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Paper Information

Journal:   KNOWLEDGE AND DEVELOPMENT   2006-2007 , Volume - , Number 19; Page(s) 149 To 170.
 
Paper: 

@EVALUATING THE COMPARATIVE ADVANTAGE OF CERAMIC TILE INDUSTRY OF IRAN BY USING THE DRC TECHNIQUE: CASE STUDY OF THREE COMPANIES (SINA, ALVAND, NILOO)

 
 
Author(s):  PANAHI M.*
 
* SHAHID BEHESHTI UNIVERSITY, TEHRAN
 
Abstract: 

In this paper the comparative advantage of three companies (Sina, Alvand, Niloo) in producing the ceramic tile during a period of four years is explained by using Domestic Resource Cost (DRC) Technique. This technique is used for evaluating the comparative advantage, prioritizing investment projects, measuring the export capability of the country, evaluating import substitution and export promotion strategies. Compared to other similar techniques, the DRC Technique has more advantages over the others such as using up-to-date data and shadow prices.
In the first section, the DRC technique is explained, then the comparative advantages of three companies are evaluated and analyzed.
The result of this research shows that in spite of the fact that these companies have comparative advantages in producing the ceramic tile, they are gradually losing these advantages. One of the main reasons is the increase in direct & indirect production cost of these companies.

 
Keyword(s): COMPARATIVE ADVANTAGE, DOMESTIC RESOURCE COST, CERAMIC TILE INDUSTRY OF IRAN
 
References: 
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