The interactive trade decision-making research: An application case of novel hybrid MCDM model

Abstract

The changing structure of international trade practices has caused reciprocal effect between the factors of politics, diplomacy, military, and technology over the past twenty years. In particular, the new burgeoning countries expect to acquire extra advantages such as technology or compensation from other parties during this interactive trade.The policy of interactive trade can be regarded as multiple criteria decision-making (MCDM) problems; therefore, the interdependence and feedback between criteria and alternatives among MCDM methods should be considered. This paper proposes a novel hybrid MCDM model; it combines the decision making trial and evaluation laboratory technique (DEMATEL), as well as the analytic network process (ANP) to solve the dependence and feedback problems and to decide an appropriate interactive trade strategy. Finally, this paper discusses Taiwan's optimal interactive transaction policy, furthermore proposes a framework of interactive trade for the future.