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Perceptions of security risks in Northeast Asia are increasingly being shaped by the rise of China and Japan's more recent efforts to become a more "normal" nation. The momentum behind both developments is being felt acutely in the relationship between the United States and South Korea. While many argue that the stage is being set for an inevitable conflict, Thomas Fingar, the Oksenberg-Rohlen Distinguished Fellow at the Freeman Spogli Institute for International Studies, argues that what is happening in China and Japan provides an opportunity for greater multilateral cooperation.

 


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Global Asia
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Thomas Fingar
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9
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Japan is often cited for failing to capitalize on its innovative technologies and design aesthetics in global markets, but the advent of cloud computing provides new opportunities, says Kenji Kushida, the research associate for the Japan Program at the Walter H. Shorenstein Asia-Pacific Research Center (APARC), in a new coauthored op-ed.

In Nikkei Asian Review, Kushida writes with Martin Kenney, a professor of community and regional development at the University of California, Davis, that Japan’s market has a strong record of developing high-quality hardware and services, particularly in the consumer electronics and digital content industries, but a majority remains domestic.

Often referred to as the “Galapagos syndrome,” Japan is a technology leader but its output is largely confined to its own borders. The term compares the country’s industry to the Galapagos Islands, located off the coast of Ecuador, where geographic isolation has led to unique evolutionary development.

Kushida, who heads a new research project on Silicon Valley-Japan relationships, and Kenney note that many of the high-end core components in products from U.S. and Asian manufacturers are Japanese, despite loss of visibility on the final product.

The authors also say the rise of global cloud-computing services offers an immense opportunity for Japan, and a way to escape the Galapagos syndrome and enhance its global competitiveness.

The full op-ed can be found on Nikkei Asian Review online.

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A "Techno-Mall" highlighting various technology developments in Japan is held at the The Tokyo International Forum in Dec. 2013.
Flickr/Ben Lee
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Improving the environment for business is an important part of the growth strategy of Abenomics. As the goal for this effort, the Abe Administration aims to improve Japan’s rank in the World Bank Doing Business Ranking to one of the top three among OECD. This paper clarifies what it takes for Japan to achieve the goal. By looking at details of the World Bank Doing Business ranking, we identify various reforms that Japan could implement to improve the ranking. Then, we classify the reforms into six groups depending on whether the reform requires legal changes and on political resistance that the reform is likely to face. By just doing the reforms that do not require legal changes and are not likely to face strong political opposition, Japan can improve the ranking to 13th. To be in the top 3, Japan would need to implement all the reforms that are not likely to face strong political resistance. The conclusions, however, are based on the assumption that the conditions in the other countries do not change, which is unrealistic. Thus, Japan would need to carry out all the reforms including those with high political resistance to be among the top three.

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Takeo Hoshi
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Modes of Engagement front cover.

Of Asia’s 800 million Muslims, 215 million are minorities within their countries. These Muslim minorities have experienced a persistent decline in their socioeconomic and political status. Along with this decline, they are increasingly identified by their faith and largely accorded no other identity for civic relations. Why have these Muslim minorities been particularly affected during a time of unprecedented opportunities for the mainstream in Asia’s unprecedented era of growth and rising freedoms?

Using detailed analyses of China, India, and the Philippines, Modes of Engagement argues that key factors in this phenomenon include the linkage between socioeconomic decline, loss of political power, and narrowing of identity; nationalism and its associated connotations of the assimilation of minorities; the weakness of civil society generally in Asia; and the rise in regional and global alliances for security and trade.

Contributors include Wajahat Habibullah (National Commission for Minorities and National Institute of Technology, India), Rakesh Basant (Indian Institute of Management), Dru C. Gladney (Pomona College), and Joseph Chinyong Liow (Nanyang Technological University’s S. Rajaratnam School of International Studies, Singapore).

Rafiq Dossani is a senior economist at the RAND Corporation. His research interests include regional integration, security, and education. Previously, Dossani was a senior research scholar at the Shorenstein Asia-Pacific Research Center and director of the Stanford Center for South Asia.

Examination copies: Shorenstein APARC books are distributed by Stanford University Press. Contact them for information on obtaining examination copies.

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Muslim Minorities in Asia

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Shorenstein APARC

Rapidly changing circumstances continue to shape relations on the Korean peninsula and in East Asia. North Korea has repeatedly engaged in provocative behavior, and the constant flux of political, social, and economic affairs in the region has also created challenges for long-standing alliances.

This research project seeks to examine the interests and policy environments of South Korea, North Korea, and their neighbors. Issues addressed will include the role of North Korea, nuclear proliferation, Japan’s economic future, the rise of China, and Korean reunification.

A central focus of the research efforts at Shorenstein APARC is to analyze the bridges linking Asia and the United States. As the Asian diaspora continues to grow in America and across the world, new possibilities have emerged for migrants who become integrated into their host societies while remaining engaged with their home societies. Such trans-migration creates new innovation and trade opportunities for both Asia and the United States, as a positive-sum game where both sides benefit.

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Economists and business scholars have long tried to construct theoretical models that can explain economic growth and development in emerging economies, but Western models have not always been fully applicable to developing economies, particularly in Asia, due to differences in political, economic and social systems. Created to address this gap, the ABCD framework of K-Strategy is a more nearly universal approach showing how inherent disadvantages can be overcome and competitive advantages achieved. Using the ABCD framework, the lecturer will analyze Korea’s success at both national and corporate levels since the 1960s and discuss the framework’s implications for Korea’s future government policies and corporate strategies. He will also demonstrate the ABCD framework’s applicability to other countries. Hwy-Chang Moon, dean of Seoul National University’s graduate school of international studies, has done extensive research and theoretical work on the ABCD framework.

Hwy-Chang Moon received his PhD from the University of Washington and is currently a professor of international business and strategy in the graduate school of international studies at Seoul National University. Professor Moon has taught at the University of Washington, University of the Pacific, State University of New York at Stony Brook, Helsinki School of Economics, Kyushu University, Keio University, Hitotsubashi University, and other executive and special programs in various organizations. On topics such as international business strategy, foreign direct investment, corporate social responsibility, and cross-cultural management, Professor Moon has published numerous journal articles and books. He is currently the editor-in-chief of the Journal of International Business and Economy, an international academic journal. Professor Moon has conducted consulting and research projects for several multinational companies, international organizations (APEC, World Bank, and UNCTAD), and governments (Malaysia, Dubai, Azerbaijan, and Guangdong Province of China). For interviews and debates on international economy and business, he has been invited by international newspapers and media, including New York Times and NHK World TV.

This event is made possible through the generous support of the Koret Foundation.

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Hwy-Chang Moon Dean, Graduate School of International Studies; Professor of International Business and Strategy Speaker Seoul National University
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On April 3, 2014, Karen Eggleston provided testimony before the U.S-China Economic and Security Review Commission at the "Hearing on China’s Healthcare Sector, Drug Safety, and the U.S.-China Trade in Medical Products."

Some of the questions addressed included:

  • How has the nature of disease in China changed in recent decades? What kind of burden might it place on China's future development?
  • If providers are "inducing" demand by overprescribing drugs, it this a public health crisis in the making?
  • Can you outline the pros and cons of market reform in China's healthcare sector? What might be the proper role of the state of improving healthcare delivery?
  • Kan bing nan, kan bing gui (inaccessible and unaffordable healthcare) is one of the top concerns of ordinary Chinese. Which groups are most affected? Is this a global problem, what lessons can we learn from China?
  • The pharmaceuticals industry features in China's Medium and Long-term Plan for Science and Technology (2006-2020), as well as in more recent measures to promote indigenous innovation and industrial upgrading. Is it fair to say that the Chinese government is prioritizing domestic pharmaceutical companies, which foster economic growth, over the welfare of patients?
  • What were major successes and failures of the 2009 healthcare reforms [in China]? How have those reforms been supplemented by more recent measures (e.g. last November's Third Plenum)?
  • What aspects of China's healthcare reform should the U.S. government and U.S. companies pay most attention to?
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Karen Eggleston
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