Theoretical Reviews of International Trade: Malaysia and China Exporting Goods in Asia

Wong Kok Yaw, Cheah Chee Keong
DOI Number:
International business is explained by many international trade theories. In this study, four important theories (i.e. Adam Smith’s Absolute Advantage Theory, Steffan Linder’s country similarity theory, Dunning’s Eclectic Theory and New Trade Theory) are applied on Malaysia and China on their exporting activities in Asian market to explain trends in business adequately. Malaysia is well-known as the world’s largest electrical and electronic exporters while China is the top hub for manufacturing exporting. Both countries are playing significant role in Asia trading activities. They are also contributing to the world economic through their exporting.
Absolute Advantage, Country Similarity, Eclectic, New Trade Theory.
Full Text: 
File download

Amadeo, K. (2018). International trade, its pros, cons and effect on the economy. The Balance. Retrieved from

Asian Development Bank. (2018). Asian development outlook 2018 supplement: Growth prospects soften for developing Asia. Retrieved from

BDG Asia. (2014). ASEAN electronics exports by country. Retrieved from

CEIC. (2018). China foreign direct investment. Retrieved from

China’s Ministry of Industry and Informational Technology. (2018). China remains world’s largest manufacturer and major network power. Retrieved from

Department of Statistics Malaysia. (2019). Malaysia external trade statistics October 2018. Retrieved from

Department of Statistics Malaysia. (2018). Monthly manufacturing statistics Malaysia. Retrieved from

Enright, M. (2017). Here’s why incoming FDI is far more important to China than thought. This Week in Asia. Retrieved from

Financial Tribune. (2018). Asia exports rebound to fuel growth. Retrieved from

Griffin, R.W., & Pustay, M.W. (2013). International Business (14th ed.). United States: Pearson Education Limited

Halim, A. B. (2018). Will Asia’s export continue in 2018? Malaysian Reserve. Retrieved from

Hill, C. W. L. (2013). International Business. Competing in the Global Marketplace. (10th ed). McGraw Hill Education: New York

Index Mundi. (2018). Malaysia palm oil production by year. Retrieved from

Investopedia. (2018). Globalization. Retrieved from

Leng. S. (2018). A good start but what’s in store for China’s economy in 2018? South China Morning Post. Retrieved from

Liu, S. Y., Hong, L., Chen, Z. Y., & Jiang, Z. (2018). Statistical analysis of property attribute to qualitative reference material of Aspergillus flavors based on the similarity theory. Journal of Food Safety and Quality, 9(1), 81-86.

Lockie, S. (2014). How to make Chinese economies of scale work. Retrieved from

Lomas, M. (2017). Which Asian country will replace China as the world’s factory? The Diplomat. Retrieved from

Malaysia Palm Oil Council. (2018). Malaysia palm oil industry. Retrieved from

MATRADE. (2015). Rubber products. Retrieved from

Mauldin, J. (2018). China is building the world’s largest innovation economy. Forbes. Retrieved from

Meckstroth, D. J. (2014). China has a dominant share of world manufacturing. Retrieved from

Meinardus, R. (2017). Why Asia is the champion of globalization. The Globalist. Retrieved from

MIDA. (2015). Electrical and Electronic. Retrieved from

MPOC. (2013). Malaysian palm oil industry. One of the world’s largest palm oil exporter. Retrieved from

MTIB. (2015). Natural rubber statistics 2015. Retrieved from

National Bureau of Statistics. (2018). China GDP annual growth rate. Trading Economics. Retrieved from

Ng, J. (2017). Malaysia’s January exports rise on strong electronics shipments. Nikkei Asian Review. Retrieved from

Ng. J. (2018). Electronics shipments help Malaysia’s exports swell in January. Nikkei Asian Review. Retrieved from

Parinduri, R. A., & Thangavelu, S. M. (2011). ASEAN+1 FTAs and global value chains in east Asia: The case of the electronics industry in Malaysia. Retrieved from

Pei, C. H. (2013). China still has 10 years advantages in manufacturing. Retrieved from

Sime Darby. (2014). Palm oil facts & figures. Retrieved from

Su, J. Q., & Liu, J. (2012). Exporting critical factors in China’s manufacturing technology innovation: Based on a case study from CNR Dalian. Journal of Knowledge-based Innovation in China, 4(2), 104-117.

The Economist. (2015). Global manufacturing. Made in China. Retrieved from ring-will-endure-will-make-development-harder-others-made

The Economist. (2017). China’s reputation for low cost manufacturing under attack. Finance and Economics. Retrieved from

The Star Online. (2018). Malaysia’s trade exports grow 17.9% to RM82b. The Star Online. Retrieved from

The Statistics Portal. (2018). China: export of goods from 2006 to 2016 (in billion U.S. dollars). Retrieved from

The World Bank. (2018). The world bank in China. Retrieved from

Trading Economics. (2015). Malaysia GDP annual growth rate. Retrieved from

Trading Economic. (2018). China foreign direct investment. Retrieved from

Turner, A. (2018). China is ready to turn its green opportunity into a major industrial advantage. The Japan Times Opinion. Retrieved from

Witzei, M. (2013). Volkswagen builds its brand in China. Retrieved from

Wong, K. Y. (2016). The study of ASEAN’s readiness on implementing Single Window: Perspective from the development of Malaysia’s information technology. International Journal of Business and Management Science, 1(12), 1-10.

Wong, K. Y. (2017). Study of Malaysia’s challenges in Asia international business environment. Journal of Business Management, 3(3), 94-101.

Wong, K. Y. (2017). Study of Pricing Factors for Profit Maximization. International Journal of Economics Reviews & Business Research, 4(2), 68-78.

Workman, D. (2018). Malaysia’s top 10 exports. World’s Top Exports. Retrieved from

World Bank. (2015). South Asia Economic focus spring 2015. Making the most of cheap oil. Retrieved from

Content Status: