Porter in VN

National Competitiveness: Issues for Vietnam
Meeting with Prime Minister Phan Van Khai and his delegation
Professor Michael E. Porter Institute for Strategy and Competitiveness Harvard Business School Cambridge, Massachusetts June 24, 2005
This presentation draws on Michael Porter, Klaus Schwab: The Global Competitiveness Report 2004-2005, Oxford University Press, 2004 and other sources. For further information on the Report and on the Institute for Strategy and Competitiveness see www.isc.hbs.edu
200506 GCR Vietnam KC 2005.06.24.ppt
Copyright 2005 Professor Michael E. Porter
Topics for Discussion
National competitiveness: essential concepts Competitive assessment of Vietnam Key issues for Vietnamese policy Profile of the Institute for Strategy and Competitiveness
What is Competitiveness?
Competitiveness is determined by the productivity (value per unit of input) with which a nation, region, or cluster uses its human, capital, and natural resources. Productivity sets a nations or regions standard of living (wages, returns on capital, returns on natural resources) Productivity depends both on the value of products and services (e.g. uniqueness, quality) as well as the efficiency with which they are produced. It is not what industries a nation or region competes in that matters for prosperity, but how firms compete in those industries Productivity in a nation or region is a reflection of what both domestic and foreign firms choose to do in that location. The location of ownership is secondary for national prosperity. The productivity of local industries is of fundamental importance to competitiveness, not just that of traded industries Devaluation and revaluation do not make a country more or less competitive
Nations or regions compete in offering the most productive environment for business The public and private sectors should play different but interrelated roles in creating a productive economy
3
Determinants of Competitiveness
Macroeconomic, Political, Legal, and Social Context Macroeconomic, Political, Legal, and Social Context
Microeconomic Foundations Microeconomic Foundations

The Sophistication The Sophistication of Company of Company Operations and Operations and Strategy Strategy The Quality of the The Quality of the Microeconomic Microeconomic Business Business Environment Environment
A sound macroeconomic, political, legal, and social context creates the potential for competitiveness, but is not sufficient Only firms can create wealth, not government
Productivity and the Business Environment

Context for Context for Firm Firm Strategy Strategy and Rivalry and Rivalry
A local context and rules that encourage investment and sustained productivity improvement Demand Demand e.g., Intellectual property Conditions protection Conditions Meritocratic incentive systems across all major institutions Sophisticated and demanding Open and vigorous local local customer(s) competition Local customer needs that anticipate those elsewhere Related and Related and Unusual local demand in Supporting Supporting specialized segments that can be Industries served nationally and globally Industries Access to capable, locally based suppliers and firms in related fields Presence of clusters instead of isolated industries
Factor Factor (Input) (Input) Conditions Conditions

Presence of high quality, specialized inputs available to firms Human resources Capital resources Physical infrastructure Administrative infrastructure (e.g. business registration, rules, licensing, property rights) Information infrastructure Scientific and technological infrastructure Natural resources
Successful economic development is a process of successive economic upgrading, in which the business environment in a nation evolves to support and encourage increasingly sophisticated ways of competing
Clusters and Competitiveness

Cairns (Australia) Tourism
Public Relations & Public Relations & Market Research Market Research Services Services
Travel agents Travel agents
Tour operators Tour operators
Local retail, Local retail, health care, and health care, and other services other services
Food Food Suppliers Suppliers Restaurants Restaurants Property Property Services Services Hotels Hotels
Attractions and Attractions and Activities Activities

e.g., theme parks, e.g., theme parks, casinos, sports casinos, sports
Local Local Transportation Transportation
Souvenirs, Souvenirs, Duty Free Duty Free Banks, Banks, Foreign Foreign Exchange Exchange
Maintenance Maintenance Services Services
Airlines, Airlines, Cruise Ships Cruise Ships
Government agencies Government agencies

e.g. Australian Tourism Commission, e.g. Australian Tourism Commission, Great Barrier Reef Authority Great Barrier Reef Authority
Educational Institutions Educational Institutions

e.g. James Cook University, e.g. James Cook University, Cairns College of TAFE Cairns College of TAFE
Industry Groups Industry Groups

e.g. Queensland Tourism e.g. Queensland Tourism Industry Council Industry Council
Sources: HBS student team research (2003) - Peter Tynan, Chai McConnell, Alexandra West, Jean Hayden
Influences on Competitiveness
Multiple Geographic Levels
World Economy
Broad Economic Areas
ASEAN
Groups of Neighboring Nations
Indochina
Nations
Vietnam
States, Provinces
Cities
Specialization of Regional Economies

Select U.S. Geographic Areas
Denver, CO Denver, CO Leather and Sporting Goods Leather and Sporting Goods Oil and Gas Oil and Gas Aerospace Vehicles and Defense Aerospace Vehicles and Defense Chicago Chicago Communications Equipment Communications Equipment Processed Food Processed Food Heavy Machinery Heavy Machinery Pittsburgh, PA Pittsburgh, PA Construction Materials Construction Materials Metal Manufacturing Metal Manufacturing Education and Knowledge Education and Knowledge Creation Creation
Seattle-BellevueSeattle-BellevueEverett, WA Everett, WA Aerospace Vehicles Aerospace Vehicles and Defense and Defense Fishing and Fishing Fishing and Fishing Products Products Analytical Instruments Analytical Instruments
Wichita, KS Wichita, KS Aerospace Vehicles and Aerospace Vehicles and Defense Defense Heavy Machinery Heavy Machinery Oil and Gas Oil and Gas
Boston Boston Analytical Instruments Analytical Instruments Education and Knowledge Creation Education and Knowledge Creation Communications Equipment Communications Equipment
San FranciscoSan FranciscoOakland-San Jose Oakland-San Jose Bay Area Bay Area Communications Communications Equipment Equipment Agricultural Agricultural Products Products Information Information Technology Technology
Raleigh-Durham, NC Raleigh-Durham, NC Communications Equipment Communications Equipment Information Technology Information Technology Education and Education and Knowledge Creation Knowledge Creation
Los Angeles Area Los Angeles Area Apparel Apparel Building Fixtures, Building Fixtures, Equipment and Equipment and Services Services Entertainment Entertainment
San Diego San Diego Leather and Sporting Goods Leather and Sporting Goods Power Generation Power Generation Education and Knowledge Education and Knowledge Creation Creation
Houston Houston Heavy Construction Services Heavy Construction Services Oil and Gas Oil and Gas Aerospace Vehicles and Defense Aerospace Vehicles and Defense
Atlanta, GA Atlanta, GA Construction Materials Construction Materials Transportation and Logistics Transportation and Logistics Business Services Business Services
Note: Clusters listed are the three highest ranking clusters in terms of share of national employment Source: Cluster Mapping Project, Institute for Strategy and Competitiveness, Harvard Business School
Stages Of Competitive Development
Factor-Driven Factor-Driven Economy Economy
InvestmentInvestmentDriven Economy Driven Economy
InnovationInnovationDriven Economy Driven Economy
Input Cost Macro, political, and legal stability Efficient basic infrastructure Lowering the regulatory costs of doing business
Efficiency Local competition Market openness Incentives and rules encouraging productivity Cluster development
Unique Value Advanced skills Advanced infrastructure Incentives and rules

encouraging innovation
Cluster upgrading
Source: Porter, Michael E., The Competitive Advantage of Nations, Macmillan Press, 1990
Shifting Responsibilities for Economic Development
Old Model Old Model
New Model New Model
Government drives economic Government drives economic development through policy development through policy decisions and incentives decisions and incentives
Economic development is a Economic development is a collaborative process involving collaborative process involving government at multiple levels, government at multiple levels, companies, teaching and companies, teaching and research institutions, and research institutions, and institutions for collaboration institutions for collaboration
Competitiveness must become a bottoms-up process in which citizens take responsibility Every community and cluster can take steps to enhance competitiveness
10
Vietnamese Competitiveness
Accomplishments
Strong GDP growth record; economic growth has been resilient during the Asian Crisis and SARS The poverty rate has fallen from 58% to 29% from 1992 to 2002 Solid labor productivity growth Strong export growth Strong FDI inflows
11
Vietnamese Competitiveness
Issues
Prosperity remains at a low level Labor productivity remains very low Vietnams business environment remains very weak Fall in the GCR business competitiveness ranking in 2004 Key weaknesses include corruption, physical infrastructure, skill base, financial markets, technology, cluster depth and the nature of competitive advantages
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Comparative Economic Performance

Real GDP Growth Rates
Annual growth rate of real GDP Countries sorted by 19982003 annual real GDP growth rate (CAGR)
20%
CHINA
15%
MYANMAR VIETNAM CAMBODIA LAOS INDIA BANGLADESH MALAYSIA THAILAND PHILIPPINES PAKISTAN HONG KONG NEW ZEALAND SRI LANKA SINGAPORE INDONESIA TAIWAN JAPAN PAPUA NEW GUINEA
10%
5%
0%
-5%
-10%
-15%
97 99 02 20 95 96 93 94 90 91 92 98 00 01 19 19 19 19 19 19 19 19 19 19 20 20 20 03
Source: EIU (2004)

13
Comparative Economic Performance

30,000
Japan
25,000
Singapore
Hong Kong SAR Taiwan
GDP per capita (PPP adjusted) in US-$, 2003
20,000
Slovenia S Korea
15,000
Slovak Republic
10,000
Estonia Latvia Russia
Mexico Malaysia Thailand Laos India
5,000
Philippines Indonesia Bangladesh

0% 1% 2% 3%
Vietnam
Myanmar
5% 6% 7%
China
Cambodia
4%
8%
Compound annual growth rate of real GDP per capita, 1998-2003

Source: EIU (2004)
14
Comparative Labor Productivity Performance

70,000
60,000
Hong Kong SAR Taiwan Singapore Japan
50,000
GDP per employee (PPP adjusted) in US-$, 2003
40,000
S Korea
30,000
20,000
10,000
Malaysia Philippines Indonesia China

0%
Thailand India
Vietnam
Bangladesh
10% 20% 30%
0 -20%
Source: EIU (2004)
-10%
Compound annual growth rate (CAGR) of real GDP per employee, 1998-2003
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Vietnams Export Performance

World export share in %
World Export Market Shares
0.30%
0.25%
0.20% goods services total
0.15%
0.10%
0.05%
0.00% 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004
Source: WTO (2005)
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Comparative Inward Foreign Investment

Selected Countries
FDI Stocks as % of GDP, Average 2001-2003
80%
Asian countries
70%
Netherlands Estonia Malaysia Kazakhstan Hungary Cambodia Czech Republic
60%
Vietnam
50% 40%
China Thailand Poland 20% Philippines Russia Taiwan 10% S Korea India Japan 0%
0% 10% 30%
Costa Rica Slovakia Brazil Slovenia
20%
30%
40%
50%
60%
FDI Inflows as % of Gross Fixed Capital Formation, Average 2001-2003

Source: UNCTAD (2004)
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Global Competitiveness Report 2004

The Relationship Between Business Competitiveness and GDP Per Capita
Norway United States
35,000
Asian countries
30,000
2003 GDP per Capita 25,000 (Purchasing Power Adjusted) Italy
Iceland Canada Ireland Austria Belgium France Taiwan Spain

Greece Cyprus Malta Portugal Czech Rep Hungary Slovak Rep. Poland Slovenia
Denmark Switzerland Netherlands Finland UK Sweden Singapore
20,000
New Zealand Israel S Korea
15,000
Estonia Lithuania South Africa
10,000
Bosnia Paraguay Bolivia
Argentina Croatia Uruguay Chile Bulgaria
Chile Mexico Brazil Turkey Tunisia Jamaica China Jordan Indonesia India
Malaysia
5,000
Vietnam
Malawi
Ethiopia
Ghana Kenya
Business Competitiveness Index

Source: Global Competitiveness Report 2004
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Factor (Input) Conditions

Vietnams Relative Position
Competitive Disadvantages Relative to GDP per Capita
Country Ranking, Arrows indicate a change of 5 or more ranks since 1998
Competitive Advantages Relative to GDP per Capita

Administrative burden for startups Reliability of police services Availability of scientists and engineers Judicial independence Local equity market access Telephone/fax infrastructure quality Efficiency of legal framework Venture capital availability Quality of public schools Quality of math and science education Railroad infrastructure development
35 36 40 53 54 55 55 57 58 58 61
Quality of management schools Overall infrastructure quality Quality of scientific research institutions Cell phones per 100 people (2003) Extent of bureaucratic red tape Quality of the educational system Port infrastructure quality Quality of electricity supply
91 84 84 84 83 79 77 77
University/industry research collaboration 74
Note: Rank versus 93 countries; overall, Vietnam ranks 73rd in Business Competitiveness and 83rd in 2003 PPP adjusted GDP per capita Source: Global Competitiveness Report 2004-2005
19

1
Corruption
Asian countries
Rank in Global Corruption Index, 2003
Vietnam
80
-15
-10
-5
10
15
Change in Rank, Global Corruption Report, 2003 versus 2001
Source: Global Corruption Report, 2003

20

Per 1,000 inhabitants, 2002
Communication Infrastructure
1000 900 800 700 600 500 400 300 200 100 0 Phonelines Cell phones Internet users
Source: Human Development Report (2004)

Ho ng
Ko ng SA Si R Ko nga po re a, r Re e p. of Ja p M an al ay s Th ia ai la nd C Ph hin ilip a pi In nes do ne s Vi ia et na m In di a Ba Lao s ng la de s M ya h nm ar

21
Context for Context for Firm Strategy Firm Strategy and Rivalry and Rivalry
Context for Firm Strategy and Rivalry


Cooperation in labor-employer relations Decentralization of corporate activity Extent of locally based competitors
33 39 40
Hidden trade barrier liberalization Prevalence of mergers and acquisitions Foreign ownership restrictions Effectiveness of anti-trust policy Intellectual property protection Regulation of securities exchanges
91 88 86 84 84 75 69 66
Centralization of economic policy-making 41 Favoritism in decisions of government officials Protection of minority shareholders interests Tariff liberalization Efficacy of corporate boards 50 52 53 61
Business costs of corruption Intensity of local competition
22
Taxation
Selected Asian Countries
Positive
Incentive Effect Complexity
Negative
R di a C hi na Ta iw an ea m a s es h or e Ph ili pp in e al ay si Th ai la n SA na gl ad Vi et Ja p
on g
Si ng
Source: Global Competitiveness Report 2004

H on
23
Ba n
Ko r
ap
In
an
Stringency of Labor Market Regulation*, (0-100)
Labor Market Regulation

Selected Asian Countries
70 Restrictive 60 50
OECD
40
30
20
Liberal 10
0
Si ng ap or e M al ay H on sia g Ko ng Ja pa n Ko Ind ia re a, R ep C . am bo di a La os Vi et na m In do ne si a Ta iw Ph a ilip n pi ne Th s ai la nd
24
Note: Average of values for hiring, firing, and employment condition regulations Source: World Bank (2005)
C hi Ba na ng la de sh
Demand Demand Conditions Conditions
Demand Conditions


Government procurement of advanced technology products Sophistication of local buyers' products and processes Buyer sophistication
32 51 60
Stringency of environmental regulations Laws relating to ICT Presence of demanding regulatory standards
89 85 79
25
Related and Related and Supporting Supporting Industries Industries
Related and Supporting Industries


Local availability of process machinery
63
State of cluster development Local availability of specialized research and training services
80 75
Local availability of components and parts 69 Extent of collaboration among clusters Local supplier quantity 68 67
26
Vietnams Goods Export Portfolio

Exports by Cluster, 1997-2002
8.00%
Average Change in Vietnams Total World Export Share: +0.100% Footwear
7.00%
6.00%
World Export Share, 2002
5.00%
Fishing and Fishing Products
4.00%
3.00%
2.00%
Apparel
1.00%
Furniture
Vietnams Overall World Export Share: 0.280%
0.00% -0.50% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% Change in Vietnam's World Export Share, 1997-2002
27
3.00%
3.50%
Exports of = $500 million
4.00%
Source: Prof. Michael E. Porter, International Cluster Competitiveness Project; UN Comtrade.

Vietnams Goods Export Portfolio

Exports by Cluster, 1997-2002 (continued)
1.00%
Average Change in Vietnams Total World Export Share: +0.100% Leather and Related Products
0.80%
Coal and Briquettes
World Export Share, 2002
Oil and Gas Products
0.60%
Sporting, Recreational and Childrens Goods Building Fixtures and Equipment
Agricultural Products
0.40%
0.20%
Processed Food Information Technology Lighting and Electrical Equipment
Textiles Plastics Motor Driven Products Construction Materials Communications Equipment Power Generation and Equipment
Vietnams Overall World Export Share: 0.280%
0.00% -0.15% -0.10%
-0.05% 0.00% 0.05% 0.10% 0.15% Change in Vietnam's World Export Share, 1997-2002
28
0.20%
0.25%
Exports of = $500 million
0.30%

Leading Vietnam Export Industries, 2002

World Change in Share Export Share 1997-2002 1.17% 1.03% 6.52% 2.28% 7.09% 3.53% 17.04% 8.86% 4.92% 3.39% 19.24% 14.33% 3.99% 0.85% 7.21% 5.63% 8.26% 9.14% 1.36% 0.42% 1.29% 0.63% 2.19% 0.74% 9.99% 9.67% 0.85% 0.23% 5.55% 4.99% 13.32% 10.92% 8.69% 1.43% 1.47% 0.61% 0.64% 0.08% 1.20% 0.33% 1.30% 1.17% 2.27% 1.55% 0.83% 0.73% 0.68% 0.42% 2.74% 1.81% Export Value in $thousands $ 3,076,200 $ 1,236,530 $ 999,876 $ 822,703 $ 406,669 $ 318,736 $ 304,603 $ 299,509 $ 285,029 $ 276,026 $ 272,800 $ 253,093 $ 244,351 $ 238,336 $ 234,641 $ 227,098 $ 214,343 $ 210,394 $ 210,329 $ 178,695 $ 172,631 $ 168,757 $ 168,194 $ 167,583 $ 136,924
Industry 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 Crude petroleum oils Miscellaneous footwear with leather soles Crustaceans, mollusks, and aquatic invertebrates Other footwear, rubber plastics Coffee, coffee substitute Gym, training shoes and the like rubber or plastics soles Miscellaneous prepared or preserved fish, crustaceans and the like Mens or boys overcoats, outerwear and similar articles Rice, milled or semi-milled Jerseys, pullovers, cardigans, waistcoats, knitted Fish, fresh, chilled, or frozen Other wooden furniture Other travel bags, sets Fruit, nuts excluding oil nuts Womens or girls overcoats, other coats Footwear, with textile uppers and rubber soles Natural rubber, balata and similar natural gums Mens or boys trousers, breeches and shorts Insulted wire, cable and conductors Womens or girls trousers, breeches and shorts Printed circuits Mens or boys shirts Coal, not agglomerated Convertible seats and parts Other garments, not knitted
Cluster Oil and Gas Products Footwear Fishing and Fishing Products Footwear Agricultural Products Footwear Fishing and Fishing Products Apparel Agricultural Products Apparel Fishing and Fishing Products Furniture Leather and Related Products Agricultural Products Apparel Footwear Plastics Apparel Communications Equipment Apparel Information Technology Apparel Coal and Briquettes Building Fixtures and Equipment Apparel

29
Leading Vietnam Export Industries, 2002 (continued)

World Change in Share Export Share 1997-2002 4.53% 1.90% 4.28% 4.82% 7.12% 2.89% 4.27% 0.39% 2.15% 0.91% 2.34% 1.14% 0.71% 0.33% 1.27% 0.34% 5.04% 8.64% 2.32% 1.20% 2.05% 1.03% 0.10% 0.04% 1.33% 0.00% 0.99% 0.76% 0.39% 0.28% 0.73% 0.90% 1.00% 0.03% 0.29% 0.09% 4.28% 1.50% 0.22% 0.22% 2.64% 1.25% 1.14% 0.64% 2.33% 0.55% 0.91% 0.38% 1.11% 0.13% Export Value in $millions $ 123,943 $ 105,836 $ 98,323 $ 98,077 $ 88,453 $ 82,093 $ 79,772 $ 79,439 $ 76,009 $ 71,320 $ 65,119 $ 61,402 $ 61,047 $ 58,318 $ 55,028 $ 54,577 $ 53,569 $ 53,046 $ 52,140 $ 47,857 $ 45,236 $ 45,019 $ 44,415 $ 43,821 $ 43,615
26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50
Industry Other sports shoes with leather uppers Spices Ornamental ceramic articles Bicycles and other cycles, non-motorized Brassieres, corsets, braces, suspenders, garters Baskets, brooms, brushes, paint rollers and mops Children's toys Womens or girls suits, dresses, skirts, trousers, knitted Other sports shoes with rubber, plastics uppers and soles Mens or boys shirts, knitted Garments made of felt, miscellaneous nonwoven or coated fabrics Parts for telecommunication equipment Fans, cooker hoods with fan Oxygen-function amino-compounds T-shirts, other vests, knitted Household linens Electric motors<=37.5w Gold, silver jewelry or ware Headgear, knitted or made up from fabrics Vegetables Wood in chips or particles Trunks, suit-cases, executive-case and similar containers Miscellaneous articles of ceramic materials Womens or girls underwear, nightwear, knitted Bedroom furniture of wood
Cluster Footwear Agricultural Products Furniture Sporting, Recreational and Children's Goods Apparel Building Fixtures and Equipment Sporting, Recreational and Children's Goods Apparel Footwear Apparel Apparel Communications Equipment Motor Driven Products Chemical Products Apparel Textiles Motor Driven Products Jewelry, Precious Metals and Collectibles Apparel Agricultural Products Forest Products Leather and Related Products Building Fixtures and Equipment Apparel Furniture
Top 50 Industries as % of Vietnams total goods exports: 82.7%

30
Key Issues for Vietnamese Competitiveness

Move beyond reliance on low wage-based export growth Make Vietnam a more productive location Upgrade domestic clusters Develop an independent and vibrant domestic private sector Improve privatization process and governance Financial market development Address key weaknesses in the business environment e.g. Corruption and bureaucracy Bottlenecks in physical infrastructure Mobilize emerging clusters Tourism Shoes Textiles Fishing products Oil and gas Leverage different levels of geography Regions within Vietnam Indochina ASEAN
31
Institute for Strategy and Competitiveness

Intellectual Agenda
Competition and Firm Strategy
Competition and Economic Development
Competition
Competition and Society
32
Institute for Strategy and Competitiveness

Strategic Pillars
Research and Research and Publications Publications
Competitiveness Competitiveness Information Information
Course Platform Course Platform (MOC) (MOC)
Institution Building Institution Building
33
Potential Resources for Vietnam
Course Microeconomics of Competitiveness Competitiveness data on ISC web site Connection to ISC partners in the region, especially the new Asian Institute for Competitiveness in Singapore
Support for overall competitiveness or specific cluster efforts
34

Porter in VN

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National Competitiveness: Issues for Vietnam

200506 GCR Vietnam KC 2005.06.24.ppt

Copyright 2005 Professor Michael E. Porter

Topics for Discussion

200506 GCR Vietnam KC 2005.06.24.ppt

Copyright 2005 Professor Michael E. Porter

200506 GCR Vietnam KC 2005.06.24.ppt

Microeconomic Foundations Microeconomic Foundations

Copyright 2005 Professor Michael E. Porter

Productivity and the Business Environment

Factor Factor (Input) (Input) Conditions Conditions

Copyright 2005 Professor Michael E. Porter

Clusters and Competitiveness

Travel agents Travel agents

Tour operators Tour operators

Attractions and Attractions and Activities Activities

Local Local Transportation Transportation

Maintenance Maintenance Services Services

Airlines, Airlines, Cruise Ships Cruise Ships

Government agencies Government agencies

Educational Institutions Educational Institutions

Industry Groups Industry Groups

Copyright 2005 Professor Michael E. Porter

Broad Economic Areas

Groups of Neighboring Nations

Copyright 2005 Professor Michael E. Porter

Specialization of Regional Economies

Copyright 2005 Professor Michael E. Porter

Stages Of Competitive Development

Factor-Driven Factor-Driven Economy Economy

InvestmentInvestmentDriven Economy Driven Economy

InnovationInnovationDriven Economy Driven Economy

Unique Value Advanced skills Advanced infrastructure Incentives and rules

Copyright 2005 Professor Michael E. Porter

Shifting Responsibilities for Economic Development

Old Model Old Model

New Model New Model

Copyright 2005 Professor Michael E. Porter

200506 GCR Vietnam KC 2005.06.24.ppt

Copyright 2005 Professor Michael E. Porter

200506 GCR Vietnam KC 2005.06.24.ppt

Copyright 2005 Professor Michael E. Porter

Comparative Economic Performance

Source: EIU (2004)

Copyright 2005 Professor Michael E. Porter

Comparative Economic Performance

Hong Kong SAR Taiwan

GDP per capita (PPP adjusted) in US-$, 2003

Estonia Latvia Russia

Mexico Malaysia Thailand Laos India

Philippines Indonesia Bangladesh

Compound annual growth rate of real GDP per capita, 1998-2003

Copyright 2005 Professor Michael E. Porter

Comparative Labor Productivity Performance

Hong Kong SAR Taiwan Singapore Japan

Malaysia Philippines Indonesia China

Vietnams Export Performance

World Export Market Shares

0.20% goods services total

Copyright 2005 Professor Michael E. Porter

Comparative Inward Foreign Investment

Netherlands Estonia Malaysia Kazakhstan Hungary Cambodia Czech Republic