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Investigating the impact of Iran's accession to the World Trade Organization on the competitiveness of the road construction machinery industry

Number of pages: 157 File Format: word File Code: 30804
Year: 2016 University Degree: Master's degree Category: Management
Tags/Keywords: Iran's accession to the World Trade Organization - Machinery - Production of road construction machinery - road construction - Road construction machinery - Road construction machinery manufacturing industry - World Trade Organization
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  • Summary of Investigating the impact of Iran's accession to the World Trade Organization on the competitiveness of the road construction machinery industry

    Dissertation for Master's Degree (M.A)

    Trend: "International Marketing"

    Abstract

    The present study discusses the effects of globalization on the country's road construction machinery manufacturing industry. The hypotheses raised in this research were analyzed by PLS test. The results show that the membership of the World Trade Organization will have an effect on the industry's internal resources, position in the world markets, and the creativity and innovation of the road construction machinery industry, and we finally come to the conclusion that the competitiveness of the road construction machinery industry is affected by the country's membership in the World Trade Organization. The most important solutions to improve the current state of this industry in the process of joining the WTO are: increasing marketing research, participating in international exhibitions, producing products according to the tastes and needs of global customers, domestic and foreign joint ventures, introducing businessmen to the latest techniques of international marketing, export and e-commerce in order to maintain and expand market share.

    Introduction

    With the increasing expansion of international trade, various industries in the world are undergoing rapid changes and developments, and international competition is increasing day by day. It expands in different markets. The liberalization and expansion of competition in these markets is one of the important aspects in the process of globalization. Moving towards more competition leads different countries to restructure their markets and regulatory systems. This directs the attention of industrialists and regulatory bodies of the relevant markets to the need to emphasize more on the quantitative and qualitative increase in production, efficiency, quality of after-sales services, diversification of products, improvement in production technology and operational structure, meritocracy in the selection of employees, etc.

    The industry of road construction machinery can also be considered as a source of foreign exchange earnings for the national economy, provided that it has the necessary capacity and power to operate in international markets, especially the markets of regional countries, and can be adapted to it. meet the demand of these markets and make the products available, on the other hand, Iran's membership in the World Trade Organization has become a long-term process that after many years and after 22 requests in 2004, Iran was able to be accepted as an observer member for a 10-year period by appealing to the members' opinions. With other countries and the priority of Iran's membership in this organization in the programs announced by the Honorable Minister of Industry, Mining and Trade, the issue of Iran's accession to this organization has been raised again. Accordingly, this research, while examining and reviewing the position and role of the World Trade Organization (WTO), will investigate the effects of Iran's accession to this organization on the competitiveness of the road construction machinery manufacturing industry. have officially become members of the World Trade Organization, and 24 countries, including Iran, are engaged in bilateral or multilateral negotiations in order to fully join it as an observer member, which is the most important economy among the non-member countries of Iran, and joining this organization is considered an inevitable necessity and requirement for non-member countries, including Iran, in today's rapidly changing world that is constantly accompanied by mergers and economic combinations. It represents the fact that this industry is exposed to fundamental changes in the technological and organizational field, so that it is expected to have an annual growth of 6% and the value of this industry will reach 190 billion dollars in the world in 2017. In the framework of these developments, on the one hand, fundamental changes are taking place in the field of materials and parts required for these machines, their driving force, and the main sets that make them up, and on the other hand, due to the considerations aimed at globalization trends, fundamental changes will take place in the field of competition standards in the national and international arenas. The first and simplest message of this trend in the road construction machinery industry in the country will be the entry of road construction machinery with world-renowned brands into the country, and on the other hand, it will result in the entry of higher quality and lower cost primary parts for the production of these machinery.

    Industry of manufacturing road construction machinery throughout history and in the big companies of this industry such as Caterpillar, Liebherr, Komatsu, Alischalmers and International Huge have owned their own technology and authority for issuing special standards that have designed, engineered and produced all types of loaders, backhoe loaders, excavators, bulldozers, road construction rollers, graders, scrapers, so this industry has always been prominent as an important industry and in terms of job creation this point It can be considered that 12 people will be directly and indirectly employed for each loader machine, and due to the very wide and extensive connections between Pipeshin and Pashin, which have a wide range of manufactured products, such as loaders, rollers, mechanical excavators, bulldozers and many others, they have also received the attention of the development and policy-making system of the countries of the world. (Streg, 2013, Vol. 3 and 4)

    The importance of these industries for the country and its global trend shows that today's direction of Iran's road construction machinery manufacturing industry as well as construction and mining machinery has no choice but to become global, and in general, the country's globalization strategy and entry into the field of global competition is the country's biggest challenge in the way of industrial development. If it continues with structural reforms and planning to improve the quality of manufactured products and presence in regional and global markets, which continues due to the increasing need for new infrastructure production in different countries, especially neighboring countries such as Iraq and Afghanistan, Turkmenistan, it can become a competitive industry.

    Given that no research has been done on the effects of Iran's accession to the World Trade Organization on the country's road construction machinery manufacturing industry, therefore, in this research, the aim of this study is to investigate the effects of this accession. It is trying to answer this key question: Will Iran's joining the World Trade Organization affect the competitiveness of the country's road construction machinery manufacturing industry? 1-3) The importance of the issue, considering the discussion of Iran's accession to the World Trade Organization and, accordingly, the need for the country's industries not to rely on oil revenues, and proposing issues such as exporting and opening borders to foreign products, and entering the country's industry into a period of customer orientation from the period of product orientation, as well as the possibility The increase in production, the expansion of companies, and the complexity of the relationship between different companies of a group, including suppliers, markets, customers, and competitors, clarify the importance of such research on the effects of joining the World Trade Organization on various fields of industries. These researches can make all the subgroups of these areas move in line with the goals and correct policies and prevent inconsistency and waste of time and energy, and all the forces are aligned and more results can be obtained from them. On the other hand, the road construction machinery manufacturing industry in the country can be of special importance due to the possibility of providing significant services in acquiring various domestic and foreign markets. According to the above, the necessity of conducting such research for various industries of the country, including the road construction machinery manufacturing industry, which after Iran's accession to the World Trade Organization, intends to be present and remain in this competitive arena becomes clearer. Therefore, this research, understanding the above necessity, has made the effects of Iran's accession to the WTO on the competitiveness of the road construction machinery manufacturing industry the subject of its work.

    1-4) Research Objectives

    The purpose of the present topic, which has a more practical aspect in the road construction machinery manufacturing industry, is to predict the effects of Iran's membership in the World Trade Organization on the competitiveness of the country's road construction machinery manufacturing industry from the perspective of the senior executive managers of this industry, and to determine the extent of the influence of this industry on world trade. The policies applied by the managers and practitioners of the road construction machinery industry in the conditions created after the annexation, all cause competitive situations in this industry in order to minimize the negative effects or eliminate them as much as possible and benefit from the positive results.

    1-5) Theoretical framework

    For this research, the model presented by Dr. Mohammad Reza Mehrgan, Dr. Ezzatullah Asgharzadeh and Dr. Hossein Safari, in the book Measuring Competitiveness The company has been used

  • Contents & References of Investigating the impact of Iran's accession to the World Trade Organization on the competitiveness of the road construction machinery industry

    List:

    Chapter 1 - General plan

    1-1) Introduction. 2

    1-2) State the research problem. 3

    1-4) research objectives. 5

    1-5) theoretical framework. 6

    Chart 1-1- Competitiveness measurement model. 6

    1-6) Research model: 6

    Chart 1-2- conceptual model of research. 7

    1-7) Assumptions or research questions: 7

    1-8) Research method. 8

    1-9) research community. 8

    1-9-1) spatial territory. 8

    1-9-2) Time realm. 9

    1-9-3) Subject area. 9

    1-10) statistical population. 9

    1-11) methods and tools for collecting information. 9

    1-12) method of analysis. 9

    1-13) definitions of research terms and variables. 10

    1-13-1) GATT 10

    1-13-2) World Trade Organization. 10

    1-13-3) Competitiveness. 10

    1-13-4) Internal sources. 11

    1-13-5) Position in the market. 11

    1-13-6) The power of creativity. 11

    Chapter II-Theoretical Studies

    Speech 1- The concept of competitiveness

    2-1-1) Introduction. 13

    2-1-2) Approaches related to competitiveness. 15

    2-1-2-1) Resource-based perspective. 17

    2-1-2-1-1) Organizational capital. 18

    2-1-2-1-2) human capital. 20

    2-1-2-1-3) financial capital. 20

    2-1-2-2) View of the position in the market. 21

    2-1-2-2-1) Customer capital. 22

    2-1-2-2-2) competitive intelligence. 22

    2-1-2-3) perspective based on the power of creativity and innovation. 23

    2-1-2-3-1) Innovation capital. 23

    2-1-2-3-2) Power of information technology. 24

    2-1-2-3-3) knowledge management. 24

    2-1-3) previous studies. 25

    Table 2-1-1 - Research background of competitiveness. 28

    Second speech - World Trade Organization

    2-2-1) Introduction. 31

    2-2-2) Theoretical foundations. 32

    2-2-2-1) theory of mercantilism. 32

    2-2-2-2) Adam Smith's theory of absolute advantage. 32

    2-2-2-3) Ricardo's theory of comparative advantage. 33

    2-2-2-4) Opportunity cost theory. 35

    2-2-2-5) Heckscher and Ohlin theory of comparative advantage. 36

    2-2-2-6) Linder's theory of comparative advantage. 38

    2-2-2-7) Leontief's experimental test. 39

    2-2-2) General Tariff and Trade Agreement. 40

    2-2-3-1) The principle of non-discrimination. 41

    2-2-3-2) The principle of tariff stabilization and reduction. 42

    2-2-3-3) The principle of consultation. 42

    2-2-3-4) The principle of safeguards 42

    2-2-4) GATT multilateral negotiations. 43

    2-2-5) Creation of the World Trade Organization. 44

    2-2-6) GATT differences with the World Trade Organization. 45

    2-2-7) Structure of the World Trade Organization. 46

    2-2-7-1) Conference of Ministers. 46

    2-2-7-2) General Council. 46

    2-2-7-3) Committees 47

    2-2-7-4) Secretariat. 47

    2-2-7-5) Decision making procedure. 48

    2-2-8) Goals and tasks of the World Trade Organization. 48

    2-2-9) Commercial negotiations after establishment. 49

    2-2-10) Membership in the World Trade Organization. 53

    2-2-10-1) Problems and complications of annexation. 54

    2-2-10-2) Role and duty of UNCTAD. 55

    2-2-10-3) annexation process. 55

    2-2-10-4) Main members. 56

    2-2-10-5) Supervisory members. 56

    2-2-10-6) de facto members. 57

    2-2-10-7) Temporary membership. 57

    Diagram (2-2-2) accession formalities. 58

    2-2-11) World Trade Organization and developing countries. 58

    2-2-12) Iran and the World Trade Organization. 60

    2-1-12-1) Iran's accession to the World Trade Organization. 60

    2-2-12-2) The seven stages of Iran's membership. 61

    2-2-12-3) Chronology of Iran's accession to the World Trade Organization. 63

    2-2-13) Advantages of membership in the World Trade Organization. 69

    2-2-14) Challenges and opportunities in the process of economic globalization. 70

    A) Challenges 70

    B) Opportunities 71

    Third speech- Production of road construction machinery

    2-3-1) Introduction. 75

    2-3-2) Historical history of production of road construction machinery. 75

    Table 2-3-1 import value based on US dollars 78

    Speech IV - research background

    2-4-1) Introduction. 79

    Table 2-4-1 Comparison of previous researches. 86

    Chapter 3-Research Methodology

    3-1) Introduction. 88

    Chart 3-1 Steps of research. 89

    3-2-1) Classification of research based on method. 90

    3-2-2) Type of research in terms of implementation 91

    3-3-1) Thematic area.91

    3-3-2) Time domain. 91

    3-3-3) spatial territory. 91

    3-5) Method of collecting data and information. 92

    Table 3-2 General structure of questionnaires 94

    3-6) Data collection tool 94

    3-6-1) Scale and range of research measurement tools. 95

    3-7-1) Validity of research tools. 97

    3-7-1-1) formal narration. 98

    3-7-1-2) Validity of content 98

    Table 3-4 minimum acceptable CVR. 99

    Table 3-5 results related to content validity ratio 99

    3-7-2) Reliability (reliability) of the research tool. 100

    Table 3-6: Cronbach's alpha coefficient. 101

    3-7-3) Composite validity and reliability. 102

    Table No. 3-7: composite reliability values ??and convergent validity 102

    3-8-1) Division of variables based on relationship. 103

    3-8-2) operational definition of variables 103

    Table 3-8 indicators of research variables. 104

    3-9-1) Introduction of PLS ??method. 105

    Chapter Four-Analysis of Research Findings

    4-1) Introduction. 109

    4-2) Descriptive statistics. 109

    4-2-1) Description of demographic characteristics. 109

    Table (1-4). Frequency distribution of respondents by gender. 110

    Chart (1-4). Frequency percentage of respondents by gender. 110

    Table (4-2). Frequency distribution of respondents according to age. 110

    Chart (2-4). Frequency percentage of respondents according to age. 111

    Table (4-3). Frequency distribution of respondents according to education. 111

    Chart (4-3). Frequency percentage of respondents according to the level of education. 112

    Table (4-4). Frequency distribution of respondents according to service history. 112

    Chart (4-4). Frequency percentage of respondents according to work experience. 113

    4-2-2) Agreement tables. 113

    4-2-2-1) Consensus table of gender, age and competitiveness. 113

    Table 5-4- Consensus table of gender, age and competitiveness. 113

    4-2-2-2) Agreement table of education, age and competitiveness. 114

    Table 6-4- Consensus table of age, education and competitiveness. 114

    4-2-2-3) agreement table of work experience, gender and competitiveness. 115

    Table 7-4- Consensus table of gender, work experience and competitiveness. 115

    4-2-3) Descriptive statistics of research variables. 116

    Table 4-8- Central indicators, dispersion and distribution of variables 116

    4-3) Inferential statistics. 117

    Table 9-4- Significance level of Kolmogorov-Smirnov test. 118

    4-3-2) Test of research hypotheses. 118

    4-3-2-1) External model (measurement model) 119

    Table 10-4- Coding of variables 120

    Chart 4-5- General research model with partial least squares technique. 121

    Chart 6-4- T-statistics of the general research model. 122

    Table 11-4- External partial least squares model. 122

    Table 12-4- Bootstrapping value of partial least squares. 122

    4-4) Test of research hypotheses. 123

    4-4-1) Structural model evaluation. 123

    4-4-2) The criterion of the goodness of fit. 124

    Table No. 13-4: The results of the structural equation model. 125

    4-4-3) Test of research hypotheses. 125

    4-5) dimension rating. 127

    Table 14-4- Ranking of the dimensions affected by joining the WTO. 127

    Chapter Five - Conclusion and Suggestions

    5-1) Introduction. 129

    5-2) Research results. 129

    5-2-1) Sources within the industry. 130

    5-2-2) Position in the market. 130

    5-2-3) The power of creativity and innovation. 131

    Table 5-1 Comparison of results with previous research. 131

    5-3) Proposals. 133

    4-5) Suggestions for future research. 135

    5-5) research problems. 135

    List of sources and references. 137

    A) Persian sources. 137

    b) Latin sources. 141

    C) Websites 143

    Appendix. 144

    Source:

    A) Persian sources

    Azer, Adel; Momeni, Mansour (1384), Amaro and its application in management, Tehran: Samit Publications

    Azer, Adel; Gholamzadeh, Rasul and Qanawati, Mehdi. (2011). Path-structural modeling in managing the application of Smart-PLS software. Negah Danesh Publications, first edition.

    Adib, Mohammad Hossein, World Trade Organization, Namei Ghamani, Plastic Industries, No. 169, Khordad 1381.

    Amidbakhsh Esfandiar, Bijan Bidabad, Akbar Kamijani, Rafati, Hakimian and colleagues. Examining the effects of the membership of the Islamic Republic of Iran in the World Trade Organization on the industry sector, Industrial Management Organization, Ministry of Industries, December 2015.

Investigating the impact of Iran's accession to the World Trade Organization on the competitiveness of the road construction machinery industry
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