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The U.S. market for computers is dominated by domestic firms such as Dell, Hewlett-Packard, and Apple. The U.S. market for consumer electronics is dominated by Japanese firms and brands such as Sony, JVC, Panasonic, Mitsubishi, and Toshiba. However, the U.S. automobile market includes both strong domestic firms like Ford and General Motors and formidable Japanese competitors like Toyota and Honda. Question; Analyze each of the above mentioned industry from the standpoint of each country-based and firm-based theory of international trade. Which theory is the best predictor and which is the worst predictor of reality for these industries?

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