By Alexius Pereira
This booklet appears to be like at Singapore and China to envision governmental collaboration on a international direct funding orientated process. targeting the original collaborative enterprise, the Suzhou business Park venture, the writer explores the industrial, political and social relationships among Singapore and China in the course of the process the scheme in addition to discussing why convinced options have been followed, how they have been carried out and their results.
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Extra resources for State Collaboration and Development Strategies in China (Routledgecurzon Studies in the Growth Economies of Asia, 44)
Sample text
The intent was to encourage industrial transnational corporations to switch from labour-intensive manufacturing towards more capital-intensive operations (Huff 1994). The plan was to simultaneously offer tax 28 1111 2 3 4 5 6 7 8 9 1011 1 2 3111 4 5 6 7 8 9 20111 1 2 3 4 5 6 7 8 9 30111 1 2 3 4 5 6 7 8 9 40111 1 21111 Convergence incentives to participating enterprises, while also upgrading education and training programmes in the labour force. However, in the short term, only a few industrial transnational corporations chose to ‘upgrade’ their operations.
If we invest in China, it is because there is money to be made there. (Quoted in Bolt 1996: 85) It must be pointed out that in the early 1990s, one component of the Singapore government’s broader ‘regionalization’ strategy had distinctly ‘ethnic’ overtones. In the regionalization of Singaporean enterprises thrust, the Singapore government had encouraged Singaporean enterprises to take advantage of their existing cultural affinity within the region. It specifically encouraged enterprises which were formed by ethnic Malays to seek out investment opportunities in either Malaysia or Indonesia, while Indian Singaporean enterprises were encouraged to look towards India (Doran and Jose 1999: 9–10).
Industrial restructuring From 1980 onwards, the world economy experienced rapid economic globalization (Dicken 1998, Held et al. 1999, Sklair 2001). This was because transnational corporations were increasing the level of FDI, and many national governments were ‘liberalizing’ their economies to receive this FDI (Oman 2000). In the Asia Pacific region, the decade saw several governments – including the governments of Malaysia, Indonesia, Thailand and China – ‘opening’ their economies, both to increase foreign trade as well as to adopt FDI-oriented strategies to stimulate economic growth (Tongzon 1998).