China Pakistan Economic Corridor: Impact on Pakistan's Economy

This research proposal explores the impact of the China Pakistan Economic Corridor on the economic aspects of Pakistan. It examines the effect of the corridor on the growth rate of the gross domestic product of Pakistan and the reduction in the level of poverty. The research is exploratory and based on public opinion. The study uses qualitative and descriptive research methods and comparative analysis. The population comprises of people from Pakistan and China. The study also reviews the literature and highlights the limitations of the research.

Running head: BUSINESS METHOD RESEARCH PROPOSAL
Business method research proposal
Name of the student
Name of the university
Author Note

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Table of contents
Working title..............................................................................................................................2
Background and academic concept............................................................................................2
Research objectives....................................................................................................................3
Research hypothesis...................................................................................................................3
Research question.......................................................................................................................3
Research methods.......................................................................................................................4
Data analysis..............................................................................................................................4
Research design..........................................................................................................................4
Population and sample...............................................................................................................5
Data collection methods.............................................................................................................5
Supply chain...............................................................................................................................5
Population and sample...............................................................................................................5
Literature review........................................................................................................................6
Limitations of the study.............................................................................................................7
Reference list..............................................................................................................................8

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Working title
China Pakistan economic corridor
Background and academic concept
Pakistan which is situated at a region which is quite significant for the world trade and
therefore is also known as the gateway of the Middle East and the Central Asia which plays
an important role in transit economy which provides the shortest link to China. As China is
heavily dependent on the Middle Eastern nations in order to fulfil the energy requirements, it
had invested $46 billion for CPEC (Summers 2016). The China Pakistan Economic border is
the project which acts as an opportunity for Pakistan. Both Pakistan and China are dependent
on the success of the project. CPEC has already completed its project in the initial phase. Due
to the recent financial crisis there is a need for building regional infrastructure in Asia for
increasing the competitiveness along with the productivity (Ali, Gang and Raza 2016). The
economic corridors can act as a tool which enhances cooperation., integration and
development among various countries. The corridors also aid in the enhancement of the
standard of living in order to reduce poverty. The purpose of these corridors is to enable the
linkage in the backward region with the developed industrial zones. As there is absence of
any research work based on the public opinion there is in need of a research in order to
explore the impacts through the public opinion. It can be said that the economic corridors are
used as a tool for enhancing co-operation, development and integration among the various
countries in order to make them active in the globalized world. Although from the reviews of
the literature it can be said that the idea of development of these kinds of corridors are used
for assessing the territories of Pakistan had been taken place earlier too. The relations
between Pakistan and China became smoother after efforts been extended by the foreign
ministers of the Pakistan by fulfilling various objectives in the interest of Republic of

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Pakistan (Khwaja, Saeed and Urooj 2018). The main objective of the China Pakistan
Economic Corridor is to connect the Gwadar Port of Pakistan and the Kashgar port. The
Kashgar port is also a famous trading hub present in Western China where seventy
percent of the Chinese trade used to take place in the route of the Indian ocean. The China
Pakistan Economic Corridor therefore is known to provide the link between the two parts
from China to the countries of European and Middle Eastern (Summers 2016). The CPEC
also provides easy access to Middle East from China. CPEC has also had a significant effect
on the global trade. The study also compares the shipping costs when transported using the
corridor.
Research objectives
The main objectives of the research are
 Examining the effect of economic corridor of China Pakistan on the economic aspects
of Pakistan.
 Explore the impact of the China Pakistan Economic Corridor on the growth rate of the
gross domestic product of Pakistan
 To find the influence of the CPEC on the reduction of poverty level with the growth
of GDP.
 Verifying the influence of the CPEC on the reduction in the level of poverty in
Pakistan.
Research hypothesis
H0: The economic corridor of China Pakistan will affect o the economic aspects of Pakistan
H1: The economic corridor of China Pakistan will not affect the economic aspects of
Pakistan.

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Research question
The question this research will be answering is to
 What extent the economic corridor of Pakistan and China will be affecting the
economic growth of Pakistan?
 To what extent the economic corridor will affect the rate of growth of gross domestic
product of Pakistan?
 Will the economic corridor help in reducing the level of poverty?
Research methods
The purpose of the research is to find the impact of the China Pakistan Economic
Corridor on the economic aspects of Pakistan. The nature of the research is exploratory. The
research is also based on the public opinion. The secondary data is basically collected from
the internet, books and research publications.
Data analysis
The approach of the research is qualitative in nature and descriptive. It used to answer
the questions of the research. Comparative analysis is also been carried out and shipping
costs are used in the comparative studies. The corridor is been located in the Silk Road
Economic Belt.
Potential threats and challenges
Pakistan usually faces potential threats from other militant groups and the tribal areas.
The insecurity can therefor pose serious threats for the construction of the China akistan
Economic Corridor.

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The China Pakistan Economic Corridor is therefore said to be the game changer for
bith China and as well as China. Through the China Pakistan Economic Corridor, Pakistan
will be able to overcome its short fall in the energy. New railway and infrastructure will be
built by both China and Pakistan which will also help in reducing the cost and time for the
common people. This will also help China to enter Persian Gulf an Indian Ocean easily. The
reason behind this is that the economic activities will increase across the regions and people
will be getting more economic benefits.
Research design
The research design includes information of the data along with the source and
techniques which is used for the analysis along with interpretation of data. The material
which is used for the research have been taken from different kinds of sources which consists
of articles, books and newspaper.
Population and sample
The population can be anyone who had been present there from the past and participated for
the interview. Usually a small size of sample is used in case of detailed understanding. The
population mainly comprises of the people of Pakistan and China.
Data collection methods
Questionnaires and secondary data are used for the methods of data collection.
Questionnaires are usually given because exploring during the interviews as it is time taking.
The economic corridor of China Pakistan is a group infrastructure projects which are
under the construction throughout Pakistan.

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Population and sample
The population can be anyone who had been present there from the past and participated for
the interview. Usually a small size of sample is used in case of detailed understanding.
Literature review
The Corridor of the China Pakistan acts as an umbrella project and are also a
component of the One Belt One Road. T6he project was initially taken place and projected by
China in the year 2013. After the visit of the Chinese president in Pakistan, both sides of the
country decided for enhancement of relationship towards the all-weather strategic
partnership.
The scenario of China Pakistan Economic Corridor has huge importance not only in
Pakistan but also in case of China. China will use this for increasing its span of control over
the other countries, as well as to have secure means for future trade and for transferring of
energy. Pakistan will also use this in order to decrease the energy related problems. The
economic corridor of China Pakistan in under one belt and in one belt initiative of the
republic of the republic of China (Bhattacharjee2015). The purpose of CPEC is to enhance
global relationship which will lead to win situation through mutual cooperation. The CPEC
mainly compromise of the four major sectors which includes infrastructure, energy
requirements, development of the workforce and the economic progress of Pakistan.
The China Pakistan Economic Corridor is one of the latest ventures which is present
in the history of bilateral economic cooperation. The central idea of the corridors is
enhancing economic activities in those regions in order to generate new employment
opportunities. The construction of the particular corridor is expected to change the scenario of
both south western China and Pakistan which will have both direct and indirect benefits
(Shaikh, Ji and Fan 2016). The development of the corridor industry will have a direct

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impact on the regional economy. These type of activities in the industrial sector affects the
regional economy indirectly. This proposed pipeline will also solve the energy crisis of
Pakistan and China.
Limitations of the study
As the projects of the CPEC are under construction, it is quite difficult for collecting
the exact data. Collecting data from road transportation cost and time is also not easy as the
price may increase or go down depending on numerous factors which comprised of oil prices
along with demand and supply of products.
It has been found from the study the China Pakistan economic Corridor will be
providing positive impacts on the prevailing energy crisis, development of roads and
infrastructure along with other forms of connectivity which can become a significant reason
for the enhancement of the value of currency of Pakistan (Akhtar and Ali 2016). However,
then people of Pakistan state The China Pakistan Economic Corridor is also responsible for
some kind of issues and unpleasant outcomes in Pakistan. Rise in unemployment on an
important basis might be the reason of the China Pakistan Economic corridor in China.
The study also shows whether the China Pakistan Economic Corridor have any impact
on the cost of shipping or not. In this theory the study also tries to establish the significance
of the logistics in the supply chain network of the cost of shipping. The supply chain network
also acts as both outbound and inbound transportation. As in case transportation one of the
most valuable thing is the cost of the shipping and the time taken. The main goal of the
business is to reduce the cost of the logistics and also reduce the time of delivery. The main
objective of the study is to find the impact of the China Pakistan Economic corridor on the
exports and imports of China. Some of the results also showed that the supply chain will be
able to save around $41 billion in terms of the cost of shipping. As a result of the route of the

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CPEC, it is estimated that China can save up to $1400 from imports and exports (Shaukat,
Ahmad and Abdullah 2017). The exporters of China will have to pay comparatively less
shipping costs for which they can reduce their price of the sales. Due to the reduction of the
shipping costs the cost of raw materials also decreases.
Reference list
Akhtar, N. and Ali, L., 2016. CHINA–PAKISTAN ECONOMIC CORRIDOR:
BACKGROUND, EXPECTED BENEFITS AND POTENTIAL THREATS. Journal of
Management Research (JMR), 2(1), pp.1-26.
Ali, S.A., Haider, J., Ali, M., Ali, S.I. and Ming, X., 2017. Emerging Tourism between
Pakistan and China: Tourism Opportunities via China-Pakistan Economic Corridor.
International Business Research, 10(8), p.204.
Ali, W., Gang, L. and Raza, M., 2016. China-Pakistan economic corridor: current
developments and future prospect for regional integration.

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Avais, M.M.A., Shaikh, M.S., Mahesar, H.A. and Memon, M.F., 2016. China-Pak Economic
Corridor: Social analysis for Pakistan. The Government-Annual Research Journal of Political
Science., 5(5).
Azfar, K.R.W.A.W., Shahzad, N. and Mumtaz, S., 2017. Application of Lean Agile Resilient
Green Paradigm Framework on China Pakistan Economic Corridor: A Case Study. Mehran
University Research Journal of Engineering and Technology, 36(3), pp.621-634.
Bhattacharjee, D., 2015. China Pakistan Economic Corridor.
Esteban, M., 2016. The China-Pakistan Corridor: a transit, economic or development
corridor. Strategic Studies, 36(2), pp.63-74.
Gill, A.A. and Kausar, G., 2017. Game of hope and doubt: critical discourse analysis of pak-
china economic corridor. New Horizons, 11(2), pp.1-109.
Hameed, H., 2016. Pakistans Print Media Presentation of Pakistan China Relation and New
Silk Route Corridor Project (A Case Study of Chinese President Xi JinPing Visit Days).
Journal of Political Sciences & Public Affairs.
Irshad, M.S., 2015. One belt and one road: dose China-Pakistan economic corridor benefit for
Pakistan's economy?.
Khwaja, M.A., Saeed, S. and Urooj, M., 2018. Preliminary Environmental Impact
Assessment (EIA) Study of China-Pakistan Economic Corridor (CPEC) Northern Route Road
Construction Activities in Khyber Pakhtunkhwa (KPK), Pakistan.
Lim, A.C.H., 2017. The Moving Border of the China-Pakistan Economic Corridor.
Geopolitics, pp.1-16.
Makhdoom, A.S., Shah, A.B. and Sami, K., 2018. Pakistan On The Roadway To Socio-
Economic Development: A Comprehensive Study Of China Pakistan Economic Corridor
(Cpec). The Government-Annual Research Journal of Political Science., 6(6).

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Melecky, M., Roberts, M. and Sharma, S., 2018. Wider Economic Benefits of Transport
Corridors: A Policy Framework and Illustrative Application to the China-Pakistan Economic
Corridor.
Noonari, I.A. and Memon, A.P., 2017. Pakistan-China Cooperation And Its Impact On South
Asia. The Government-Annual Research Journal of Political Science., 5(5).
Ranjan, A., 2015. The China-Pakistan economic corridor: India’s options. New Delhi.
Shaikh, F., Ji, Q. and Fan, Y., 2016. Prospects of Pakistan–China energy and economic
corridor. Renewable and Sustainable Energy Reviews, 59, pp.253-263.
Sheu, J.B. and Kundu, T., 2018. Forecasting time-varying logistics distribution flows in the
One Belt-One Road strategic context. Transportation Research Part E: Logistics and
Transportation Review, 117, pp.5-22.
Shoukat, M.A., Ahmad, K. and Abdullah, M., 2017. Does Infrastructure Development
Promote Regional Economic Integration? CPEC’s Implications for Pakistan. Pakistan
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Summers, T., 2016. China’s ‘New Silk Roads’: sub-national regions and networks of global
political economy. Third World Quarterly, 37(9), pp.1628-1643.
Wang, J.J. and Selina, Y.A.U., 2018. Case studies on transport infrastructure projects in belt
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71, pp.213-223.
Yu, H., 2017. Motivation behind China’s ‘One Belt, One Road’initiatives and establishment
of the Asian infrastructure investment bank. Journal of Contemporary China, 26(105),
pp.353-368.
Zhang, R., Andam, F. and Shi, G., 2017. Environmental and social risk evaluation of
overseas investment under the China-Pakistan Economic Corridor. Environmental
monitoring and assessment, 189(6), p.253.

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Zhang, R., Shi, G., Wang, Y., Zhao, S., Ahmad, S., Zhang, X. and Deng, Q., 2018. Social
impact assessment of investment activities in the China–Pakistan economic corridor. Impact
Assessment and Project Appraisal, pp.1-17.