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Chinese Green Tea’s Global Market Power:an Empirical Analysis

LI Xiao-zhong LI Qing-guang  
In this paper,the global market power of Chinese export of green tea SITC(Rev.3) 07411 is measured by the model of residual demand elasticity in the four objective markets of Morocco,Japan,USA and Russian Federation.The research discloses that the export of Chinese green tea SITC(Rev.3) 07411 had a certain global market power,whereas some problem of low price and ho-mogeneity in product character which were tend to apply an excessive price com-petition in exporting practice,and large supply substitution elasticity of competi-tors were existed.The paper finds that the higher quotient of green tea market and lower cost is useful for improving the global market power of Chinese ex-port of green tea.But the lower home tea market concentration leads to lower price.Accordingly,the suggestions of developing the market power are proposed in the last section.
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