Intelligence Led-Policing Essay Example for Free

Intelligence Led-Policing Essay The police institution has undergone major changes aimed at rebuilding its public. These changes date back to aggressive cops to the modern day police whose are guided by the rule of law (Ratcliffe, 2003, p 3). Introduced in the late 20th century, community policing focused on restoration of police legitimacy through community participation. It aimed at re-connecting the police institution to the public (Ratcliffe, 2003, p 4). Various researches indicate that it failed to provide measurable results. Consequently other models including problem oriented policing, Compstat and most recently, intelligence based policing (ILP) have emerged. Problem oriented policing involves use of statistical trends in identification of areas of interest. Compstat on the other hand focuses on empowerment of middle level officers to rapidly respond to crime. Basically it involves crime mapping, viewing and discussion. The most recent, ILP is an initiative at making the police smarter. It is founded on the use of criminal intelligence by the police in fighting crime (Ratcliffe, 2003, p 6). Emerging as a rare and unique initiative that attempts at understanding criminal environments and thus predict its occurrence and trends, the initiative is increasingly gaining popularity. Unlike the other models, ILP does not favor the popular reactive and investigate approaches in fighting crime but rather focuses on early identification hence prevention (Ratcliffe, 2003, p 6). It ensures that police actions are based on intelligence rather than intuition. ILP emerges as an alternative in organizational restructuring towards crime eradication. It is a result of changing crime faces and the transnational crime emergence alongside globalization, electronic financial transactions and internet in addition to police demand gap and failures of the existing policing models (Ratcliffe, 2003, p 6). The major similarity of this model to the previous models is the cause. Each aims to reduce crime marginal through either prevention or reactionary techniques. However, the approaches the take differ enormously. While the earlier models focused on either reacting to crime or cause identification, this model focuses on understanding the crime and the criminal mind as the basis for criminal fight.

Understanding The Causes Of Phobias Psychology Essay

Understanding The Causes Of Phobias Psychology Essay Phobia is one of the famous psychological disorders and many people suffer from it, therefore we choose it as a topic of our research. Moreover, phobia is an attractive topic because it is a personal disorder. Although phobia is spread widely, many people do not know what the word means, so if we want to give a definition for phobia, we can say it is an irrational fear that produces a conscious avoidance of the feared subject, activity, or situation (Preda, 2010). Not all phobias have a name, but that doesnt mean that they do not exist, they exist and need to be cared. People who suffer from phobic disorder are different in their own type of phobia; also those people may live in different environments or in the same environment. In our research, we are trying to know if the environment plays a role in having phobia or not. So we made a survey on adults in different places in UAE, targeting Emiratis and expatriates for more than 5 years in GCC countries and it includes questions askin g about the types of phobia the sample have, the reason of their phobia and the procedures to overcome phobia in their opinion. According to Murtagh (2002) there are three classifications of phobic states. First , specific phobia which for example , spiders , snakes , dogs , thunder, toads,à ¢Ã¢â€š ¬Ã‚ ¦etc, for example, When a few friends walk around and suddenly a big snack show up, perhaps some of them will get little fear and the others will have extreme fear (Ophidiphobia) . For those people who get little fear, maybe they will shock or they will feel fear or terror, but will they be snaking phobic?! Perhaps the snake will step back while they are standing steady. Their feeling of fear or terror will decrease or refluent, and if there are wary about snack, they will not feel phobia .but for the others who feel so scared, they cant see snakes. They even cannot accept the concept of biting and poisons. They cant forget it because their minds relive it over and over again. Second Agoraphobia, fear of spaces or public places, it is more likely to occur in public transportation or shops. People who have this type of phobia avoid being outside home because they feel like they will lose control and cant do anything. Third, social phobias like fear, anxiety or provoking from social activities, those people cant deal with other people; they feel shy of speaking or acting. In 2010 Morrow said that any phobia can be developed as a traumatic experience in three situations. First, direct exposure to a traumatic event means a direct learning experience. For example, some people have dog phobia because they have bitten by a dog, so the reason of their phobia is a direct experience to a traumatic event (dog bite). Second, Witnessing a traumatic event, or in  simple words  (observational learning experience). When someone fears from specific thing or situation because of traumatic event of that thing or situation, some others may suffer from phobia from the same thin g or situation. For example, when parents fear from heights or they have tragic experiences on it, which can cause a phobic behavior on individual who grows with them towards heights. Another environment factor can develop a phobia is hearing or reading about any dangerous situation or events (informational learning). Anyone can get or have a specific phobia when hearing or reading about these kinds of situations. For example, a fear from flying could be caused by repeatedly listening to any news talking about plan crashes. Also any child could get phobia from an animal when their parents warn them all the time about the danger from it. Also phobia can cause by combine two elements together one is neutral stimulus and the other is an anxiety response like someone driving in the highway (neutral stimulus) and suddenly he got sudden attack , he will panic ( anxiety response) that make him develop avoidance of highways and become a phobic. Recent Findings: The basic neuroimaging research suggests that greater activation of the amygdale to novel versus familiar faces may be an underlying trait marker for social phobia. Social phobia may represent a phenotype that expresses a genetically driven trait of social withdrawal, which may be related to infantile inhibited temperament (Kagans syndrome). The development of virtual reality therapy as therapeutic tool for social phobia appeared promising in one controlled, but not randomized, study. A controlled study suggests that social phobias in children can be effectively treated with cognitive behavioral therapy. This represents an extension of the work done with adults. Venlafaxine appears an effective short-term treatment for social anxiety disorder in two controlled studies. A new compound, pregabalin, appeared clearly effective in a positive controlled study. This trial marks the advent of a new pharmacological lineage for social phobia. Both venlafaxine and pregabalin, h owever, have been studied in short-term studies. Longer follow-up and relapse prevention studies are warranted. Phobias are characterized by excessive fear, cued by the presence or anticipation of a fearful situation. Whereas it is well established that glucocorticoids are released in fearful situations, it is not known whether these hormones, in turn, modulate perceived fear. As extensive evidence indicates that elevated glucocorticoid levels impair the retrieval of emotionally arousing information, they might also inhibit retrieval of fear memory associated with phobia and, thereby, reduce phobic fear. Here, we investigated whether acutely administrated glucocorticoids reduced phobic fear in two double-blind, placebo-controlled studies in 40 subjects with social phobia and 20 subjects with spider phobia. In the social phobia study, cortisone (25 mg) administered orally 1 h before a socio-evaluative stressor significantly reduced self-reported fear during the anticipation, exposure, and recovery phase of the stressor. Moreover, the stress-induced release of cortisol in placebo-treated subject s correlated negatively with fear ratings, suggesting that endogenously released cortisol in the context of a phobic situation buffers fear symptoms. In the spider phobia study, repeated oral administration of cortisol (10 mg), but not placebo, 1 h before exposure to a spider photograph induced a progressive reduction of stimulus-induced fear. This effect was maintained when subjects were exposed to the stimulus again 2 days after the last cortisol administration, suggesting that cortisol may also have facilitated the extinction of phobic fear. Cortisol treatment did not reduce general, phobia-unrelated anxiety. In conclusion, the present findings in two distinct types of phobias indicate that glucocorticoid administration reduces phobic fear. (Leila M. Soravia, 2006) As we know Phobia is extreme anxiety (fear) to a certain objects, conditions or people. Medical phobia is known to be fear of health related objects and conditions (e.g. blood, death, diseases, cancer, infections, injections, and bacteria). From a survey done by our group members the statistics show that 26% of males suffer from medical phobia, while only 22% of females suffer from the same kind of phobia. Its hard to define what causes medical phobia, sometimes an unpleasant experience triggers it and this is usually would happen in an early age. (Marks, 1987) One of the well known kinds of medical phobias is the phobia from blood. In males and females the amount of people suffering this phobia are 13%. This type of phobia is common in adults and children. Its most common with the persons own blood, and most of the time it leads the person to faint, nausea, anxiety, and severs vomiting. (Marks, 1987)It could also be not from a personal experience, but that kind is not as sever as the one from the personal experiences. Death phobia is the most common kind of medical phobia in both males at 26% and females at 25%. This happens usually at an early age when the persons lose someone close to them. Also their fear of what comes after death, and their unaccomplished goals. Phobia from diseases is more common in males than in females 22% to 7% respectively. This phobia is triggered more in males because they are more outdoors more than females, diseases transfer between humans through simple things as simple as air. It usually occurs from personal experiences. This phobia includes all kinds of diseases, from a simple cold or flu to deadly diseases such as Suflas and malaria. Phobia from cancer is common more in females at 25% while in males its only 11%. It is not the same as phobia from diseases, this is only phobia from cancer and all its types (e.g. heart cancer, lung cancer, etcà ¢Ã¢â€š ¬Ã‚ ¦). The phobia attack strikes straight when they hear the word cancer. This phobia is mostly triggered from personal experience or someone close to them experiences it. At 13% in males and females, infection phobia causes the person to spend a lot of time under the shower and scared to death to get hurt and there constantly visiting the doctors for full body check-ups to make sure they are infection-free from everything. Extreme fear of injections or phobia from injections combines several phobias together (i.e. blood, injury, and being threatened by sharp objects). This kind of phobia is equally common in males and females at 13%, p eople suffering from this phobia always refuse to consult doctors simply because of their fear to have to take a blood test, and its very hard to convince them otherwise. Phobia from bacteria is the least common in males and females at 2% to 4% respectively. People suffering this kind of phobia always have to stay clean and everything around them has to stay clean too, these people usually get sick a lot more and faster than other people because their immune system is weaker. (Marks, 1987) For males, (12%) who afraid from water and see , (17.5%) of them shows there panic from monsters, (32.5%) of them admit that they are extreme fear from ghosts, (2.5 %) shows that they terrified from clowns,(15%) shows that they terrify from flying, and (2.5%) shows that they are panic from electricity . on the other hand , females are showing also phobia toward those situation, (14%) shows that they afraid from water and sea, (14.3%) of them are afraid from monsters , ( 28.6% ) of them shows that panic from ghosts, (26.2%) of them are extremely fear from graves, ( 2.4% ) of them are fear from clowns, (9.5%) shows that they are afraid from sea, ( 14.3%) of them are fear from flying, no one of female is afraid of electricity. As statistical graph shows, the extreme fear (from both genders) is from ghosts, graves and monsters, this phobia could happen due to some reasons. First, it might be that person sees many quick death events in front of his eyes and it develop in him the extreme fear of graves. Second, who like to be alone in every time and situations, he/she will felt the ghosts around them, they will think that they are followed and that will make them very scared. Third, the media play a big role in spreading the ghost and monster phobias, for example: Amityville Horror a film about ghosts, the purpose for it was to earn more many and to scare people (Stefko, 2010) So we can infer that the majority of causing phobia is past experience, may they faced the situation from first time individually or with groups like friends who may have genetic phobia or they have past experience on the same situation as a result the person has phobic because of that. we will not considered the answer of I dont know as an important factor because as we say some of people especially female (from figure) not prefer to tell what is the reason of having phobia or it may one of the other factors such as society or media or even past experience . Although there is no meaningful difference between people who get phobia from society and people who get phobia from media but it shows also meaningful reason of the high of society phobia rather than media. The reason is that people are more interact with each other; they share their feeling of different things. It is obvious that media is the last thing that lead to phobia to UAE people earthier the people have no much time to watch or listen to media or they expressed early that there is nothing on TV that make them become phobic because they used of it . From both genders we noticed that 46% of them think that facing and dealing with the phobic condition is the best way to overcome phobia. We can say that the reason of their opinion is they have phobia because of something or situation they did not test it before, or they may think facing and dealing with the phobic condition can make them get used to the phobic situation and beat their fear. For those who chose (counseling) and they represent 24%, the reason of their choice, is counseling can help them by giving them some advices to beat their fear. 30% is the percentage of who chose (support of family and friends) as the best procedure, and they may think that when family and friends support them by encouraging them they will overcome their phobia.

Integrated Cirriculum Research Paper -- Essays Papers

Integrated Cirriculum Research Paper Integrated curriculums are constantly becoming more popular with educators each and every day. It seems that with this increased enthusiasm there should also be an increased activity of integration taking place within the classroom. This, however, does not seem to be the case. Math and Science integration has been widely talked about and supported by educators young and old, but critics state that there is little evidence to show the effectiveness of integration in the classroom. The reasons for the integration of subjects in the classroom are many and easily understood. â€Å"Mathematics and science can easily be integrated given that mathematics is often the â€Å"tool† for doing and understanding science.† (Furner, 1999) â€Å"The idea of connecting subject areas has considerable face validity, because it seems like common sense. In the real world, people’s lives are not separated into separate subjects; therefore, it seems logical that subject areas should not be separated in schools.† (Czerniak, 1999) Supporters of math and science integration want the overall picture to focus on the students. â€Å"Advocates cite the many advantages curriculum integration holds in helping students form deeper understandings, see the â€Å"big† picture, make curriculum relevant to students, make connections among central concepts, and become interested and motivated in school.† (Czerniak, 1999) The last part of this statemen t seems to be the most critical. If we, as educators, can increase student’s interest in math and science (where enthusiasm is usually rather low) then integration would appear to be the way to go. With increased enthusiasm come better grades and attitudes. Integration relates directly to the c... ...tive effectively that is, more students master the objective, learn it more quickly, retain it longer or can apply it in more diverse ways- the integrated strategy is probably a waste of time.† (Hoachlander 1999) This data leaves us with a problem that needs to be resolved. What can be done about math and science integration so that it is effective? The answer may lie somewhere in the middle. A more modest approach to integration would be to continue with separate classes but to integrate mathematics into the science course and/or science into the math course. (Judson 2000) Whatever the answer is that educators come up with for integration in the classroom, it will most definitely have a groundbreaking effect on education as we know it. But as of this moment, we need to integrate our ideas and efforts, so that finding the answer is that much easier!

Children of the Holocaust Essay -- Jewish History Jew

Over one million Jewish children died during the Holocaust. They were ripped out of their homes and taken away from their families, and stripped of their childhoods. Innocent lives were caught in a war that they were not able to stop. When Adolf Hitler came to power in 1933, he promised Germany that he would improve life their by getting rid of the one race that caused the problems, the Jews. Jews, including Jewish children, were sent to concentration camps, inspected, and if approved, were sent to work. All others would have been sent to be killed. Being sent to work did not ensure survival, children would be given very little food and water, and beaten severely, which caused their death. None of the children of the Holocaust will ever forget the experience they went through, they will always remember. The Germans wanted to control the size of the Jewish population by forcing Jews to lived in segregated sections of towns call Jewish residential quarters or ghettos. They created over 400 ghettos where Jewish adults and children were forced to reside and survive. Most ghettos were located in the oldest, most run-down places in town, that German soldiers to pick to make life in the ghetto as hard as possible. Overcrowding was frequent, several families lived in one apartment, plumbing was apprehended, human excrement was thrown out with the garbage, contagious diseases ran rapid, and hunger was everywhere. During the winter, heating was scarce, and many did not have the appropriate clothing to survive. Jerry Koenig, a Polish Jewish child, remembers: â€Å"The situation in the Warsaw Ghetto was truly horrendous- food, water, and sanitary conditions were non-existent. You couldn’t wash, people were hungry, and very susceptible to disease... ... everyone with a purpose, and that purpose was to do God’s Will. God’s Will is meant to glorify God, not persecute innocent people for their ethnic and religious background. One of God’s most repeated commands is to love our neighbor as yourself. God wants us as Christians to display God’s love through how we treat others. The Holocaust was one display of how one should not treat another person. The Holocaust was one of the biggest disasters the world has ever seen. More than 1.5 million children were murdered 1.2 Jewish children, along with thousands of gypsy children, and thousands of handicapped children. The effects of the Holocaust can be felt today, not only by what we learn and read, but by those who have endured the pain of the Holocaust and saw their friends and family being tortured and killed. They victims will never forget, they will always remember.

Gender and Development Essay -- Gender Roles, Same Sex

Gender-role development is one of the most important areas of human development. The moment a women finds out she is pregnant she is often anxious to find out the sex of her child. The definitions of the terms "sex" and "gender" need to be understood. The term "sex" denotes the actual physical makeup of individuals that define them as male or female. Sex is determined by genetic makeup, internal reproductive organs, the organization of the brain, and external genitalia. The behavior of individuals as males or females, the types of roles they assume, and their personality characteristics, may be just as important as a person's biological framework. In order to differentiate between biological features one may take into consideration behaviors and social roles to establish "gender." Sex and gender are often intertwined, and certain social expectations can be attributed to ones biological sex. The sex of a newborn sets the agenda for a whole array of developmental experiences that will influence the person throughout his or her life. Overall, the sex differences between boys and girls in the first year of life are minimal. Boys may be a bit more active or fussier and girls more physically mature and less prone to physical problems, but that may be the extent of the significant differences. Mothers have a tendency to ignore more of their son's emotional outbursts in comparison to their daughters' outbursts. Boys may be rough-housed or played with in a more aggressive manor as well. This goes in line with stereotyping males as more hardy or tough and girls as gentle and soft. A parent can influence their child into these gender roles by the way they discipline. They may be harder on a boy than a girl for the exact same behavior. ... ...in the acquisition of gender difference in behavior and attitudes play a role in gender socialization (Lau, 1996). Gender role socialization according to a study done cross-culturally found that it could be narrowly defined by the type of sex-typed behaviors such as play activities and toys. In summary, gender identity is a learned behavior that starts at a very young age and can hinder or enhance a child's development. Gender plays a role in how a person defines themselves and grows as a person depending on their safety and security in being male or female and what that means to them and what they are taught at a young age. Bottom line is that men and women are different, and as a society and as parents being a boy or girl does not meet we have to fit into a certain box, as people are unique in of themselves, and that is what we can enhance and nurture to develop. Gender and Development Essay -- Gender Roles, Same Sex Gender-role development is one of the most important areas of human development. The moment a women finds out she is pregnant she is often anxious to find out the sex of her child. The definitions of the terms "sex" and "gender" need to be understood. The term "sex" denotes the actual physical makeup of individuals that define them as male or female. Sex is determined by genetic makeup, internal reproductive organs, the organization of the brain, and external genitalia. The behavior of individuals as males or females, the types of roles they assume, and their personality characteristics, may be just as important as a person's biological framework. In order to differentiate between biological features one may take into consideration behaviors and social roles to establish "gender." Sex and gender are often intertwined, and certain social expectations can be attributed to ones biological sex. The sex of a newborn sets the agenda for a whole array of developmental experiences that will influence the person throughout his or her life. Overall, the sex differences between boys and girls in the first year of life are minimal. Boys may be a bit more active or fussier and girls more physically mature and less prone to physical problems, but that may be the extent of the significant differences. Mothers have a tendency to ignore more of their son's emotional outbursts in comparison to their daughters' outbursts. Boys may be rough-housed or played with in a more aggressive manor as well. This goes in line with stereotyping males as more hardy or tough and girls as gentle and soft. A parent can influence their child into these gender roles by the way they discipline. They may be harder on a boy than a girl for the exact same behavior. ... ...in the acquisition of gender difference in behavior and attitudes play a role in gender socialization (Lau, 1996). Gender role socialization according to a study done cross-culturally found that it could be narrowly defined by the type of sex-typed behaviors such as play activities and toys. In summary, gender identity is a learned behavior that starts at a very young age and can hinder or enhance a child's development. Gender plays a role in how a person defines themselves and grows as a person depending on their safety and security in being male or female and what that means to them and what they are taught at a young age. Bottom line is that men and women are different, and as a society and as parents being a boy or girl does not meet we have to fit into a certain box, as people are unique in of themselves, and that is what we can enhance and nurture to develop.

Analysis of Hong Kong Economy During Financial Crisis

 ·808 · Proceedings of the 7th International Conference on Innovation & Management An Analysis of the Hong Kong Economy after the Financial Crisis Cao Hongliu School of Management, Guangdong University of Technology, Guangdong, P. R. China, 510520 (E-mail: [email  protected] com) Abstract This paper analyzes the current economic development and the status of leading industries in Hong Kong. It shows that Hong Kong economy, which is mainly comprised of the service industry in particular, facing with both opportunities and challenges after the financial crisis.Hong Kong economy has a wide range of needs in information technology, electrical and electronic technology, and manufacturing technology. Development in these areas has great significance to ensure sustained development of Hong Kong economy. Key words Hong Kong economy status; Leading industry; Service industry 1 Introduction Hong Kong’s a small and open economy system and international financial center, its economi c development face many new challenges because of the impact of the global financial crisis.Therefore, a comprehensive analysis of the Hong Kong’s economic development and their leading industry status becomes an important issue. 2 Overview of Hong Kong Economy 2. 1 The services sector is a leading industry in Hong Kong From Table 1, we can see that the services industry is a leading industry of Hong Kong economy. During the decade from 1997 to 2006, services sector in the Hong Kong economy has gained greater prominence. This change has already been reflected in the share of contribution of the services sector to the local GDP.The contribution of the services sector to GDP increased from 85. 9% in 1997 to 91. 2% in 2006. Based on the industry definition of Hong Kong Census and Statistics Department, The services sector includes wholesale, retail and import and export trades, restaurants and hotels; transport, storage and communications; financing, insurance, real estate and b usiness services; and community, social and personal services. Table 1 Gross Domestic Product (GDP) by Economic Activity (at Current Prices) GDP by Economic Activity(2004-2007) 2004 2005 2006 2007Economic activity Agriculture and fishing Mining and quarrying Manufacturing Electricity, gas and water Construction GDP 886 72 44455 39726 40376 ratio 0. 1 * 3. 6 3. 2 3. 2 GDP 847 100 45547 39924 38538 ratio 0. 1 * 3. 4 3 2. 9 GDP 849 93 45761 40364 38688 ratio 0. 1 * 3. 2 2. 8 2. 7 GDP 895 114 39282 39426 40154 ratio 0. 1 * 2. 5 2. 5 2. 6 Services 1119304 89. 9 1207873 90. 6 1297545 91. 2 1429293 92. 3 Note: Data is from Hong Kong Annual Digest of Statistics (2004-2008 Edition) edited by Hong Kong Census and Statistics Department. Data unit is in million terms and ratio unit is %.Besides, * represents the comparison had less than 0. 05% is in the total economy The services sector becomes the principal source of employment. The employment share of the services sector in total employment h as increased moderately over the past decade, from 79. 8% in 1997 to 86. 6% in 2007. In 2007, the services sector as a whole engaged 3. 03 million persons out of the 3. 5 million overall employments. The services sector plays a significant role in supporting the growth of our external trade. In 2007, the value of exports of services reached $652 billion, representing an average annual growth rate ofProceedings of the 7th International Conference on Innovation & Management  ·809 · 8. 6% over 1997. In 2007, merchant and other trade-related services was the most important major service group, contributing 30. 9% to the value of total exports of services. It was followed by transportation services and travel services, contributing 28. 6% and 16. 5% respectively to the value of total exports of services in 2007. In 1997, the respective percentage shares of these three major service groups in the value of total exports of services were 25. 6%, 30. % and 20. 8%. 2. 2 The structure of H ong Kong’s services industry sector Among the economic activities in the services sector, wholesale, retail and import and export trades, restaurants and hotels together contributed 27. 9% of the GDP in 2006, followed by financing, insurance, real estate and business services (25. 0%), community, social and personal services (18. 0%) and transport, storage and communications (9. 6%). Among them, financial services, trading, tourism and professional services are key industries in the Hong Kong economy.They have been the driving force of Hong Kong’s economic growth, providing impetus to growth of other sectors and creating employment. (1) Import and export trade . The import and export trade is the most important industries in Hong Kong’s service industry, has been playing an important role in the development of Hong Kong economy. The import and export trade produced a net output of HK$305. 1 billion in 2006, representing an increase of 39% over 1997. The ratio is the highest among all service industry. In 2007, there were 98 000 import and export trading establishments in Hong Kong, with 520 000 persons.At the same time, import and export trade sector is also directly promoting the development of other industries, such as logistics, transportation, business services and other services. Hong Kong’s import and export trade, including the visible trade and invisible trade two parts. The visible trade refers to the traditional commodity trade. In 2007, the value of Hong Kong imported and exported goods was $5,556 billion, representing an increase of 9. 8% compared to 2006. Hong Kong’s total exports of goods (comprising domestic exports and re-exports) in 2007 amounted to $2,688 billion, or increased by 9. % when compared with 2006. The value of imports increased by 10. 3% to $2,868 billion in 2007. With the value of total exports being less than that of imports, a merchandise trade deficit of $180 billion was recorded in 2007. In the import and export trade, the largest proportion of re-exports. This was largely attributable to the relocation of many local manufacturing activities to the mainland of China. Quite a large amount of the goods produced in the mainland of China through the outward processing arrangement were sent back to Hong Kong and re-exported to other countries/territories.During 1997 to 2007, the value of re-exports increased by 107%, while a decline of 48% was observed in the value of domestic exports. In 2007 the re-export trade to the mainland continued to grow rapidly. The invisible trade services are export and import trade of commercial services and financial services. While these services could be exported or imported by the import/export firms or companies in other sectors, most of the merchant and other trade-related services were exported or imported by import/export firms . In 2007, Hong Kong’s exports and imports of services valued at $652 billion and $322 billion respecti vely.Compared to 2006, exports and imports of services increased by 15. 4% and 11. 7% respectively. Net exports of services in 2007 amounted to $330 billion, this makes Hong Kong’s overall trade surplus of $150 billion. (2) Finance. Hong Kong is recognized as an international financial center, many multinational banks and financial institutions gathered here. The financial business is classified in detail, covering all aspects of the financial industry. Hong Kong three-tier system of deposit-taking institutions, namely licensed banks, restricted licensed banks and deposit-taking companies, known collectively as the authorized institutions.At the end of 2007, the number of authorized institutions stood at 200, comprising 142 licensed banks, 29 restricted license banks and 29 deposit-taking companies. 68 of them were incorporated in Hong Kong and 132 were incorporated outside Hong Kong. In addition, there were 79 representative offices of foreign banks coming from 27 economies/ regions. As at end December 2007, 152 of the largest 500 banks in the world had a presence in Hong Kong. The value added generated by the banking industry amounted to $136. 5 billion, or 9. 6% of Hong Kong’s Gross Domestic Product (GDP) in 2006, representing an increase of 41. % compared with 1997. The development of the banking sector also promotes the development of other financial industries. In 2007, some 2 940 establishments and about 32 400 persons were engaged in the business. These included stock and share companies; commodity futures, gold bullion and foreign exchange brokers/dealers; stock, bullion and commodity exchanges; fund management companies; investment advisory companies; and firms providing other various financial services. The financial markets and asset management industry generated value added of about $59. billion, contributing to 4. 1% of Hong Kong’s GDP in 2006.  ·810 · Proceedings of the 7th International Conference on Innovation & Managem ent Hong Kong is also the Securities and Exchange Center and an important place for the mainland enterprises to raise funds. At the end of 2007, 1 048 companies were listed on the Main Board of the Hong Kong Exchanges and Clearing Limited (HKEx), with a total market capitalization of $20,536 billion. Despite an increase of only 7. 5% in the number of listed companies, market capitalization was observed to rise 55. 0% over 2006.Since July 1993 when the first Chinese state owned company was listed on the HKEx through issuance of H shares, the role of Hong Kong as a major fund-raising centre for the mainland of China had become increasingly important. By the end of 2007, there were 146 H shares listed on the HKEx, with market capitalization of $5,080 billion. In addition, there were also 93 â€Å"Red Chips† companies and 200 private enterprises listed on HKEx. Hong Kong is one of the most active and liberal debt markets and a leading asset management centre in Asia. (3) Tourism . In 2007, 51 900 persons were engaged in industries closely related o tourism, such as hotels and travel agents and 315 300 persons in industries partly related to tourism such as restaurants, retailers, transport operators and other service providers serving visitors. In terms of economic contribution, inbound tourism and outbound tourism together generated $45. 3 billion value added and 176 300 job opportunities in 2006, or 3. 2% of total GDP and 5. 2% of total employment of Hong Kong respectively. The number of incoming visitors in 2007 reached 28. 2 million, increased by 11. 6% as compared with 25. 3 million in 2006 and set the highest record for visitor arrivals in history.The mainland of China remained the major source market of visitors to Hong Kong since 1994. Visitor arrivals from the mainland of China reached 15. 5 million in 2007, accounted for 55. 0% of the total visitor arrivals, followed by South and Southeast Asia (10. 3%) and Taiwan (7. 9%). In addition, Hong Kong i s Asia’s major trade exhibition and business conference center. A total of 218 conventions and 78 exhibitions with international participation were held in Hong Kong in 2006. (4) Professional service . The professional service is Hong Kong’s fourth-largest service industry.The professional services industry generated $40 billion of value added, or 2. 8% of Hong Kong’s Gross Domestic Product (GDP), in 2006 and provided job opportunities for about 106 000 persons in 2007. In 2007, there were about 13 500 professional services establishments, including 3 900 accounting, auditing and bookkeeping firms, 1 800 solicitor and barrister firms, 3 300 architectural, surveying and engineering firms and some 4 500 management consultant firms. The business receipts of professional services industry increased by 10. 7% in 2007 over a year earlier.The development of professional services industry over the past decade was quite remarkable. Number of establishments and persons en gaged increased by 35% and 23% respectively between 1997 and 2007. During the same period, the total number of registered professionals also increased remarkably, with certified public accountants increasing at the fastest rate of 7. 3% per year on average. 2. 3 Manufacturing company is the support for the Hong Kong service industry In this paper, the Hong Kong Manufacturing Company refers specifically to the Hong Kong manufacturing companies in the mainland.The rapid expansion of Hong Kong’s service industries in the past two decades benefited from the development of the Hong Kong Manufacturing Company and the sub-contracting business model. In the late 80’s, under the pressure of high land prices, high rents, high labor costs, a large number of Hong Kong manufacturers shifted their production to the Mainland, where the land and labor costs were relatively low, in particular the Pearl River Delta in Guangdong Province. And because of the changes in the business, many original manufacturing companies become the service company.These companies transferred their manufacturing factories to the Mainland, and kept the headquarters and other high value-added services such as marketing, order processing, material procurement, design, packaging, logistics business in Hong Kong. This business model is known as â€Å"shop in front and factory in back† mode. At the same time, in order to adapt to the changes in international markets and increase exports, many traditional trading companies, set up manufacturing factories in mainland, and formed a sub-contracting operation mode.In the sub-contractors mode, products manufactured in the mainland branch companies, headquarters in Hong Kong focused its efforts on trade, market and management. This mode of operation combined the mainland companies’ low-cost production advantage and the Hong Kong trading companies’ familiar with the international market advantage together, promoted the expediti ons of business of Hong Kong trade companies and improved their production efficiency. This production mode provided a strong support to the development of Hong Kong’s service industry.The financial crisis press great operating pressure to the Hong Kong Manufacturing Company. Mostly concentrated in the Pearl River Delta region, the types of these companies are sound equipment, electrical appliances, toys, clothing, footwear and other labor-intensive industries. The development of these enterprises is based on low labor and land inputs, production technology is very low. With the Proceedings of the 7th International Conference on Innovation & Management  ·811 · labor, land costs rising substantially in the Pearl River Delta region, the ompetitive advantages of the Hong Kong Manufacturing Company decreased a lot in recent years. Under the impact of the financial crisis, there has an obvious drop in experts of these labor-intensive consumer goods. Many Hong Kong Manufacturin g Companies face the problem of orders reduction, profit decline, and even bankruptcy. 3 Hong Kong’s Economic Problems under the Global Financial Crisis Table 2 1997-2007 Business Receipts Indices 1997 2002 2003 2004 2005 2006 2007 Wholesale/Retail Import and export trade Restaurants Hotels Transport Storage Communications Banking Financing (except banking) Insurance 24. 4 107. 2 104. 7 99 61. 7 157. 1 127. 1 84. 1 79. 8 38. 2 88. 3 75. 5 94. 9 73. 1 68. 8 81. 1 96. 6 86. 4 56 59. 2 85. 8 80. 4 85. 7 58. 8 69. 1 77. 4 94. 3 86. 4 65. 7 70. 5 93. 8 90. 5 94. 3 81. 9 85 90. 6 95. 1 90. 2 87. 5 86. 2 100 100 100 100 100 100 100 100 100 100 100 100 100 100 107. 4 110. 2 109. 5 113. 7 110. 6 110. 2 100. 8 119. 5 147. 9 121. 3 99. 6 119. 6 114 109. 7 120. 6 119. 1 124. 2 131. 1 122. 6 127. 8 110. 8 165. 3 249. 7 156. 2 139. 3 135. 4 135. 4 117. 1 Real estate 135. 6 71. 5 75. 9 86. 2 Business 119. 7 87. 88. 1 95. 3 services Tourism 91. 5 75. 5 70 88. 5 Computer and 53. 1 63. 7 67. 3 81. 1 information services Note: Data is from Hong Kong Annual Digest of Statistics(2008 Edition) Statistics Department. Table 3 2005 edited by Hong Kong Census and 2005-2008 the variation ratio of Business Receipts Indices 2006 2007 2007 3 quarter 9 15. 1 8. 2 15. 4 15. 7 11. 7 11. 7 9. 7 47. 7 99. 6 42. 1 27. 7 2007 4 quarter 15. 5 17. 7 7. 6 14. 8 16. 5 14. 8 10. 3 16. 2 45 82. 9 35. 4 69. 5 2008 1 quarter 9. 6 17. 5 13. 2 16 9. 9 15. 9 10. 7 11. 2 6. 32. 8 11. 7 14. 5 2008 2 quarter Wholesale/Retail Import and export trade Restaurants Hotels Transport Storage Communications Banking Financing (except banking) Insurance Real estate Business services 5. 6 6. 8 10. 6 6 22. 1 17. 8 10. 4 5. 1 10. 9 14. 3 16 16 7. 9 7. 3 10. 2 9. 5 13. 7 10. 6 10. 2 0. 8 19. 5 47. 9 21. 3 -0. 4 10. 4 12. 8 8 13. 4 15. 2 10. 8 16 10 38. 3 68. 8 28. 8 39. 8 14. 1 14. 4 14. 6 15. 3 9. 6 11 3. 5 13. 5 -6. 8 4. 7 8. 3 10 Tourism 4. 9 19. 6 13. 2 11. 8 14 11. 5 10. 3 Computer and 12. 9 14 18. 7 18. 9 25. 4 14. 14 information services Note: Data is from Hong Kong Annual Digest of Statistics (2008 Edition) edited by Hong Kong Census and Statistics Department.  ·812 · Proceedings of the 7th International Conference on Innovation & Management Table 2 shows the revenue changes of the Hong Kong’s service industry from the 1997 Asian financial crisis. In the 1997 Asian financial crisis and the subsequent 2003 epidemic of SARS, Hong Kong’s service industry was particularly hard hit. Until 2006, the industry revenue was generally restored to the level of 97. Finance, insurance, transport, trade and other business incurred the largest loss.In February 2007, the U. S. sub-loan crisis happened, and the Lehman bank filed for bankruptcy in September 2008. The U. S. financial crisis intensified and developed into a global financial crisis. From the second half of 2008, the global financial crisis began to influence Hong Kong economy. This performance is particularly evident in the service industry. Hong Kong’s financial industry has been most affected. From Table 3 it can be seen that Banking and financial services industries are in the most affected after the financial crisis. There is a rapid decline in industry revenue.In the second quarter of 2008, banking industry even has the first negative growth since the past few years. At the end of the third quarter, because a lot of major financial institutions in the United States had been threatened with a bankruptcy, the global financial crisis became even more serious. The panic selling appeared in many countries’ stock market, Hong Kong was no exception. Hong Kong’s Hang Seng index plummeted by 15% in September, and fall 22% in October. The normal operation of Hong Kong’s capital markets has been seriously affected.The growth of other financial related industries, such as insurance, real estate and business services, had a slowed down significantly from the beginning of the second quarter of 2008. Import and export trade and related industries sectors have been affected in different degrees. The merchandise exports slowed down in the third quarter and only had a small increase. Even so, this was the worst performance since the first quarter of 2002. With the increase of global financial crisis, exports to other markets also had different degrees of slowing down.As a result, the growth of related industries, such as business service, trade service, transportation and storage service also slowed down slightly. Exports of services had maintained a steady increase in the financial crisis, but the growth rate was also smaller than the second quarter. The growth of tourism also had signs of deceleration and affect the growth of related industry, such as transportation, hotels, catering services, the number of visitors from long distance market decrease a lot, particularly the tourists from Europe and the United States.To face the challenge of financial crisis, the SAR Government has been actively responding well to prevent the spread of financial risks. From the beginning of the sub-loan crisis in the United States, in order to ensure stability of the financial system, the Hong Kong Monetary Authority introduced a number of measures to alleviate the pressure on banks and provide necessary assistance to the banks. Securities and Futures Commission and the Insurance Supervisory Commission also had made action to strengthen the protection of investors and policyholders.At the same time, most Hong Kong’s local financial institutions’ participation in directly investment to the US sub-loan is limited in small scale. The local banking system remains steadily without be directly effected by the sub-loan crisis. Benefit from the economic development of the Mainland, Hong Kong’s service industries is also faced with new opportunities in the global financial crisis. For example, supported by the growth of trade in the Mainland, of fshore trade growth was still significant.Although 2008 is the â€Å"Olympic Year†, but the mainland tourists to Hong Kong remained a high-speed growth. In the third quarter of 2008, the Mainland tourists to Hong Kong wad still higher than last year, an increase of 9. 4%. Individual Visit Scheme is one of the bright spots; the visitors in accordance with this scheme had a further rise in the third quarter, the ratio wad 14. 5%. These factors effectively guaranteed the smooth operation of Hong Kong’s service industries. At the same time, the ten naturalization industry plan in the mainland had already been introduced.The mainland accelerated the pace of industrial upgrading and began to support the development of high-tech industry. These policies provide a good environment for the Hong Kong companies in mainland to upgrade their technological level and achieve their own industrial upgrading. Based on the above analysis, the challenges faced by Hong Kong’s econom ic in the financial crisis can be summarized into the following three aspects: (1)financial sector’s profits decline a lot, related sector’s services business reduces. 2) The trade and service market in Western countries shrink. 3 Hong Kong Company in mainland operates difficultly. Hong Kong economy is facing the opportunity for: the steady development of the Mainland economy and the acceleration of the industrial upgrading. Therefore, in order to face the challenge of the financial crisis, it is important for Hong Kong service companies to expand business in the Mainland, and to Hong Kong companies in mainland to enhance the productivity. Proceedings of the 7th International Conference on Innovation & Management  ·813 · 4 ConclusionsThrough the above analysis, this paper can be drawn the following conclusions: (1) The a major problem of Hong Kong economy is decline in financial sector profits and trade volume with Western developed countries. (2)The expansion of d emand of the Mainland market is the most important opportunity for Hong Kong’s economic development. (3) Hong Kong economy has great demands for information technology, electrical and electronic technologies, manufacturing technology. To ensure sustainable development of Hong Kong economy, it is very important to promote scientific and technological development. References [1] Yang Xue.The Analysis of the Scientific and Technological Needs Based on Micro-macro System[J]. Social Science Frontier, 2008, (10): 241(In Chinese) [2] Guo Kasha, Wang Wenlong. Science and Technology Needs Analysis of Chinese High-Tech Industry[J]. Economic Review, 2004, (8):198(In Chinese) [3] Wu Jiapei, Wang Changsheng. Science and Technology Needs Analysis of the New Road to Industrialization[J]. Science & Technology and Economy, 2005, (4): 4(In Chinese) [4] Li Jianhua, Cheng Baoying, Yang Xue. Analysis on Demand of Science and Technology Effected by Informatization During New Industrialization[J]. Information Science, 2004, (8): 903(In Chinese) Analysis of Hong Kong Economy During Financial Crisis  ·808 · Proceedings of the 7th International Conference on Innovation & Management An Analysis of the Hong Kong Economy after the Financial Crisis Cao Hongliu School of Management, Guangdong University of Technology, Guangdong, P. R. China, 510520 (E-mail: [email  protected] com) Abstract This paper analyzes the current economic development and the status of leading industries in Hong Kong. It shows that Hong Kong economy, which is mainly comprised of the service industry in particular, facing with both opportunities and challenges after the financial crisis.Hong Kong economy has a wide range of needs in information technology, electrical and electronic technology, and manufacturing technology. Development in these areas has great significance to ensure sustained development of Hong Kong economy. Key words Hong Kong economy status; Leading industry; Service industry 1 Introduction Hong Kong’s a small and open economy system and international financial center, its economi c development face many new challenges because of the impact of the global financial crisis.Therefore, a comprehensive analysis of the Hong Kong’s economic development and their leading industry status becomes an important issue. 2 Overview of Hong Kong Economy 2. 1 The services sector is a leading industry in Hong Kong From Table 1, we can see that the services industry is a leading industry of Hong Kong economy. During the decade from 1997 to 2006, services sector in the Hong Kong economy has gained greater prominence. This change has already been reflected in the share of contribution of the services sector to the local GDP.The contribution of the services sector to GDP increased from 85. 9% in 1997 to 91. 2% in 2006. Based on the industry definition of Hong Kong Census and Statistics Department, The services sector includes wholesale, retail and import and export trades, restaurants and hotels; transport, storage and communications; financing, insurance, real estate and b usiness services; and community, social and personal services. Table 1 Gross Domestic Product (GDP) by Economic Activity (at Current Prices) GDP by Economic Activity(2004-2007) 2004 2005 2006 2007Economic activity Agriculture and fishing Mining and quarrying Manufacturing Electricity, gas and water Construction GDP 886 72 44455 39726 40376 ratio 0. 1 * 3. 6 3. 2 3. 2 GDP 847 100 45547 39924 38538 ratio 0. 1 * 3. 4 3 2. 9 GDP 849 93 45761 40364 38688 ratio 0. 1 * 3. 2 2. 8 2. 7 GDP 895 114 39282 39426 40154 ratio 0. 1 * 2. 5 2. 5 2. 6 Services 1119304 89. 9 1207873 90. 6 1297545 91. 2 1429293 92. 3 Note: Data is from Hong Kong Annual Digest of Statistics (2004-2008 Edition) edited by Hong Kong Census and Statistics Department. Data unit is in million terms and ratio unit is %.Besides, * represents the comparison had less than 0. 05% is in the total economy The services sector becomes the principal source of employment. The employment share of the services sector in total employment h as increased moderately over the past decade, from 79. 8% in 1997 to 86. 6% in 2007. In 2007, the services sector as a whole engaged 3. 03 million persons out of the 3. 5 million overall employments. The services sector plays a significant role in supporting the growth of our external trade. In 2007, the value of exports of services reached $652 billion, representing an average annual growth rate ofProceedings of the 7th International Conference on Innovation & Management  ·809 · 8. 6% over 1997. In 2007, merchant and other trade-related services was the most important major service group, contributing 30. 9% to the value of total exports of services. It was followed by transportation services and travel services, contributing 28. 6% and 16. 5% respectively to the value of total exports of services in 2007. In 1997, the respective percentage shares of these three major service groups in the value of total exports of services were 25. 6%, 30. % and 20. 8%. 2. 2 The structure of H ong Kong’s services industry sector Among the economic activities in the services sector, wholesale, retail and import and export trades, restaurants and hotels together contributed 27. 9% of the GDP in 2006, followed by financing, insurance, real estate and business services (25. 0%), community, social and personal services (18. 0%) and transport, storage and communications (9. 6%). Among them, financial services, trading, tourism and professional services are key industries in the Hong Kong economy.They have been the driving force of Hong Kong’s economic growth, providing impetus to growth of other sectors and creating employment. (1) Import and export trade . The import and export trade is the most important industries in Hong Kong’s service industry, has been playing an important role in the development of Hong Kong economy. The import and export trade produced a net output of HK$305. 1 billion in 2006, representing an increase of 39% over 1997. The ratio is the highest among all service industry. In 2007, there were 98 000 import and export trading establishments in Hong Kong, with 520 000 persons.At the same time, import and export trade sector is also directly promoting the development of other industries, such as logistics, transportation, business services and other services. Hong Kong’s import and export trade, including the visible trade and invisible trade two parts. The visible trade refers to the traditional commodity trade. In 2007, the value of Hong Kong imported and exported goods was $5,556 billion, representing an increase of 9. 8% compared to 2006. Hong Kong’s total exports of goods (comprising domestic exports and re-exports) in 2007 amounted to $2,688 billion, or increased by 9. % when compared with 2006. The value of imports increased by 10. 3% to $2,868 billion in 2007. With the value of total exports being less than that of imports, a merchandise trade deficit of $180 billion was recorded in 2007. In the import and export trade, the largest proportion of re-exports. This was largely attributable to the relocation of many local manufacturing activities to the mainland of China. Quite a large amount of the goods produced in the mainland of China through the outward processing arrangement were sent back to Hong Kong and re-exported to other countries/territories.During 1997 to 2007, the value of re-exports increased by 107%, while a decline of 48% was observed in the value of domestic exports. In 2007 the re-export trade to the mainland continued to grow rapidly. The invisible trade services are export and import trade of commercial services and financial services. While these services could be exported or imported by the import/export firms or companies in other sectors, most of the merchant and other trade-related services were exported or imported by import/export firms . In 2007, Hong Kong’s exports and imports of services valued at $652 billion and $322 billion respecti vely.Compared to 2006, exports and imports of services increased by 15. 4% and 11. 7% respectively. Net exports of services in 2007 amounted to $330 billion, this makes Hong Kong’s overall trade surplus of $150 billion. (2) Finance. Hong Kong is recognized as an international financial center, many multinational banks and financial institutions gathered here. The financial business is classified in detail, covering all aspects of the financial industry. Hong Kong three-tier system of deposit-taking institutions, namely licensed banks, restricted licensed banks and deposit-taking companies, known collectively as the authorized institutions.At the end of 2007, the number of authorized institutions stood at 200, comprising 142 licensed banks, 29 restricted license banks and 29 deposit-taking companies. 68 of them were incorporated in Hong Kong and 132 were incorporated outside Hong Kong. In addition, there were 79 representative offices of foreign banks coming from 27 economies/ regions. As at end December 2007, 152 of the largest 500 banks in the world had a presence in Hong Kong. The value added generated by the banking industry amounted to $136. 5 billion, or 9. 6% of Hong Kong’s Gross Domestic Product (GDP) in 2006, representing an increase of 41. % compared with 1997. The development of the banking sector also promotes the development of other financial industries. In 2007, some 2 940 establishments and about 32 400 persons were engaged in the business. These included stock and share companies; commodity futures, gold bullion and foreign exchange brokers/dealers; stock, bullion and commodity exchanges; fund management companies; investment advisory companies; and firms providing other various financial services. The financial markets and asset management industry generated value added of about $59. billion, contributing to 4. 1% of Hong Kong’s GDP in 2006.  ·810 · Proceedings of the 7th International Conference on Innovation & Managem ent Hong Kong is also the Securities and Exchange Center and an important place for the mainland enterprises to raise funds. At the end of 2007, 1 048 companies were listed on the Main Board of the Hong Kong Exchanges and Clearing Limited (HKEx), with a total market capitalization of $20,536 billion. Despite an increase of only 7. 5% in the number of listed companies, market capitalization was observed to rise 55. 0% over 2006.Since July 1993 when the first Chinese state owned company was listed on the HKEx through issuance of H shares, the role of Hong Kong as a major fund-raising centre for the mainland of China had become increasingly important. By the end of 2007, there were 146 H shares listed on the HKEx, with market capitalization of $5,080 billion. In addition, there were also 93 â€Å"Red Chips† companies and 200 private enterprises listed on HKEx. Hong Kong is one of the most active and liberal debt markets and a leading asset management centre in Asia. (3) Tourism . In 2007, 51 900 persons were engaged in industries closely related o tourism, such as hotels and travel agents and 315 300 persons in industries partly related to tourism such as restaurants, retailers, transport operators and other service providers serving visitors. In terms of economic contribution, inbound tourism and outbound tourism together generated $45. 3 billion value added and 176 300 job opportunities in 2006, or 3. 2% of total GDP and 5. 2% of total employment of Hong Kong respectively. The number of incoming visitors in 2007 reached 28. 2 million, increased by 11. 6% as compared with 25. 3 million in 2006 and set the highest record for visitor arrivals in history.The mainland of China remained the major source market of visitors to Hong Kong since 1994. Visitor arrivals from the mainland of China reached 15. 5 million in 2007, accounted for 55. 0% of the total visitor arrivals, followed by South and Southeast Asia (10. 3%) and Taiwan (7. 9%). In addition, Hong Kong i s Asia’s major trade exhibition and business conference center. A total of 218 conventions and 78 exhibitions with international participation were held in Hong Kong in 2006. (4) Professional service . The professional service is Hong Kong’s fourth-largest service industry.The professional services industry generated $40 billion of value added, or 2. 8% of Hong Kong’s Gross Domestic Product (GDP), in 2006 and provided job opportunities for about 106 000 persons in 2007. In 2007, there were about 13 500 professional services establishments, including 3 900 accounting, auditing and bookkeeping firms, 1 800 solicitor and barrister firms, 3 300 architectural, surveying and engineering firms and some 4 500 management consultant firms. The business receipts of professional services industry increased by 10. 7% in 2007 over a year earlier.The development of professional services industry over the past decade was quite remarkable. Number of establishments and persons en gaged increased by 35% and 23% respectively between 1997 and 2007. During the same period, the total number of registered professionals also increased remarkably, with certified public accountants increasing at the fastest rate of 7. 3% per year on average. 2. 3 Manufacturing company is the support for the Hong Kong service industry In this paper, the Hong Kong Manufacturing Company refers specifically to the Hong Kong manufacturing companies in the mainland.The rapid expansion of Hong Kong’s service industries in the past two decades benefited from the development of the Hong Kong Manufacturing Company and the sub-contracting business model. In the late 80’s, under the pressure of high land prices, high rents, high labor costs, a large number of Hong Kong manufacturers shifted their production to the Mainland, where the land and labor costs were relatively low, in particular the Pearl River Delta in Guangdong Province. And because of the changes in the business, many original manufacturing companies become the service company.These companies transferred their manufacturing factories to the Mainland, and kept the headquarters and other high value-added services such as marketing, order processing, material procurement, design, packaging, logistics business in Hong Kong. This business model is known as â€Å"shop in front and factory in back† mode. At the same time, in order to adapt to the changes in international markets and increase exports, many traditional trading companies, set up manufacturing factories in mainland, and formed a sub-contracting operation mode.In the sub-contractors mode, products manufactured in the mainland branch companies, headquarters in Hong Kong focused its efforts on trade, market and management. This mode of operation combined the mainland companies’ low-cost production advantage and the Hong Kong trading companies’ familiar with the international market advantage together, promoted the expediti ons of business of Hong Kong trade companies and improved their production efficiency. This production mode provided a strong support to the development of Hong Kong’s service industry.The financial crisis press great operating pressure to the Hong Kong Manufacturing Company. Mostly concentrated in the Pearl River Delta region, the types of these companies are sound equipment, electrical appliances, toys, clothing, footwear and other labor-intensive industries. The development of these enterprises is based on low labor and land inputs, production technology is very low. With the Proceedings of the 7th International Conference on Innovation & Management  ·811 · labor, land costs rising substantially in the Pearl River Delta region, the ompetitive advantages of the Hong Kong Manufacturing Company decreased a lot in recent years. Under the impact of the financial crisis, there has an obvious drop in experts of these labor-intensive consumer goods. Many Hong Kong Manufacturin g Companies face the problem of orders reduction, profit decline, and even bankruptcy. 3 Hong Kong’s Economic Problems under the Global Financial Crisis Table 2 1997-2007 Business Receipts Indices 1997 2002 2003 2004 2005 2006 2007 Wholesale/Retail Import and export trade Restaurants Hotels Transport Storage Communications Banking Financing (except banking) Insurance 24. 4 107. 2 104. 7 99 61. 7 157. 1 127. 1 84. 1 79. 8 38. 2 88. 3 75. 5 94. 9 73. 1 68. 8 81. 1 96. 6 86. 4 56 59. 2 85. 8 80. 4 85. 7 58. 8 69. 1 77. 4 94. 3 86. 4 65. 7 70. 5 93. 8 90. 5 94. 3 81. 9 85 90. 6 95. 1 90. 2 87. 5 86. 2 100 100 100 100 100 100 100 100 100 100 100 100 100 100 107. 4 110. 2 109. 5 113. 7 110. 6 110. 2 100. 8 119. 5 147. 9 121. 3 99. 6 119. 6 114 109. 7 120. 6 119. 1 124. 2 131. 1 122. 6 127. 8 110. 8 165. 3 249. 7 156. 2 139. 3 135. 4 135. 4 117. 1 Real estate 135. 6 71. 5 75. 9 86. 2 Business 119. 7 87. 88. 1 95. 3 services Tourism 91. 5 75. 5 70 88. 5 Computer and 53. 1 63. 7 67. 3 81. 1 information services Note: Data is from Hong Kong Annual Digest of Statistics(2008 Edition) Statistics Department. Table 3 2005 edited by Hong Kong Census and 2005-2008 the variation ratio of Business Receipts Indices 2006 2007 2007 3 quarter 9 15. 1 8. 2 15. 4 15. 7 11. 7 11. 7 9. 7 47. 7 99. 6 42. 1 27. 7 2007 4 quarter 15. 5 17. 7 7. 6 14. 8 16. 5 14. 8 10. 3 16. 2 45 82. 9 35. 4 69. 5 2008 1 quarter 9. 6 17. 5 13. 2 16 9. 9 15. 9 10. 7 11. 2 6. 32. 8 11. 7 14. 5 2008 2 quarter Wholesale/Retail Import and export trade Restaurants Hotels Transport Storage Communications Banking Financing (except banking) Insurance Real estate Business services 5. 6 6. 8 10. 6 6 22. 1 17. 8 10. 4 5. 1 10. 9 14. 3 16 16 7. 9 7. 3 10. 2 9. 5 13. 7 10. 6 10. 2 0. 8 19. 5 47. 9 21. 3 -0. 4 10. 4 12. 8 8 13. 4 15. 2 10. 8 16 10 38. 3 68. 8 28. 8 39. 8 14. 1 14. 4 14. 6 15. 3 9. 6 11 3. 5 13. 5 -6. 8 4. 7 8. 3 10 Tourism 4. 9 19. 6 13. 2 11. 8 14 11. 5 10. 3 Computer and 12. 9 14 18. 7 18. 9 25. 4 14. 14 information services Note: Data is from Hong Kong Annual Digest of Statistics (2008 Edition) edited by Hong Kong Census and Statistics Department.  ·812 · Proceedings of the 7th International Conference on Innovation & Management Table 2 shows the revenue changes of the Hong Kong’s service industry from the 1997 Asian financial crisis. In the 1997 Asian financial crisis and the subsequent 2003 epidemic of SARS, Hong Kong’s service industry was particularly hard hit. Until 2006, the industry revenue was generally restored to the level of 97. Finance, insurance, transport, trade and other business incurred the largest loss.In February 2007, the U. S. sub-loan crisis happened, and the Lehman bank filed for bankruptcy in September 2008. The U. S. financial crisis intensified and developed into a global financial crisis. From the second half of 2008, the global financial crisis began to influence Hong Kong economy. This performance is particularly evident in the service industry. Hong Kong’s financial industry has been most affected. From Table 3 it can be seen that Banking and financial services industries are in the most affected after the financial crisis. There is a rapid decline in industry revenue.In the second quarter of 2008, banking industry even has the first negative growth since the past few years. At the end of the third quarter, because a lot of major financial institutions in the United States had been threatened with a bankruptcy, the global financial crisis became even more serious. The panic selling appeared in many countries’ stock market, Hong Kong was no exception. Hong Kong’s Hang Seng index plummeted by 15% in September, and fall 22% in October. The normal operation of Hong Kong’s capital markets has been seriously affected.The growth of other financial related industries, such as insurance, real estate and business services, had a slowed down significantly from the beginning of the second quarter of 2008. Import and export trade and related industries sectors have been affected in different degrees. The merchandise exports slowed down in the third quarter and only had a small increase. Even so, this was the worst performance since the first quarter of 2002. With the increase of global financial crisis, exports to other markets also had different degrees of slowing down.As a result, the growth of related industries, such as business service, trade service, transportation and storage service also slowed down slightly. Exports of services had maintained a steady increase in the financial crisis, but the growth rate was also smaller than the second quarter. The growth of tourism also had signs of deceleration and affect the growth of related industry, such as transportation, hotels, catering services, the number of visitors from long distance market decrease a lot, particularly the tourists from Europe and the United States.To face the challenge of financial crisis, the SAR Government has been actively responding well to prevent the spread of financial risks. From the beginning of the sub-loan crisis in the United States, in order to ensure stability of the financial system, the Hong Kong Monetary Authority introduced a number of measures to alleviate the pressure on banks and provide necessary assistance to the banks. Securities and Futures Commission and the Insurance Supervisory Commission also had made action to strengthen the protection of investors and policyholders.At the same time, most Hong Kong’s local financial institutions’ participation in directly investment to the US sub-loan is limited in small scale. The local banking system remains steadily without be directly effected by the sub-loan crisis. Benefit from the economic development of the Mainland, Hong Kong’s service industries is also faced with new opportunities in the global financial crisis. For example, supported by the growth of trade in the Mainland, of fshore trade growth was still significant.Although 2008 is the â€Å"Olympic Year†, but the mainland tourists to Hong Kong remained a high-speed growth. In the third quarter of 2008, the Mainland tourists to Hong Kong wad still higher than last year, an increase of 9. 4%. Individual Visit Scheme is one of the bright spots; the visitors in accordance with this scheme had a further rise in the third quarter, the ratio wad 14. 5%. These factors effectively guaranteed the smooth operation of Hong Kong’s service industries. At the same time, the ten naturalization industry plan in the mainland had already been introduced.The mainland accelerated the pace of industrial upgrading and began to support the development of high-tech industry. These policies provide a good environment for the Hong Kong companies in mainland to upgrade their technological level and achieve their own industrial upgrading. Based on the above analysis, the challenges faced by Hong Kong’s econom ic in the financial crisis can be summarized into the following three aspects: (1)financial sector’s profits decline a lot, related sector’s services business reduces. 2) The trade and service market in Western countries shrink. 3 Hong Kong Company in mainland operates difficultly. Hong Kong economy is facing the opportunity for: the steady development of the Mainland economy and the acceleration of the industrial upgrading. Therefore, in order to face the challenge of the financial crisis, it is important for Hong Kong service companies to expand business in the Mainland, and to Hong Kong companies in mainland to enhance the productivity. Proceedings of the 7th International Conference on Innovation & Management  ·813 · 4 ConclusionsThrough the above analysis, this paper can be drawn the following conclusions: (1) The a major problem of Hong Kong economy is decline in financial sector profits and trade volume with Western developed countries. (2)The expansion of d emand of the Mainland market is the most important opportunity for Hong Kong’s economic development. (3) Hong Kong economy has great demands for information technology, electrical and electronic technologies, manufacturing technology. To ensure sustainable development of Hong Kong economy, it is very important to promote scientific and technological development. References [1] Yang Xue.The Analysis of the Scientific and Technological Needs Based on Micro-macro System[J]. Social Science Frontier, 2008, (10): 241(In Chinese) [2] Guo Kasha, Wang Wenlong. Science and Technology Needs Analysis of Chinese High-Tech Industry[J]. Economic Review, 2004, (8):198(In Chinese) [3] Wu Jiapei, Wang Changsheng. Science and Technology Needs Analysis of the New Road to Industrialization[J]. Science & Technology and Economy, 2005, (4): 4(In Chinese) [4] Li Jianhua, Cheng Baoying, Yang Xue. Analysis on Demand of Science and Technology Effected by Informatization During New Industrialization[J]. Information Science, 2004, (8): 903(In Chinese)

Implication of Science and Technology Essay

Implication of Science and Technology to mans’ use is as old as 2500 B.C or much earlier when the people, of Indus Valley Civilization came to know first time about the fire and the wheel. Wheel is the mother of all technological innovations of today and discovery of fire is the man’s first experience about energy. Since then, man’s curiosity and meticulous efforts have helped him for new inventions and discoveries. But Science and Technology got its real recognition in India during the British period and were established to meet the needs and requirements of the then government. During 19th century, when the whole Europe passed through a phase of Industrial Revolution, the Britishers also put emphasis on development of Science and Technology in India. Establishment of railway system, building of canals and development of a network of meteorological stations began. The first scientific survey of this country was done during this time. Several academic institutions, such as Asiatic Society in Calcutta in 1784, the Indian Association for the Advancement of Science in 1876 and many others were created All these generated a greater awareness of science in the country and eventually led to the birth of modern science in India between 1890 and 1940. However, the end of the last century and the first 50 years of the present one was a period of renaissance of science for India. Renowned scientists like Sir J. C. Bose, C. V. Raman, S. N. Bose, Srinivasa Ramanujan, Dr. Homi J. Bhabha, the father of India’s nuclear power, Vikram Sarabhai, Dr. Har Govind Singh Khorana etc. became well-known for their notable scientific researches in various fields and brought name and fame for the country. During post independence period and through the vision of Pandit Jawaharlal Nehru the then Prime Minister, Science and Technology were developed in a conscious way as a major force for accelerating social and economic change. Nehru clearly expressed his views in his ‘Discovery of India’: â€Å"It was science alone that could solve the problems of hunger and poverty, of insanitation and illiteracy, of superstition and doddering custom and tradition, of vast resources running to waste, of a rich country inhabited by starving people,† Programme of ‘Green Revolution’ has made it true. Now, in the fields of space research, atomic energy, biotechnology and agriculture, India has achieved a lot. Continuous emergence of new areas and micro areas are gradually gaining the importance and specialized research areas like Superconductivity, Laser, Supercomputers, Robots and Robotics, Information Technology, Optic fibers etc. have resulted in a vast expansion in the areas/fields of SCIENCE AND TECHNOLOGY activities. India is still lagging behind in the field of energy; specifically harnessing clean, safe and non-polluting energy through exaltation of non-conventional resources. Solar energy, the limitless source (the sun) provided by the nature, is still underutilized. Though much is achieved, but more is left unattended. Hence, with the consistent support of the government as well as private institutions today there are about 3000 public and private institutions engaged in basic/fundamental, applied researches and development works in various fields of SCIENCE AND TECHNOLOGY.