The Strength and Weakness of America

Index
2
3
Brand / Investing / Dollar
Foreign creditors /
New key currency (RMB)

Prior to the beginning..

Strength

Strength
Almost country brand is one of the most important assets
Foreign
investments
Global and
powerful currency
in world

Strength - Brand
Buy American !

Strength - Investing
”Why are countries with low levels of investment
willing to send this relatively scarce resource to
a capital-abundant economy
instead of investing in their own countries?”
“United States is attractive place
for investment.”

Strength - Investing

Strength - Dollar

Weakness

Weakness
Foreign creditors have played
a key role in financing
America’s debt.
The Government of China promotes the internationalization of their currency .

Weakness – Foreign creditors
The largest overseas creditor of US dollar is China
that have about $1.3 trillion of US government debt.
It is too large volume, so the US is vulnerable to China’s choice about
how to dealing with US dollar

Weakness - RMB

The strategy of China is
to centralize in gradualism.
An initial stage of the diplomatic
policies were concentrated
in the Asia Pacific region.
However, in a second stage,
it became necessary to gain
the support of the Western society.
For these reason,
the President Xi Jinping
visited London in last October.
Weakness - RMB

To sum up