BEE Partner, South Africa Economy Watch

Scenario No. 2

During 2004, the likelihood of a pan-Asian integrated economic and free trade arrangement came a step closer to fruition. At the Association of South East Asian Nations (ASEAN) summit in Laos, a number of important linkages took place, which will have far- reaching ramifications for the intensification of global competition between nations, and globalisation in general.’ China signed a Free Trade Agreement (FTA) with ASEAN (which consists of Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam) at the summit. This will soon be followed by Japan, India and Korea. Japan, Korea and China are also considering an FTA amongst themselves, whilst India is contemplating an FTA with China. What appears to be emerging is an FTA between Japan, ASEAN, China, India and Korea, or what is being touted as JACIK. Analysts are predicting the expansion of ASEAN into a broader Asian economic community. Read the rest of this entry »

There are signs everywhere for South Africa’s government, its business corporations and its people concerning the trends in and the effects of globalisation. These signs point to the steps being taken by other nations to help them cope with global competition. In other words, clues are emerging on what others are doing to become and remain globally competitive. Everywhere one looks, the indications are that global competition is not only intensifying, but that it is also accelerating at an ever-increasing rate. This adds to the extreme pressure that already exists for the world’s governments and companies to perform and to add value to the lives of their constituents and customers. Read the rest of this entry »