Building the competitiveness of Lao PDR and their entrepreneurs Workshop on “Lao PDR towards AEC 2015” 19 and 21 February 2013, Laos PDR. Dr. Witada Aunkoonwattaka Trade and Investment Division, ESCAP [email protected] Competition vs Competitiveness. Competition (การแข่งขัน)
In a world of competition, only competitive players remain.
Customer development: identify new market niches/ nurture customer relations
Product development: identify shifting market demand
Improve productivity: Human resources development and technology
Cash flow management
Value of joining GVCs: competitive
opportunities to grow & improve productivity
Thailand competitive: various GVCs in auto, electronics, high-tech, agri-business, consumer-goods sectors.
Viet Nam: GVCs under development in garment, consumer goods, auto and electronics sectors
Cambodia, Lao PDR and Myanmar: Agro-business and garments; need promotion to attract GVCs (underdeveloped domestic markets)
GVCs in GMS
QDC (Quality, Delivery, Cost)
The key role of government
Favourable business climate is key! competitive
Ease of Doing Business Ranking 2013 (World Bank and IFC)
Average of 2006-2009
Source: APTIR (2012)
Building competitiveness of Laotian entrepreneurs require the government to provide appropriate business climate.
The priority for the government is to reduce regulatory burdens to make it easier to engage in international trade.