Summary of discussion

The Twenty-First Pacific Trade and Development conference was presented with a number of theoretical tools with which to explain the multinational firm. Peter Drysdale noted that the concept of the firm as a non-political actor is inappropriate as a basis for theorising about the political economy of the multinational enterprise and its success or failure. The capacity to handle unfamiliar political territory had been important to the success of individual firms. The putative problem of the de-industrialisation and hollowing out of the Hong Technology economy would become an internal Chinese issue after Hong Kong's economic and political integration with mainland China in 1997. Yun-Wing Sung, Mee-Kau Nyaw, Hamilton and others argued that a common language and culture, derived from geographical proximity, underpins the integration of Hong Kong and South China. Concern was expressed that the wave of investment into China may be occurring at the expense of investment and development in developing East Asia, particularly ASEAN countries.