Definition of economic development2
Economic development process3
General notions of Foreign Direct Investment (FDI)3
FDI in Asia4
FDI in Thailand5
How FDI effected to economic development in Thailand?6
FDI relationship in two important sectors of Thai industry7
Tables and Figures11
Is Foreign Direct Investment (FDI) necessary for economic development? Discuss in relation to two sectors.
The economic development is a classic word that we always hear anywhere because of highly demand of human being. This is primary that economic development could make any country the overwhelming power against poverty. On the other hand, the objective of the economic development is to raise the life-standard of ordinary people. Economic development in other aspects is the prosperity of the country as a result of the expansion of investment.
Definition of economic development
Economic development, according to Harvard Professor Michael E. Porter is the "long-term process of building a number of interdependent microeconomic capabilities and incentives to support more advanced forms of competition." These capabilities and incentives, which were mentioned in Porter's The Competitive Advantage of Nations, 1990,cover the attribute of the materials that small enterprises need to come up with the products and services; the regulations; the level of competition in that sector. Whereas the Council on competitiveness defined that economic development has indefinite word can explain the meaning. Term of objectives can be used to enlighten economic development. They give a description of creating businesses, wealth, and also include all the processes that related to enhance the economic system for uplifting the standard’s life. Economic development composes of three crucial points. First of all, policies of the government consistently restrain the inflation and deflation rate as well the job employment for sustainable future. Secondly, policies and facilities provided especially basic infrastructure such as medical services and convey system for low-competitive businesses. Lastly, policies and campaign offered to improve the competence of the enterprises, for instance, technology transfer, industrial parks, financial aid, business retention and expansion, marketing and others. The heart of economic development is to increase quality of life by job creation and enhance tax-base. Because of no single word to define the economic development, there is no single policy for reaching economic development. Different countries in different place, condition and background could have a combination set of threads for successful economic development.
Economic development process
There are many dimensions to boost for higher-standard life of citizens for instance, social dimension, cultural dimension, educational dimension and many others. The process of economic development is a multi-sided process for the improvement of life-quality includes numerous aspects such as: the development of the social sphere, the development of culture and national creativity, the creation of favourable social climate, social security, labour supply and many others. Nevertheless, on the priorities of economic development is the creation of a competitive business environment where competition will be the driving force for the development of the companies and therefore the economic development of the country. Another important aspect of the economic development is the development of the consumer’s market, the creation of gold reserves and the development of the infrastructure. All of these are impossible without the technological development of the country. GDP is one of the indicators of the economic development of the country, nevertheless it is not appropriate to use only this indicator in order to make conclusion concerning the...