Group8/Section2

POLITICAL: 1. Parliamentary Republic with a west minister system. 2. Asias first liberalized power market. 3. e-business portal for getting business clearances. 4.For improving SME sectors: Standards Productivity and Innovation Board. 5.1965-2011: Led by Single party, stable political environment

ECONOMICAL 1. Is a major trading hub, has a strong manufacturing & services sector with agriculture share of only 0.1% . 2.Ease of Doing business is 1. 3.Per capita income of the country is the highest in ASEAN. 4.Inflation is 2% ,low as compare to other Asian country 5.Highly competitive financial sector. 6. Self reliant & Skilled workforce.

SOCIAL 1. NO Corruption. 2. Education is compulsory for everyone. 3. Promote Cleanliness. 4. Large Investment in Social development. 5. Individualizing the Social Safety net.

TECHNOLOGICAL 1. Use of advanced technology after post independence. 2.It ranks 7th in the world in technology rating. 3.Telecommunication and transportation highly concentrated. 4.Innovation ranking:13th

Strategy

Government in an important strategic move has adopted a policy where they offer free primary education till 4th standard to increase the labour efficiency.

The country in its education system has always stressed upon skill development and has been successful in beating the unemployment. Government is facilitating establishment of new clusters such as education, tourism, biopharmaceuticals etc. which will boost economic growth further

Structure

From 1999-2002 the outward FDI flow has out-beaten the inward FDI flow. As a result various measures were adopted which included strengthening the workforce, increasing the operational efficiency of companies by including IT, and support entrepreneurship and development of cluster.
The country has been ranked very high in formation, implementation and adaptation of rules and regulations in doing business.

The sectorial distribution of agriculture, manufacturing and services is as follows Agriculture- Nearly 0% Manufacturing- 27% Services- 73%

Performance

The exhibit 7 suggests that the inward FDI flow has always been greater than the outward FDI flow for Singapore between the years 1980-2008. This leads us to conclusion that the corporate governance structure in the country has been very effective. Despite of unavailability of natural resources it has shown high FDI inflows. It has been ranked 1st in the world in ease of doing business. High inequality with gini coefficient of 0.47 80% of the population is employed in service sector which contributes to 73% of the GDP which is a good thing because unlike India where 18%is the contribution of agriculture and about 60% of the population is employed in this particular sector. The indexes for hourly compensation costs for production workers in manufacturing sector is very low as compared to the developed countries and it is nearly around that of the emerging markets of the Asian continent. This is a plus point because Singapore is a developed economy and the compensation index lies somewhere near the emerging countries (Exhibit-11).

Thank You