Factors Affecting Global Competitiveness

Physical infrastructure

coordination among public-sector agencies

High total factor productivity

Productivity campaigns

Intensifying R&D activities

Improving the capacities of SMEs

What is Economic Growth and explain the economic growth indicators?

Gross Domestic Product indicators

Consumer Spending indicators

Income and Savings indicators

Industry Performance indicators

International Trade and Investment indicators

Prices and Inflation indicators

Investment in Fixed Assets indicators

Employment indicators

Government indicators

Special indicators

What is the Global Competitiveness Report explain the 12 pillars of the OF COMPETITIVENESS index framework.

First Pillar: Institutions

Second Pillar: Infrastructure

Third pillar: Macroeconomic environment

Fourth pillar: Health and primary education

Fifth pillar: Higher education and training

Sixth pillar: Goods market efficiency

Seventh Pillar: Labour market efficiency

Eighth pillar: Financial market development

Ninth pillar: Technological readiness

Market size

Eleventh pillar: Business sophistication

Twelfth Pillar: Innovation

The Global Competitiveness Report is an annual report published by the World Economic Forum (WEF). It provides
detailed profiles of the competitiveness landscape in numerous countries, offering a comprehensive tool for
policymakers, business leaders, and other stakeholders to address the impediments to economic growth.

The report measures competitiveness based on the Global Competitiveness Index (GCI), which assesses countries on
multiple factors spread across 12 key pillars. Here's an explanation of each of the 12 pillars of the GCI framework:

Institutions (First Pillar): This pillar assesses the quality of a country's legal and administrative framework, property
rights, judicial independence, and the efficiency of public institutions. Strong institutions are crucial for a stable and
transparent business environment.

Infrastructure (Second Pillar): Infrastructure relates to the quality and extent of transportation, energy, and
communication networks. Well-developed infrastructure can reduce business costs and improve efficiency.

Macroeconomic Environment (Third Pillar): This pillar evaluates the macroeconomic stability of a country, including
factors like inflation, fiscal policy, and the level of government debt. A stable macroeconomic environment is
essential for attracting investments.

Health and Primary Education (Fourth Pillar): This pillar considers the health and educational levels of the population.
A healthy and well-educated workforce can contribute to productivity and economic growth.

Higher Education and Training (Fifth Pillar): This pillar focuses on the quality of higher education and vocational
training systems. A skilled and adaptable workforce is vital for innovation and competitiveness.

Goods Market Efficiency (Sixth Pillar): It assesses the efficiency of a country's goods market, including the level of
competition, extent of market domination, and ease of doing business. Competitive goods markets promote
economic growth.

Labour Market Efficiency (Seventh Pillar): This pillar examines the labor market, including factors such as flexibility,
worker-employer relations, and the efficiency of hiring and firing processes. A flexible labor market can enhance
competitiveness.

Financial Market Development (Eighth Pillar): This pillar evaluates the accessibility and stability of financial services,
including banking and securities markets. Developed financial markets facilitate investment and economic growth.

Technological Readiness (Ninth Pillar): Technological readiness measures the capacity of a country to adopt and
adapt existing technologies for productivity improvement. Staying updated with technology is crucial in the modern
global economy.

Market Size (Tenth Pillar): A large and accessible domestic or regional market can offer companies economies of
scale. This pillar considers market size as a competitive advantage.
Business Sophistication (Eleventh Pillar): This pillar looks at the level of business innovation, quality control, and the
sophistication of business operations. A high degree of business sophistication enhances a country's competitiveness.

Innovation (Twelfth Pillar): Innovation reflects the country's capacity to create and apply new technologies and ideas.
A focus on innovation can give a country a sustainable competitive edge.

Stages in Entrepreneurial Process

Idea Generation

Feasibility Analysis

Business Planning

Funding and Financing

Implementation and Operation

Growth and Expansion

Growth and Expansion