| Summary: | Introduction
Global communication environment is shaped by technological development in the telecommunication sector and expansion of a multinational (and increasingly global) network of private corporations. Increased trade and economic integration promote civil and political freedom directly by opening society to new technology, communications and democracy. It appears that global communication links are widespread and growing among economic and scientific elites. This study tries to explore how communication technologies development helps to lower transaction cost, enhance more trade across the Taiwan Strait and furthermore generate impact on political arena.
As a Taiwan’s economic policy toward China, as a China’s economic policy toward Taiwan influenced by the corporate interests of the business groups and global communication networks promotes economic interests. Both, China and Taiwan have become major economic players in the international community. However, Taipei and Beijing have little formal direct dialogue, but they communicate using a public diplomacy , Internet (B2B e-commerce) and mass media. Telecommunication technologies provide a possibility for business elites in Taiwan and mainland China to communicate and create a great amount of bilateral trade between the two sides. Trade between mainland China and Taiwan has increased significantly over the last decade, because both Taiwanese and Chinese share the same language, customs and culture – and this factors save transaction costs.
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