...CLUSTERING STRATEGY IN SME DEVELOPMENT : An Integral Development Supports By: Noer Soetrisno Presented at : 2004 APEC INFORMATIZATION POLICY FORUM FOR SMALL AND MEDIUM ENTERPRISES July, 15-16, 2004 SMEs in Economic Development 1. There is no Regional or Global Consensus on SME The Coverage of SME definition are Commonly Associated With : - SMI (Manufacturing Industry) - SMI + Services (Selected) - All Sectors Except Agriculture - All Sectors Include Agriculture 2. Variable to Measure SME - No of employee (Industry) - Assets (Fixed Asset, Asset other than lands building) - Sales 3. The Role of SME in Economic Development - Contributor to Value added (Growth) : About 57% of GDP - Provider of Employment : Contribute to 99.5% of total employment - Potential Contributor to Export : Share about 16-21% of total export - Flexibility and Resilience to Shocks : continue to survive during the crisis, micro and small enterprises more resilience, but medium enterprises are not fully recovered from the crisis up to 2003 •SME Cluster Development in Indonesia - Cluster development approach has been adopted since 1970’s * Small industry zone * Export processing zone * Agglomeration of SME activities - At present exist about 9800 units of Small Industry Cluster : * 78% Low technology group * Productivity / worker : • Low technology IDR 970 Thousand (100) • Medium technology IDR 2 Million (212) • High technology IDR 8.24 Million (849) Government Policies...
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...failures, information, risks and split incentives. This has led the Government of India through the Energy Conservation Act and the Bureau of Energy Efficiency to launch several programs. The Energy Conservation Act (2001) is the most important multi-sectoral legislation in India and is intended to promote efficient use of energy in India. The Act specifies energy consumption standards for equipment and appliances, establishes and prescribes energy consumption norms and standards for designated consumers, prescribes energy conservation building code for efficient use of energy in commercial buildings, and establishes a compliance mechanism for energy consumption norms and standards .Large scale energy savings can be realized through strengthening of the existing policies, schemes as well as expanding and reaching out to new areas in the 12th Five Year Plan. The primary energy consumption of India is 421 million tonnes of oil equivalent (mtoe) (2008; International Energy Agency 2009) which is about 3.5% of the world primary energy consumption in the year 2008. The per capita energy consumption is only 0.53 kilogram of oil equivalent (kgOE) whereas the world average...
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...To identify the fiscal and monetary policy tools used by Mexican Presidents since Miguel Aleman and Make clear the fiscal and monetary indicators that define each policy the economic models of that time must be examined; from Miguel Aleman to Felipe Calderon there has been just 3 Economic Models: a) 1940-1964: Import substitution model. (Modelo de sustitución de importaciones) b) 1964-1982: Stabilizing development model. (Modelo de desarrollo estabilizador) c) 1982- ………: Neoliberal model. (Modelo neoliberal) in order to understand this models and its implications it’s important to make sure a clear understanding about the policies. The Macroeconomic policy affects a country or region as a whole. It deals with the monetary, fiscal, trade and exchange regime, as well as economic growth, inflation and national rates of employment and unemployment. Changes in demand and aggregate supply can cause short-term fluctuations in output and employment. The monetary and fiscal policy can shift aggregate demand and, therefore, influence these fluctuations. a) 1940-1964: Import substitution model, presidents on it: Manuel Ávila Camacho, Miguel Alemán Valdez, and Adolfo Ruiz Cortines. In the import substitution model, the management of public finances, which sought to redistribute income and promote domestic production, contributed to the process of industrialization and modernization in Latin America. Fiscal functions got away from their initial orientation because there...
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...Indian Manufacturing Industry India’s manufacturing sector is on a high growth trajectory. As targeted by the National Manufacturing Competitiveness Council (NMCC), it is set to contribute 25% to the GDP by 2025 compared to the current share of nearly 16 %. Notably, the sector contributed 66% to the nation’s exports and has been strengthening at CAGR of 20% in the last five years. The competitiveness that the sector commands in the global arena is driving its growth. India ranks second in the world as per the 2010 Global Manufacturing Competitiveness Index (GMCI) prepared by the US Council on Competitiveness, and Deloitte. As per the same source, India would maintain its second ranked and continue to dominate the global manufacturing even after 5 years. India has set benchmarks in the international market with respect to quality in manufacturing. The country is currently second only to Japan in hosting companies awarded for quality excellence. The India advantage is favouring growth in the sector as international players such as Hyundai, Nokia, Samsung and Airbus are focussing on setting up manufacturing facilities in the country. Interestingly, India’s growth in the manufacturing sector overshadows other BRIC members. This can be associated to the strength in the Indian Domestic market. In a major boost to the 'Make in India' initiative, the Government has received confirmation from top technology firms such as GE, Bosch, Tejas and Panasonic regarding their decision to invest...
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...UNDP-GEF PROJECT CONCEPT PAPER |Project name: |GEF implementing agency: | | | | |Malaysia: Building Integrated Photovoltaic (BIPV) Technology |United Nations Development Programme (UNDP) | |Application Project Malaysia: Building Integrated Photovoltaic | | |Systems Project (BIPVS) | | |Country of countries in which the Project is being implemented: |Country eligibility: | |Malaysia | | | |Ratified the UNFCCC on 17 July 1994. | |GEF Focal Area (s): |Operational program/short-term measure: | | | | | ...
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...and, which can also easily and confidently adapt to the changing market and technological conditions in the regional and global economy”. The challenge is therefore to mobilise human and other resources towards that goal. 2. Economic Reform Programmes implemented by the Tanzanian Government have been based on the philosophy that Tanzania is committed to a market economy whereby the private sector will take the lead in creating incomes, employment and growth. On the other hand, the State will be a producer of public goods, play a regulatory role to level the playing field and create conducive environment for the private sector to take the lead in driving economic growth. This philosophy is evident in almost all policy statements made since 1986 and in particular after 1996. The private sector has started playing an ever- increasing role in creating incomes and employment. Small and Medium Enterprises (SMEs) account for a large share of the enterprises active in Tanzania. In fact Small and Medium Enterprises are the emerging private sector and do form the base for private sector-led growth. 3. SMEs, important as they are to the economy, have been facing a number of problems despite the on-going reform programmes. This is due to a number of factors, one of which is a persistent culture that has not recognised the value of entrepreneurial initiative in improving the lives of the people. Other factors include complex, bureaucratic and costly legal, regulatory and...
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...INDIAN MANUFACTURING: OVERVIEW AND PROSPECTS ........................................................................................................................ CONTENTS 1. 1.1 1.2 1.3 2. 2.1 2.2 3. INDIAN MANUFACTURING SECTOR: AN OVERVIEW ......................................................... 5 Role of manufacturing in the Indian economy................................................................... 5 The sub-sectors that stand out in India's manufacturing sector .................................... 6 Manufacturing sector's recent growth spurt: Clues from IIP.......................................... 7 TAPPING THE GLOBAL MARKET ........................................................................................... 9 India's growing manufacturing exports .............................................................................. 9 The main export markets: US, Western Europe, and the Middle East ............................ 12 INCREASING COMPETITIVENESS OF INDIAN MANUFACTURING .................................... 13 3.1 3.2 3.3 Sector has an edge in the global arena ............................................................................. 13 Encouraging research and fostering innovation .............................................................. 15 Government support for developing a skilled workforce ................................................ 17 4. CURRENT TRENDS IN INDIAN MANUFACTURING ............................................
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...Page INTRODUCTION 2 Economic growth and living standards in Malaysia. 3 -7 Unemployment in Malaysia 7 - 10 Inflation in Malaysia 10 - 12 Summary 13 References 13 -14 1. Introduction Macroeconomics can be best understood in contrast to microeconomics which considers the decisions made at the level of a specific subgroups or individuals. Macroeconomics considers the behavior of an economy at the aggregate level or how all of these decisions sum together. It looks at the bigger picture and involves the study of the economy as a whole. More specifically, it is a study of national economies and the determination of national income. The study of macroeconomics are focusing on several factors that are: * Real output – determine the reason of the economic growth and their differences between various countries. * Productivity – the average labour productivity. * Economic growth – causes of decline and growth. * Unemployment – types, reason and how to overcome it. * Inflation – Causes, reason of different rate either from time to time and from one country to another. In order to greasing the engine of the economy, government used several policies such as: * Financial or monetary policies to influences supply of...
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...Introduction Samsung is a company which is known as a global multinational dealing with the manufacturing and promotion of the White Goods. In other words, it is a global supplier of appliances and gadgets used by potential consumers all around the world. The company has accomplished this wider business through powerful and strengthening strategies which helped them in gripping their products on the grounds. This assignment is based on the evaluation of the strategic direction of this company and so the culture is taken into consideration. This also provides the complete structure of the hierarchy structure of this organization.1 Background and History The history of this company starts with its opening as a general store in 1938 at North Kyung-sang Province, Korea. In these stores, trade was undergone until 1950s when the company started working as sugar and wool producer. The company was involved in the insurance business in 1958. The 1960s is taken as the era when this company became the first globally expanding company in Korea.2 This era was also an adoption period for the company when the communication sector joined with it. The operations for shaping the future planning of the communication sector was started in 1970s and in 1980s the company managed to access the global market for these products. In the 20th century it was a final stage of development of this sector n till 2000 the operations and management was properly maintained. In the recent era Samsung...
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...find enclosed the business analysis report of Kanpur Confectionaries Private Limited (KCPL) on the current situation. This report analyses the current financial situation of KCPL and its desire to become outsourcer for other manufacturers and provides the recommendation after the analysis. Thanking you. Sincerely, Rohit Saini Senior Consultant D.P. Strategy Consultants Plot 3, Okhla Industrial Area New Delhi- 110020 Email: rohit.saini@dpsc.com Outline of the Report In 1945, Kanpur Confectionaries Private Limited (KCPL) was started to sell sugar candies but also began manufacturing and selling biscuits under the brand MKG in 1970. In 1974, it became second in the northern region by selling 110 tonnes of biscuits with a capacity of 120 tonnes. In 1980-81, they earned a profit of ₹ 20 lakhs. They were not able to use their surplus capacity. The competition from organized and unorganized sector was increasing continuously due to which their sales got declined, and they incurred loss in the business. They got an offer from Pearson Health Drinks Limited in 1985 to manufacture the health biscuits for them. In 1987, they were considering to become outsourcer for A-One Confectionaries Limited (APL) as well in northern region. The problem KCPL is facing now to cover their financial loss while using their surplus...
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...Budgetary and business environment policies focusing on less-restrictive regulations for flow of goods, services, capital and labour and Foreign Economic Policies to promote cluster economic activity, and FDI; • Building institutions for social capital; • Strengthening political and legal system of city...
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...and early 2008, as inflation began to rise and external imbalances expanded. Conditions deteriorated in mid-2008 with the sharp increase in international food and fuel prices and worsening of the domestic security situation. The fiscal deficit widened, due in large part to rising energy subsidies, financed by credit from the central bank. As a result, the rupee depreciated and foreign currency reserves fell sharply. Inflation reached 25 percent in late-2008, causing harm to vulnerable social groups. Role of the IMF The current SBA program aims to: • restore macroeconomic stability through a tightening of fiscal and monetary policies to bring down inflation and strengthen foreign currency reserves; • protect the poor by strengthening the social safety net—this is a key element of the government’s policy strategy; and • raise budgetary revenues through comprehensive tax reforms to enable significant increases in public investment and social spending required for achieving sustainable growth. Progress to Date Pakistan’s economy had initially made progress toward stabilization under the program. Macroeconomic imbalances shrank and inflation fell below 10 percent in mid-2009....
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...MAJOR DRIVERS OF GROWTH, EMPLOYMENT AND TRADE IN INDIA INTRODUCTION It is interesting and rewarding to study India as an economy that has evolved over a period of 65 years since its independence. The country has grown economy-wise and population-wise since 1950 and the major contributors to Gross Domestic Product (GDP) has gradually shifted from agricultural sector to the services sector. Widespread globalization of industries and liberalization of trade along with technological advancements have played an important role in adding to its growth. In terms of Purchasing Power Parity India took position as the world’s third largest economy in April 2014 replacing Japan proving to be one of the fastest growing economies of the world (“India displaces Japan,” 2014). For the purpose of clearly understanding the major contributors and policies to the effect India’s growth and development, I have conducted my research under the primary, secondary and tertiary sectors using graphs and figures to explain whenever required. The primary sector being Agriculture, the secondary sector being Industry and the tertiary sector being Services have also been analyzed to indicate the major trading partners of India. A sufficient period of time has been considered for the purpose of this assessment to provide good insight on the topic. The paper will also further discuss some of the recent policy measures taken to further improve the growth of India. ...
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...Introduction Kenya has a vibrant entrepreneurial base with the potential of becoming competitive globally. There is a shift from manufacturing to a flexible labor based economy, a phenomena commonly referred to as knowledge based economy (Formica, 2005). Entrepreneurship as a whole contributes to social-economic wealth by creating new markets, new industries, new technology, new institutional forms, new jobs, and net increases in real productivity (Ngugi, 2014). Despite the vital role entrepreneurship plays in the economy, there are numerous challenges facing entrepreneurship development. The Micro and Small enterprises bear the brunt of it all (Pike 2007). It is estimated that as many as 75% of small enterprises started in Kenya fail within three years of their birth. Indeed an enterprise that is more than three years old is regarded as having achieved some measure of success. Therefore, there is the need to strengthen entrepreneurship to nurture nascent entrepreneurs and achieve the goal of enterprise development. The following are methods of strengthening entrepreneurship in Kenya: Strengthening financial systems The biggest challenge to entrepreneurial ventures is lack of capital to realize entrepreneurial dreams. A lack of resilient financial systems has been a hindrance to development of MSEs and hence entrepreneurship. A sound financial system therefore improves the entrepreneurial ecosystem. Private equity and venture capital are an important source of seed money...
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...Obafemi Awolowo University Ile-Ife, Osun State, Nigeria Tel: 234-085-338-1914 Received: May 31, 2011 doi:10.5539/ijef.v4n1p204 Abstract E-mail: omosaibu@yahoo.com Published: January 1, 2012 Accepted: July 5, 2011 URL: http://dx.doi.org/10.5539/ijef.v4n1p204 The study investigated the transmission channels of monetary policy impulses on sectoral output growth in Nigeria for the period 1986 to 2009. Secondary quarterly data were used for the study while granger causality and Vector Auto-regressive Method of analysis were utilized. The results showed that interest rate channel was most effective in transmitting monetary policy to Agriculture and Manufacturing sectors while exchange rate channel was most effective for transmitting monetary policy to Building/Construction, Mining, Service and Wholesale/Retail sectors. The study concluded that interest rate and exchange rate policies were the most effective monetary policy measures in stimulating sectoral output growth in Nigeria. Keywords: Sectoral output, Monetary transmission channels, Granger causality, VAR model 1. Introduction The channels through which monetary policy impulse is being transmitted to the economy had been a subject of continuous discourse among academia’s and researchers given that an understanding of the transmission of monetary policy to real output is key for central bankers to conduct monetary policy effectively. While issues on monetary transmission...
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