The dimensions of national competitiveness: the empirical analysis based on The World Economic Forum’s data
Abstract
The aim of this research is to determine the minimum number of uncorrelated dimensions which can describe national competitiveness (NC). NC is thought of as the ability of a nation to provide a conducive environment for its firms to prosper. It is shown that the environment affects national productivity catalytically through the interactions with the production factors while itself remaining unchanged. Selected World Economic Forum’s indicators are used for determining the components of the environment. The Principal Component Analysis has revealed three orthogonal dimensions of NC. Countries are represented by the points in the three-dimensional space. The weighted Euclidean distance from the origin to the ith point is proposed as a novel measure of the ith country’s level of NC.
Citations
-
7
CrossRef
-
0
Web of Science
-
3
Scopus
Author (1)
Cite as
Full text
- Publication version
- Accepted or Published Version
- License
- open in new tab
Keywords
Details
- Category:
- Articles
- Type:
- artykuły w czasopismach
- Published in:
-
Economics and Business Review
no. 5(19),
pages 92 - 117,
ISSN: 2392-1641 - Language:
- English
- Publication year:
- 2019
- Bibliographic description:
- Adamkiewicz H.: The dimensions of national competitiveness: the empirical analysis based on The World Economic Forum’s data// Poznań University of Economics Review (Economics and Business Review) -Vol. 5(19),iss. 3 (2019), s.92-117
- DOI:
- Digital Object Identifier (open in new tab) 10.18559/ebr.2019.3.6
- Bibliography: test
-
- ing practices, 7.04 Redundancy costs, 7.05 Effect of taxation on incentives to work, 7.08 Country capacity to retain talent, 7.09 Country capacity to attract talent, 7.10 Female participation in labour force. Financial system of the state: 8.01 Availability of financial services, 8.02 open in new tab
- Affordability of financial services, 8.03 Financing through local equity market, 8.04 Ease of access to loans, 8.05 Venture capital availability, 8.06 Soundness of banks, 8.07 Regulation of securities exchanges, 8.08 Legal rights index. Infrastructural competitiveness Transport infrastructure: 2.01 Quality of overall infrastructure, 2.02 Quality of roads, 2.03 Quality of railroad infrastructure, 2.04 Quality of port infrastruc- ture, 2.05 Quality of air transport infrastructure, 2.06 Available seat kilometres. Energy and telecommunications infrastructure: 2.07 Quality of electricity supply, 2.08 Mobile-cellular telephone subscriptions, 2.09 Fixed-telephone lines, 9.04 Internet users, 9.05. Fixed-broadband Internet subscriptions, 9.06 Internet bandwidth, 9.07 Mobile-broadband subscriptions. open in new tab
- Ethical behaviour of firms, 1.18 Strength of auditing and reporting stand- ards, 1.19 Efficacy of corporate boards, 5.07 Local availability of specialized re- search and training services, 5.08 Extent of staff training, 6.01 Intensity of local competition, 6.02 Extent of market dominance, 6.15 Degree of customer ori- entation, 6.16 Buyer sophistication, 7.01 Cooperation in labour-employer re- lations, 7.06 Pay and productivity, 7.07 Reliance on professional management, 9.01. Availability of latest technologies, 9.02 Firm-level technology absorption, 9.03 FDI and technology transfer, 11.01 Local supplier quantity, 11.02 Local supplier quality, 11.03 State of cluster development, 11.04 Nature of competi- tive advantage, 11.05 Value chain breadth, 11.06 Control of international dis- tribution, 11.07 Production process sophistication, 11.08 Extent of marketing, 11.09 Willingness to delegate authority, 12.01 Capacity for innovation, 12.03 Company spending on R&D. open in new tab
- Adamkiewicz, H. G., & Kot, S.M. (2015). International competitiveness as the cata- lyst of productivity. International Review of Business Research Papers, 6, 120-131. open in new tab
- Aiginger, K. (2006). Competitiveness: From a dangerous obsession to a welfare cre- ating ability with positive externalities. Journal of Industry, Competition and Trade, 6, 161-177. open in new tab
- Baltagi, B. H. (2005). Econometric analysis of panel data. Chichester: Wiley & Sons. Economics and Business Review, Vol. 5 (19), No. 3, 2019
- Bankova, Y. (2015). Critical success factors of national competitiveness. International Scientific Conference: Challenges in business and economics: Growth, competitive- ness and innovations. Niš, October 16, 2015. Retrieved from http:// http://isc2015. ekonomskifakultet.rs/ISCpdfs/ISC2015-10.pdf.
- Bhawsar, P., & Chattopadhyay, U. (2015). Competitiveness: Review, reflections and di- rections. Global Business Review, 16, 665-679. open in new tab
- Boltho, A. (1995). The assessment: International competitiveness. Oxford Review of Economic Policy, 12, 1-16. open in new tab
- Caselli, F. (2005). Accounting for cross-country income differences. In P. Aghion, S. Durlauf (Eds.), Handbook of economic growth (pp. 679-741). Amsterdam: Elsevier. open in new tab
- Cho, D.-S., Moon, H.-C., & Kim M.-Y. (2009). Does one size fit all? A dual double dia- mond approach to country-specific advantages. Asian Business and Management, 8(1), 83-102. open in new tab
- Cho, D.-S., & Moon, H.-C. (2000). National competitiveness: A nine factor approach and its empirical application. Journal of International Business and Economy, 1(1), 17-38. open in new tab
- Cox, M. A. A. (2001). Multidimensional scaling. London: Chapman & Hall.
- De Grauwe, P. (2010). Introduction. In P. De Grauwe (Ed.), Dimensions of competiti- veness (pp. ix-xvi). CESifo Seminar Series. Cambridge: MIT Press. open in new tab
- Delgado, M., Ketels, C., Porter, M. E., & Stern, S. (2012). The determinants of national competitiveness. (NBER Working Paper No. 18249). open in new tab
- Delgado, M., Porter, M. E., & Stern S. (2010). Clusters and entrepreneurship. Journal of Economic Geography, 10, 495-518. open in new tab
- Feenstra, R. C., Inklaar, R., & Timmer, M. P. (2015). The next generation of the Penn World Table. American Economic Review, 105, 3150-3182. open in new tab
- Garelli, S. (2012). The fundamentals and history of competitiveness. In IMD World Competitiveness Yearbook, 488-503.
- Glaeser, E., La Porta, R., Lopez-de-Silanes, F., & Shleifer, A. (2004). Do institutions cause growth?. Journal of Economic Growth, 9, 271-303. open in new tab
- Grilo, I., & Koopman, G. J. (2006). Productivity and microeconomic reforms: Strengthening EU competitiveness. Journal of Industry, Competition and Trade, 6, 67-84. open in new tab
- Huggins, R., & Davies, W. (2006). European Competitiveness Index 2006-07. University of Wales of Wales Institute, Cardiff-UWIC: Robert Huggins Associates Ltd.
- Jolliffe, I. T. (2002). Principal component analysis. New York: Springer. open in new tab
- Kaiser, H. F. (1960). The application of electronic computers to factor analysis. Educational and Psychological Measurement, 20, 141-151. open in new tab
- Kaiser, H. F. (1974). An index of factor simplicity. Psychometrika, 39, 31-36. open in new tab
- Kohler, W. (2006). The 'Lisbon Goal' of the EU: rhetoric or substance?. Journal of Industry, Competition and Trade, 6, 85-113. open in new tab
- Krugman, P. D. (1994). Competitiveness: A dangerous obsession. Foreign Affairs, 73, 28-44. open in new tab
- Lall, S. (2001). Competitiveness indices and developing countries: An economic eva- luation of the Global Competitiveness Report. World Development, 29, 1501-1525. open in new tab
- Liu, Ch. (2017). International competitiveness and the fourth industrial revolution. Entrepreneurial Business and Economics Review, 5(4), 111-133. open in new tab
- Mankiw, M. G., Romer, D., & Weil D. N. (1992). A contribution to the empirics of eco- nomic growth. Quarterly Journal of Economics, 107, 407-437. open in new tab
- Martin, R. L. (2004). A study on the factors of regional competitiveness. A draft final report for the European Commission, Directorate-General Regional Policy (after: Bankova, 2015).
- Moon, H. C., Rugman, A., & Verbeke, A. (1998). A generalized double diamond appro- ach to the competitiveness of Korea and Singapore. International Business Review, 7, 135-150.
- Nunnally, J. C. (1978). Psychometric theory. New York: McGraw-Hill.
- Porter, M. E. (1990a). The competitive advantage of nations. New York: The Free Press.
- Porter, M. E. (1990b, March-April). The competitive advantage of nations. Harvard Business Review, 68, 73-91. open in new tab
- Rugman, A. M., & D'Cruz, J. R. (1993). The 'double diamond' model of international competitiveness: The Canadian experience. Management International Review, 33, 17-39. open in new tab
- Sala-i-Martín, X., & Schwab, K. (2010). The Global Competitiveness Report 2010-2011. Geneva: World Economic Forum. open in new tab
- Sala-i-Martín, X., & Schwab, K. (2011). The Global Competitiveness Report 2011-2012. Geneva: World Economic Forum. open in new tab
- Sala-i-Martín, X., & Schwab, K. (2012). The Global Competitiveness Report 2012-2013. Geneva: World Economic Forum. open in new tab
- Sala-i-Martín, X., & Schwab, K. (2013). The Global Competitiveness Report 2013-2014. Geneva: World Economic Forum. open in new tab
- Sala-i-Martín, X., & Schwab, K. (2014). The Global Competitiveness Report 2014-2015. Geneva: World Economic Forum. open in new tab
- Sala-i-Martín, X., & Schwab, K. (2015). The Global Competitiveness Report 2015-2016. Geneva: World Economic Forum. open in new tab
- Sala-i-Martín, X., & Schwab, K. (2016). The Global Competitiveness Report 2016-2017. Geneva: World Economic Forum. open in new tab
- Sala-i-Martín, X., & Schwab, K. (2017). The Global Competitiveness Report 2017-2018. Geneva: World Economic Forum.
- Schwab, K. (2018). The Global Competitiveness Report 2018. Geneva: World Economic Forum.
- Siggel, E. (2006). International competitiveness and comparative advantage: A survey and a proposal for measurement. Journal of Industry, Competition and Trade, 6, 137-159. open in new tab
- Zinnes, C., Eliat, Y., & Sachs, J. (2001). Benchmarking competitiveness in transition economies. Economics of Transition, 9, 315-353. open in new tab
- Verified by:
- Gdańsk University of Technology
seen 123 times