Question

1. Did International Production Networks (IPNs) facilitate economic growth in Asia? If so how and are they still relevant? Address these questions with the use of valid real-life examples in your answer.

Answer 1

International production networks facilitate economic growth in Asia by providing trade assistance and opens the door of World Trade in the Asian countries, therefore, the role of international production networks is very important because of the following reasons.
It provides a real base where the trade can happen very smoothly.
The condition of trade relations is as per the conditions of the countries therefore it is easy to compare the cost and to establish our trade.
It will provide a big market with a large customer base to enhance the sale.
Productive efficiency increases with the help of absolute cost comparison theory.
Various types of financial facilities as there is a direct foreign investment in the countries with the help of international production networks.
Some real examples are global topmost companies like Apple and Samsung open their maximum units in the Asian countries; this is the true example of international production networks.