Focusing on the processes and results of liberalization of the Taiwanese and Korean advertising markets, this paper applies some concepts of critical political economy of communications (historical analysis, institutional analysis, structural analysis, the role of the state, etc.) to provide a political economic analysis of these processes driven in part by the Taiwanese and Korean governments and in part by the U.S. government and U.S. transnational advertising agencies (TNAAs) and to discuss the effects of the entry of TNAAs on the structure of Taiwanses and Korean advertising industries. Specifically, this paper addresses three major areas: first, it reviews main concepts of critical political economy of communications, the related literature of transnational advertising research, and the criticisms and defenses of transnational advertising. Then, it proposes the study questions. Secondly, it analyzes the development of the TNAAs on the Taiwanese and Korean advertising markets in terms of some concepts of political economy of communications, including the historical analysis, the role of states, and structural analysis. Finally, this paper concludes its findings and makes some suggestions for future study.