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Q. Classroom discussion, no word or page limit: The U.S. market for computers is dominated by domestic industries such as Dell, Hewlett-Packard, and Apple. The U.S. market for consumer electronics is dominated by Japanese industries and brands such as Sony, JVC, Panasonic, Mitsubishi, and Toshiba. Elucidate however, the U.S. automobile market comprises both strong domestic industries like Ford and General Motors and formidable Japanese competitors like Toyota and Honda.
Analyze each of the above mentioned industry from the standpoint of each country-based and industry-based theory of international trade. Which theory is the best predictor and which is the worst predictor of reality for these industries?
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