemma of a Ethical Practices and Profitability of Trading with China

China continues to have one of the world's strongest and most resilient economies, achieving a 10.3% Gross Domestic Product (GDP) growth rate in 2010 compared to the world average of 4.2% and the United States' 2.9%. U.S. Lawmakers continue to question the $4M in foreign aid that Congressional budgets are requesting for one of the fastest growing economies globally today (Pennington, 2011). Despite the rationalization that this significant amount of investment is necessary for clean energy primary research, the rationalization is weak when compared to the many economic challenges and hardships the U.S. continues to face (Pennington, 2011). As of October, 2011 the cumulative 2011 trade deficit with China is today at $217B, down from a high of $270B earlier in the year. Arguably China could more afford to provide foreign aid to the U.S., not vice versa.

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Analyzing how China's Outlook Is Different Than the U.S.

China has successfully found a strategy of uniting their business development strategies with government regulations. China also has an aggressive currency strategy that further mitigates the risk their globally-based businesses while also stabilizing their domestic economy (Ho, Redfern, 2010). The combined effects of these economic policies has further distanced Chinese manufacturing firms globally from their competitors, as many are now so tightly engrained into the world's largest industries that they are essential to products being produced at a cost-effective rate. By taking this highly synchronized strategy of supporting business with government initiatives, China has emerged as the next economic superpower.

Meanwhile the U.S. is slowly becoming balkanized thanks to partisan politics and an indecisive electorate that can't seem to solve the biggest economic crisis the country has seen in nearly seventy years. This is the reason so many….....

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