Country Risk Analysis (Technology) Singapore

Country Risk Analysis - Singapore

Technology

“The fundamental impulse that sets and keeps the capitalist engine in motion comes from the new consumers' goods, the new methods of production or transportation, the new markets, the new forces of industrial organization that capitalist enterprise creates” (Schumpeter1). Singapore assimilated this concept perfectly. In the late 1960s-early 1970s, the city-state of Singapore emerged as an attractive offshore production location for American semiconductor MNCs. Thanks to a cheap labor cost, and English-educated labor-force, Singapore took the advantage over Taiwan, Korea and Hong Kong. Other factors like a more liberal policy toward the employment of expatriate, plus a political stability attracted foreign investors. In 2013, the city-state of Singapore hosted more than 80 of the world’s top 100 software and services companies (austrad.gov).

Considered as a Newly Industrialized Economy (NIE), Singapore is also “a Home in Asia for global leaders that enable an increasingly mobile, connected and sensory world” (edb.gov). 

Today, electronic industry is a key driver of manufacturing growth, representing 36% of total manufactured value added (2001).

The market offers lots of opportunities. According to Infocomm Technology Roadmap for 2013, opportunities could be find in the following themes:

*

* Big Data

* Cloud Computing Cyber Security

* Internet of Things

* ICT and Sustainability

* Communication of the Future

* Social Media

1Joseph Schumpeter, 1883-1950, was an Australian American economist and politician scientist considered as one of the most influential economist of the 20th century.

* New Digital Economy

* User Interface

Naturally, competitiveness is strongly present. However, the Infocomm Development Authority (IDA) supports growth of the ICT industry, and is working closely with firms to develop an ICT competitive workforce.