Competitive horizon

Article Type: Competitive horizon From: Strategic Direction, Volume 27, Issue 3

Singapore still tops business country league table

The latest annual report produced by the International Finance Corporation(IFC) and the World Bank into business conditions among world economies ranks Singapore as the nation in which it is easiest to conduct business. The Southeast Asian country has occupied top spot for the last five years and Hong Kong, New Zealand, the UK and the USA complete the current top five. A report published by Doing Business (see www.doingbusiness.org) reveals that 18 of the leading 25 economies have made things easier for businesses since the previous report. Among the 183 economies surveyed, Kazakhstan was a significant improver along with Hungary and Tajikistan. Rwanda, Cape Verde, Zambia, Peru, Vietnam,Brunei Darussalam and Grenada complete the ten economies showing the biggest improvement. Countries are evaluated on how they perform in relation to various issues such as starting a business, trading across borders, obtaining construction permits, paying taxes and protecting investors.

Food for thought

A study conducted by Innova Market Insights predicts that EU consumers will continue to search for value in their food purchasing behavior during 2011. The research organization expects this to prompt a growing tendency to buy basic everyday products from discount supermarkets that provide quality at an affordable price. It is claimed that savings made on these purchases will then enable consumers to purchase high-end ingredients to cook premium meals at home. Another significant development anticipated is a continuing rejection of processed foods, according to a report published by Food Navigator (see www.foodnavigator.com). Consumer awareness of healthier options has raised skepticism about food preservatives and forced manufacturers to respond by emphasizing the use of natural ingredients or removal of additives from their products. There is also some expectancy that companies will market the technologies used in food production and highlight the benefits that their chosen methods offer. The report likewise forecasts an increasing focus on ingredients allegedly proven to generate a positive impact on health.

Growth predicted in wind power usage

A joint study by the Global Wind Energy Council (GWEC) and Greenpeace International has prompted claims that wind power will account for a growing percentage of the world’s electricity over the next two decades. It is predicted that wind could provide 12 percent of global energy by 2020, a figure rising to as much as 22 percent a decade later. The study, as published by www.examiner.com,also believes that an increasing reliance on wind energy can have a significantly positive impact on reducing greenhouse emissions. On the assumption that the projected wind power capacity is reached, up to 1.5 billion tons of CO₂ could be saved each year. This would see a fall in CO₂levels of around 34 billion tons by 2030, by which time the wind power industry is expected to have created more than three million jobs. According to the GWEC,China will consolidate its position as the global leader in wind power with a ten-fold increase in market capacity by 2020. The organization also expects wind to become a mainstream energy source in developing countries to an extent that such nations might account for around 50 percent of wind farms located around the world 20 years from now.

More tourists bound for Malaysia

According to The Star Online (see www.thestar.com.my), the number of international tourists to Malaysia between 2011 and 2013 is set to be around 8 percent higher than current levels. This optimism is further fuelled by data from the country’s Tourism Ministry indicating that the first nine months of 2010 brought almost one million more overseas visitors than the corresponding period of the previous year. The report points out that a rise in the amount of domestic travelers is also helping to cement Malaysia’s position as one of the world’s ten leading tourist destinations. Government backing and promotional activities have helped attract more tourists, benefiting both hotel and resort operators. Statistics show that hotel occupancy rates are climbing back towards 2008 levels, thus substantiating expectations of stronger medium-term performance as the global economy continues to recover.