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Concepts Of Growth
Concepts In Action
Countries and their focus on Growth Concepts
The IT Phenomenon
Concepts Analysis
The Importance of FDI in Africa
Good business
Technology's and Industry's Role
Logistics Connects The World

SEE FDI SECTION ON AFRICA PAGE FOR CHINESE BUSINESS IN AFRICA


Development Around The World

SEE DEVELOPMENT PAGE FOR ANALYSES AND EXAMPLES
Business in Asia
Education's role in growth
Linking To The World


(right) Bilateral treaties explode business links and investment opportunities through the decades

See FDI section on Africa page for analysis and more examples including 'The China Phenomenon'

Investment becomes embraced as the only true means to growth
http://www.chathamhouse.org.uk/
publications/papers/view/-/id/888/


The Growing Potential of the BRIC Countries -Brazil, Russia, India and China


13 April 2011
BRICS meeting in Sanya, China, now including new partner South Africa, shows its muscle -concise overview

The BRIC advantage -resources and focussed investment make for astonishing growth (concise overview)

Goldman Sachs BRICs overview
See Wikipedia overview



(right) BRIC members already provide nearly a quarter of global GDP in Purchasing Power Parity terms -providing productive capacity, investment and transparency in international business
(BRIC meeting, Brasilia 2010)

India exposes poverty issue with development -income disparity

See India Country Comparison below

See large China section (The China Phenomenon) on Africa page
INDIA
Superior Slideshare.net presentation showcases the BRIC nations' economic performance, focussing on India

BRAZIL
Brazil's new leader Dilma Rousseff faces huge challenges after Lula -encouraging foreign investment, management of vast natural resources (BBC)

Americans seek opportunities in Brazil -infrastructure and extractive industries contributors to 7.5% growth in 2010 (BBC)

CHINA
China's UN Ambassador Li Baodong shows Asia's growing clout in world affairs by voting with India against US incursion into Libya, March 22 2011

RUSSIA
Alexander Lebedev, business mogul and anti-corruption speaker, talks about Vladimir Putin's objectives and fighting injustice in his home country
(BBC video)


THE BIG QUESTION -WHAT CAUSES GROWTH AND PROSPERITY

1
Why is Japan rich when just a small island with few natural resources?

Modern Kyoto, 300 miles from Tokyo
2
South Africa is growing as a nation but why are its native people poor and under-empowered despite a wealth of mineral resources?

Soweto slum near Johannesburg, South Africa
3  
What is the future for other countries, now copying these and others' systems?

(below, l.-r.) Development in Singapore- old Singapore; the ultra-modern Financial Centre; the new skyline; Singapore's new direction -to link to the world through the exploitation of trade routes and ultimately self-empowerment through the growth of native industries including electronics.

January 2011
Global Water Group in Singapore water recycling project-
'This is the ‘greenest’ wastewater treatment system ever made'

See also Singapore economy overview,
CountryStudies overview
 
CONCEPTS OF GROWTH  
When studying other countries' progress in political, sociological and (perhaps most importantly) economic terms, we start to see patterns emerge, like eternal laws which govern how countries change through time and which matter however they are structured and whether they have saleable resources or not... Added Value is the direct equivalent of governments recognising their people's attitude towards development then communicating this to investors who matter, whether foreign governments or private companies.

This can be through resources, trade, investment (especially from foreign sources) or educational levels leading to technical and productive efficiency -the latter is by far the most profitable method for sustainable growth.
The concepts of growth expose Africa's inefficiency and historical attitude towards legitimate business and production -infighting and alienation, a simplistic attitude towards life, and a lack of vision.

Key characteristics of African behaviour in the past have included (links on this site)-
  • Permanent tribal rivalries suggesting that quality of life lies in communal living rather than progress -change is resisted due to selfish reasons. This includes theft only for short-term gain.
    AFRICAN MENTALITY/AFRICAN CORRUPTION
  • Skills not being imported for the national ideal, as they were originally empowered, as in Korea and Japan -the best people are exported and often remain where they emigrate to. In other words, they destroy the supply chain which they could create in their own lands. AFRICAN EDUCATION
  • Goods are bought only when introduced -ie there was never a native market which would have given an incentive for local production.
    AFRICAN INFRASTRUCTURE AND THE CONTRIBUTION
    TO TRADE PROGRESS AND ALLEVIATION OF POVERTY

SEE  'TRADE ORIGINS' SECTION ON AFRICA PAGE ON THIS SITE

Concepts In Action  
SEE SUPERIOR ACADEMIC OVERVIEW OF
GDP GROWTH ACROSS THE PLANET AND
THROUGH THE CENTURIES
(PDF ON THIS SITE)

INDUSTRY
(r. Japan paves the way in robotics research -pictured, 'Geminoid')

Research carried out at Intelligent Robotics Laboratory, Osaka

7th April 2011
(r.) Japanese scientists succeed in growing retina from stem cells -a world first (UK Daily Mail)







(below) Japanese factories have been legendary for their efficiency -but ultimately derived from British and American models

(see Oxford Journals report on Japan's industrial history)(PDF),
also traveller's blog post

 RESOURCES
Malaysia initially grew through its formidable natural rubber industry then via a strong government push focussed on (1)investment, (2)higher education, and now other products including mass-produced electronics.

Recognition of natural resources and acceptance of FDI progressed to a manufacturing base (Wikipedia)


(r.) The tallest buildings in the world from 1998-2004, Petronas towers, Kuala Lumpur


Economic overview for selected South East Asian nations (PDF)

(r.) Malaysia rubber plantation, around 1900 -workers are originally uneducated and lack spending power but resources attract investment due to workers' POTENTIAL worth

(below r.) Modern Malaysian electronics industry

Malaysia's native population has a strong work ethic and it is inevitable that given further resources they will-
(a) learn more,
(b) spend more once empowered -with consequently more government expenditure on infrastructure and consumer goods.

Therefore private consumption grows even when output falls (see charts, right), staving off any recessionary downturn due to commodity price fluctuations, meaning that there is still an incentive to invest.




(Above) More investment increases investor and corporate confidence, so workers and consumers are paid more and spend more


Government vision -less cheap labour, more software development


 
Malaysia has grown due to 2 crucial concepts-
  • attracting foreign investment
  • backward integration using derived knowledge to
    natively produce high-technology equipment.
DERIVATION/ATTITUDE
China

First contacts with US were originally political to counterbalance the Soviet threat, then progressed to scientific exchanges which inevitably led to more trade and investment

SEE CHINA SECTION ON THIS SITE





Deng Xiaoping meets Zbigniew Brzezinski (US), 1979
China can now build its own nuclear facilities and satellites, due to government vision and design derived from foreign partners: 'Standing on the shoulders of giants'
Nuclear energy Satellite
 WAR AND RECOVERY
(Below) From the horror of conflict and dependence on basic industry (world's second biggest rice exporter)...





Vietnam's focus on productivity for its coffee industry dramatically increases output and efficiency, making it the world's second biggest coffee producer and helping address a previously primitive economic base to now include manufacturing

Vietnam competes healthily with other region's coffee (online coffee magazine)

Vietnam coffee industry overview (document reference site)

(r.) modern Ho Chi Minh City


Vietnam income per head-
1994 $220
2008 $1024
   -emergence from a Third World lifestyle due to
concentration on added value for its native resources
GOVERNMENT INTERVENTION IN THE ECONOMY

South Korea
The Miracle on the Han River

Wikipedia overview

CountryStudies overview









SEE KOREA LINK BELOW

(r.) Seoul, late 19th century


Korea Plays Key Role in
E-government



Focussed Government Investment
in Technology
INFORMATION TECHNOLOGY

India economy overview






SEE INDIA LINK BELOW
The reaction to indigenous poverty is critical to development -(r., far r.)
post -World War 2 Calcutta street scene vs. the new Calcutta (IT park)
Countries and their focus on Growth Concepts  
SEE DEVELOPMENT EXAMPLES BELOW
History

England
   -warrior-like characteristics (based on the need to defend an island economy), nationalistic, (originally) homogenous population

Education

Finland
   -an abundance of particular resources (lumber) and geographic challenges have spurred the Finns to diversify through native empowerment, unusually not needing large amounts of FDI

Investment

Korea
   -huge FDI empowered the first few years of Korea's emergence from the 1950-53 war; BUT this was due to knowledge also that there would be payback for the investors, ie US
Attitude/behaviour
India
   -family values drive the surge for prosperity where skills success equals status
Government
Germany
   -national planning and popular vision have always been part of the German psyche
Technology
Japan
   -extreme focus on high-tech closely linked to career status, but also a recognition of the need to be efficient to increase factory output
 

FDI and Development

 Good Business in Africa -and the future
SEE FDI SECTION, AFRICA PAGE

Africa needs FDI to escape poverty
FDI, Africa and corruption(book excerpt)(see Africa section)
Africa's reluctance to work with FDI (PDF)
China's way of addressing debt in Africa -direct investment, with conditions
Chinese People's Daily -Africa headlines
An argument for controlling FDI -numerous examples
BusinessFightsPoverty -good business in Africa and elsewhere

Green Revolution introduced innovation in agriculture,
changed poor regions for ever

Bill Gates preaches 'creative capitalism', empowering small businesses and embracing new techniques- here and here (Foundation story)
 
Africa section links on agricultural growth and biotechnology


Africa market for computers is surging ahead
African computer/electronics market brief overview with links also to UAE/Dubai market (2008)

China wants to set up factories in Africa -but at the lowest level

Ghanaian farmers use easy loans, knowledge and skills to massively increase cocoa production (PDF)

Aggreko trains local workers for Kenya power plant -empowerment and education for future growth


 Technology's  and Industry's role in Growing the Global Economy


(right) Small entrepreneurs  throughout the Third World are waking up to business opportunities where there were none; MAAS Computers and Networks, based in Dar es Salaam, Tanzania, offers networking and consulting, whilst sister company TTT Worldwide supplies travel and tourist services


The Third World and IT


Canadian overview of external ICT trade -the growing importance of Third World markets

China's huge influence now extended to Nordic ICT cooperation

China becomes a major ICT player from its purchase of IBM's retail PC division

'China and India can dominate world's software market' (Wired magazine)

Manufacturing Challenges

Manufacturing is mainly good for developing countries, but does not necessarily transfer to skilled labour producing more output (development report 2002)

'Increased productivity is the key to increased living standards' -Canadian Treasury
 History of the World's Trading System
-key factors: logistics, transportation
 


British rail and canal systems provided the distribution network for the establishment of the Industrial Revolution (see UK and British Empire sections below)

Logistics Connects the Planet
see Africa page Logistics section

History of the British canal system

Canal development, England

'The Motorways of the Industrial Revolution'

Grand Junction Canal shortened distance from the Midlands to London, accelerating the Industrial Revolution

Logistics -shipping containers link the world
Refrigeration changes food industry forever
Invention of the refrigerated shipping container
History of Thermo King, refrigeration container inventor



 Development Around The World

 
India

 

INDIA'S RISE AND COMPARISONS WITH AFRICA

February 2011
India's Force India Formula 1 team makes its mark internationally (BBC)
-also Wikipedia

Also see Development page Language section -Indians' new prominence in the US, and superiority in language abilities; ambition and vision combined with assimilation

Acceptance of legitimate capitalistic mechanisms transformed
India and exposed its natural potential

India recognises government vision, desire to emulate the West and a natural inclination for business

SEE CHINA/INDIA GROWTH DATA (PDF ON THIS SITE)
See Business in Asia link below, also China in Africa on Africa page

Mumbai, India's Dabbawalas -huge efficiency and work ethic in a low-paid trade, a tribute to organisational abilities

India makes a point of attracting foreign investment for its growth using its natural talents of a hard work ethic and high educational standards

India recognises that Added Value is the key to Growth

Microsoft invests in India (2005)

Chennai, India, an IT and industrial hotbed

(r.) Tidel Park IT centre, Chennai, India


India's vision extends to startling projects (slideshow)

India attracts huge IT flows due to its potential as an IT centre

Hyderabad's transition to an IT metropolis (Wikipedia)
Major industries and sectors in Hyderabad (below)





India's GDP growth has been consistently high post-World War 2, leading to impressive compounded increases to a current level (2008) of US$1.16 trillion

 
South Korea

 
From humble beginnings...
(Ulsan, Korea car plant, 1975)
...to the home of the world's largest port and car factory at Ulsan (r., above r.) built through visionary effort and obsessive dedication to innovation

Shipbuilding industry overview (PDF) Wikipedia on South Korea
Following and implementing new technology and a focus on efficiency have driven Korea to be the world's no. 1 in shipping and no. 5 in cars -from nothing (PDF) Korean growth post-World War 2
(book excerpt)(PDF)
Korea's amazing economic performance vs. Thailand (PDF) Korea's modern focus on technology in education
Korea and corruption -'chaebols' are interlinked but create industrial strength


Korea's visionary leader Park Chung-hee effected huge change in his people from a land based on agriculture -focussing on international trade, FDI incentives and creating skilled workers


Korea has a MAJOR focus on higher-level education, recognising that this is the direct route to progress and growth


United Kingdom


English inventors and others pioneered the automation of the textiles industry including the Spinning Jenny



Legendary engineer Isambard Kingdom Brunel


The British Empire


The British Empire played a huge part in creating the modern world, furnishing its scientists, explorers, navigators and inventors -the epitome of a ruthless vision to produce and progress


British Empire focussed national interest on trade, innovation and products -the concepts which run today's world.

Modern Britain is failing due to 'guilt' over this mentality, given a lack of identity and breakdown of the social fabric
The Native Struggle for Justice -The Paradox of the British Empire in Africa
-a history of oppression but also a system for empowerment.

African leaders who have fought Africans and British and colonial rule using Western standards and educated in British/European/American institutions (from Wikipedia)
-Kwame Nkrumah
-Mwai Kibaki
-Raila Odinga
-Julius Nyerere
-Nelson Mandela
-Robert Mugabe

African leaders are correct in aiming to be self-educated even in others' countries -the incentive to organise and change would also mean exposure to Western systems, showing the empowerment present in ordinary people.

British established running industry in Kenya, exposing the natives' inherent athletic focus and abilities

(also see The African Mentality section on Africa page and Africa Running section)


 
Risk-takers such as Elizabeth I developed the trade routes that are still used today





Charles Babbage invented the machine from which the modern computer evolved





George Stephenson's rail network laid the foundation for a transformation of the coal industry in England


Florence Nightingale's methods revolutionised the nursing industry



United States


7th April 2011
New research enables control of basic functions by the brain (BBC)

-sensors discern voice perception, to provide potential disabled empowerment
-Washington University, St Louis, Missouri


20th May 2010
WESTERN PROGRESS AND IDEAS
CHANGING THE WORLD
First ever synthetic genome -'artificial being'
(BBC)(first rate story with analysis and video)
Also here -and here
Research team headed by Craig Venter

 

US growth was based on European methods, markets, inventions and money

Also CountryStudies article

Early oil industry in Pennsylvania


US railway construction using thousands of immigrant labourers ensured the settlement of the continent's interior and the establishment of local industries
Henry Ford was generous to his workers, paying them so that in time they could buy the cars they built and in turn enable the industry to grow


Dubai, UAE

 

United Arab Emirates -Dubai develops from a small fishing port to a huge Middle East power based on FDI and international partnerships to finance its world-class infrastructure

Dubai's amazing growth

Life in Dubai -for the workers
Mid 1960s

'The fact is that the emirate’s rapid development is extraordinary and fuelled in large part due to Western interests. The British created this emirate and British expatriate skills have been instrumental in developing its metropolis' (personal blog)

(opposite page, top -Dubai celebrates its awesome present day skyline and startling diversity, including Burj Khalifa opening (far right))

(bottom) Dubai's impressive growth rate





Finland


Finland, Ireland grew through self-management and export-led growth, not just FDI

Finland grew through export-led economy (Wikipedia)
Superior attitude re education and natural resources coupled with a peculiar geography which spurred innovation -did not need FDI

Educational prowess (comparison chart on this site)
(from Wikipedia)


Ireland


(below) FDI and low corporate tax rates led to the 'Celtic Tiger' turning the country into a major software exporter amongst other achievements

(below) 16th March 2011
-Green Parrot Pictures, small Irish start-up, purchased by video giant Youtube to enhance uploaded content
 

Development concepts

Legitimate development cannot be analysed until certain factors have been looked at. These have historically been ignored by both creditor and debtor countries.

A
Link between
-
resources and dependency;
technology and educational empowerment;
education and productive capacity with technology;
FDI and growth;
corruption, war and growth;
globalisation and growth

B
Reaction to poverty and the quality of life by native populations

C
Change is a good thing?

D
The link between business governance and prosperity

  Business in Asia -The Concepts That Work
    Education     Investment     The Global Supply Chain


SEE CHINA IN AFRICA ON AFRICA PAGE

SEE CHINA OVERVIEW ON FRONT PAGE
The figures seem stark, the poor in China getting (relatively) poorer whilst China as a whole is MUCH richer in only 14 years...
...but the real story is that the WHOLE of China is now wealthier, so empowering consumers who themselves provide a market for their own country's goods.

Exports have increased massively in the post -World War 2 era thanks to the phenomenon of globalisation -the supply chain which links all continents and markets. The chart at left illustrates that exports from developing countries have increased not only faster than to previous markets in the West, but are now even competing effectively with their own areas.


Asia of course seems to be a shining light for economic growth, epitomised by Korea, just 60 short years ago a land farmed by peasants...
 
...not least served by their rigorous policy of the need for high educational levels in all matters ranging from literature to engineering. This makes Africa's efforts and focus (even recently) pale by comparison (see also Africa section on technology and progress with education)

We then look to see the results of these efforts in the classroom...

..and (no surprise) note that there is a DIRECT PARALLEL between educational attainment and national growth -directly useful to foreign markets.

There is an equal parallel between recent economic growth and the degree of links with the Western system -whether by membership or assimilation.