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This presentation draws on ideas from Professor Porter’s articles and books, in particular, The Competitive Advantage of Nations (The Free Press, 1990), “Building theMicroeconomic Foundations of Competitiveness,” in The Global Competitiveness Report (World Economic Forum), “Clusters and the New Competitive Agenda forCompanies and Governments” in On Competition (Harvard Business School Press, 2008), and ongoing research on clusters and competitiveness. No part of this publicationmay be reproduced, stored in a retrieval system, or transmitted in any form or by any means - electronic, mechanical, photocopying, recording, or otherwise - without thepermission of Michael E. Porter. Further information on Professor Porter’s work and the Institute for Strategy and Competitiveness is available at www.isc.hbs.edu
Building a Competitive Nigeria:The Role of the National Competitiveness
Council of Nigeria
Professor Michael E. PorterHarvard Business School
National Competitiveness Council of NigeriaLagos, Nigeria
March 21, 2013
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter2
Prosperity PerformanceSub-Saharan Africa
Source: EIU (2012); author’s calculations
Angola
Benin
Botswana
Burundi
Cameroon
Cape Verde
CAR
ChadComoros
Congo (Brazzaville)
Congo (Democratic Republic)
Côte d'IvoireDjibouti
Eritrea Ethiopia
Gabon
Gambia Ghana
Guinea
Guinea-Bissau
Kenya
Liberia Madagascar MalawiMali
Mauritania
Mauritius
Mozambique
Namibia
Niger
Nigeria
RwandaSão Tomé and Príncipe
SenegalSierra Leone
South Africa
Sudan
Swaziland
TanzaniaTogo
UgandaZambia
Zimbabwe
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
$16,000
-2.0% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0%
PPP-Adjusted GDP per Capita, 2011 ($USD)
Growth in Real GDP per Capita (PPP-adjusted), CAGR, 2001-2011
Average: 4.54%
Average: $3,065
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter3
Prosperity Performance TrendsNigeria and Selected Sub-Saharan African Countries
Source: EIU (2012); author’s calculations
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
$16,000
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
BotswanaSouth AfricaNigeriaKenyaRwandaEthiopia
PPP-Adjusted GDP per Capita, 2011 ($USD)
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter4
Poverty PerformanceNigeria and Selected Sub-Saharan African Countries
Source: World Bank (2013).Note: Country comparison based on the most recent data available as of March 2013.
Poverty Rate ($1.25 a Day, PPP)
0%
10%
20%
30%
40%
50%
60%
70%
80%
Nigeria Rwanda Kenya Ethiopia Botswana South Africa
(% o
f pop
ulat
ion)
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter5
What Determines Success of Competitiveness Organizations?
• Co-led by or heavily involving the private sector with the participation of all actors. Representation from the national government as well as the state level
• Direct involvement by the President to build consensus and integration into the process of government
• Institutionalized in a formal structure, with a world-class secretariat
• Common conceptual framework
• Focus on the microeconomic aspects of competitiveness, not just macro
• Develop a strategy, not just discrete policy improvements
• Prioritized and sequenced action plan
• A clear mandate to measure and report progress and create accountabilityfor implementing entities
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter6
Agenda
• Defining Competitiveness and Prosperity
• Indicators and Enablers of Competitiveness
• Drivers of Competitiveness
• Benchmarking Nigerian Competitiveness
• Geographic Areas and Competitiveness
• Economic Strategy
• Organizing for Competitiveness
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter7
What is Competitiveness?
• Competitiveness is the long-run productivity of a location as a place to do business
- Productivity of existing firms and workers- Ability to achieve high participation of working age citizens in the
workforce
• Competitiveness is not:- Low wages- A weak currency- Jobs per se
A country or region is competitive to the extent that firms operating there are able to compete successfully in the global economy while supporting high and rising wages and living standards for the average citizen
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter8
Two Sources of Prosperity
Inherited Prosperity
• Prosperity derived from inherited natural resources / endowments– Prosperity is limited
• Dividing the pie• Government usually the central actor
in the economy• Revenue from resources allows
unproductive policies and practices to persist and encouragescorruption
Created Prosperity
• Prosperity arising from productivityin producing goods and services– Prosperity is unlimited
• Expanding the pie• Companies are the central actors in
the economy• Government’s role is to create the
enabling conditions for productivity and foster private sector development
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter9
Labor Productivity Level and GrowthSub-Saharan Africa
Note: Several countries are omitted due to lack of labor data. Source: Groningen Growth and Development Centre, Total Economy Database (January 2012). GDP calculated using Geary Khamis calculation methodology.
AngolaCameroon
Congo (Democratic Republic)
Côte d'Ivoire
Ghana
Kenya
Mozambique
Nigeria
Senegal
South Africa
Tanzania
UgandaZambiaZimbabwe
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
$16,000
-6.0% -4.0% -2.0% 0.0% 2.0% 4.0% 6.0% 8.0%
Real GDP per Employee (1990 GK$),
2011
Growth in Real GDP per Employee, CAGR, 2001-2011
Average: 2.53%
Average: $3,962
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter10
Workforce ParticipationSub-Saharan Africa
Note: Several countries are omitted due to lack of labor data.Source: EIU (2012), author’s calculations
Angola
Botswana
Cameroon
Congo (Democratic Republic)
Côte d'Ivoire
GabonGhana
Kenya
Mauritius
Mozambique
Namibia
Nigeria
Senegal
South Africa
Tanzania
Uganda
Zambia
Zimbabwe30.0%
35.0%
40.0%
45.0%
50.0%
55.0%
60.0%
65.0%
-6.0% -4.0% -2.0% 0.0% 2.0% 4.0% 6.0%
Labor Force Participation (2011)
Change in Labor Force Participation Rate, 2001-2011
Average: 1.43%
Average: 43.47%
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter11
Agenda
• Defining Competitiveness and Prosperity
• Indicators and Enablers of Competitiveness
• Drivers of Competitiveness
• Benchmarking Nigerian Competitiveness
• Geographic Areas and Competitiveness
• Economic Strategy
• Organizing for Competitiveness
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter12
Productivity Growth
Country Competitive Environment
Domestic investment Imports
Outboundforeign direct
investment
Domesticinnovation
Inboundforeign direct
investmentExports
Indicators and Enablers of Competitiveness
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter13
Domestic Investment PerformanceSub-Saharan Africa
Note: Includes inbound FDISource: EIU (2012)
Angola
Benin
Botswana
BurundiCameroon
Cape Verde
CAR
Chad
Comoros
Congo (Brazzaville)
Congo (Democratic Republic)
Côte d'Ivoire
Djibouti
Eritrea
Ethiopia
Gabon
Gambia
Ghana
Guinea
Guinea-Bissau
KenyaMadagascar
Malawi
Mali
MauritaniaMauritius
Mozambique
Namibia
Niger
Nigeria
Rwanda
São Tomé and Príncipe
Senegal
Sierra LeoneSouth Africa
Sudan
Swaziland
Tanzania
TogoUganda
Zambia
Zimbabwe
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
40.0%
45.0%
50.0%
55.0%
-25.0% -20.0% -15.0% -10.0% -5.0% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0%
Gross Fixed Investment (% of GDP),
2011
Change in Gross Fixed Investment (% of GDP), 2001-2011
Average: 23.57%
Average: 5.11%
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter14
Export PerformanceSub-Saharan Africa
Source: EIU (2012), authors calculations
Angola
Benin
Botswana
Burundi
Cameroon
Cape Verde
CAR
Chad
Comoros
Congo (Democratic Republic)
Côte d'Ivoire
Djibouti
Eritrea
Ethiopia
Gabon
Gambia GhanaGuinea
Guinea-Bissau
KenyaMadagascar
Malawi
Mali
Mauritius
Mozambique
Namibia
Niger
Nigeria
Rwanda
São Tomé and Príncipe
Senegal
Sierra Leone
South Africa
Sudan
Swaziland
Tanzania
Togo
Uganda
Zambia
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
-40.0% -30.0% -20.0% -10.0% 0.0% 10.0% 20.0% 30.0% 40.0%
Exports of Goods and Services (% of GDP),
2011
Change in Exports of Goods and Services (% of GDP), 2001-2011
Average: 4.30%
Average: 34.72%
Congo (Brazzaville)(18.0%, 97.0%)
Zimbabwe(43.8%, 66.9%)
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter15
Composition of ExportsNigeria’s Exports By Type of Good
0.00%
0.50%
1.00%
1.50%
2.00%
2.50%
3.00%
3.50%
2006 2007 2008 2009 2010
Processed GoodsSemi-processed GoodsUnprocessed GoodsServicesTOTAL
World Export Market Share (current USD)
Source: Prof. Michael E. Porter, International Cluster Competitiveness Project, Institute for Strategy and Competitiveness, Harvard Business School; Richard Bryden, Project Director. Underlying data drawn from the UN Commodity Trade Statistics Database and the IMF BOP statistics.
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter16
Inbound Foreign Investment PerformanceStocks and Flows, Sub-Saharan Africa
Source: UNCTAD, World Investment Report (2011)
Angola
Benin
BotswanaBurundi
Cameroon
Cape Verde
CAR
Chad
Comoros
Congo
Côte d'Ivoire
Congo (Democratic Republic)
Djibouti
Equatorial Guinea
Eritrea
Ethiopia
Gabon
Gambia
Ghana
Guinea
Guinea-BissauKenya
Madagascar
Malawi
Mali
Mauritania
Mauritius
Mozambique
Namibia
Niger
Nigeria
Rwanda
Sao Tome and Principe
Senegal
Sierra Leone
South Africa Swaziland
Togo
Uganda
Zambia
Zimbabwe
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
100.0%
0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0%
Inward FDI Stocks as % of GDP, Average
2000-2010
FDI Inflows as % of Gross Fixed Capital Formation, Average 2000-2010
Liberia(178.6%, 625.8%)
Average: 26.3%
Average: 43.1%
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter17
Outbound Foreign Investment PerformanceStock and Flows, Sub-Saharan Africa
Source: UNCTAD, World Investment Report (2011)
Benin
Burundi
Cameroon
Cape Verde
CAR
Chad
Côte d'Ivoire
Equatorial Guinea
Gabon
Guinea
Guinea-Bissau
Kenya
Madagascar
Malawi
Mali
Mauritania
Mauritius
Mozambique
Namibia
Niger
Nigeria
Rwanda
Senegal
Swaziland
Togo
Uganda
Zimbabwe
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
-1.0% -0.5% 0.0% 0.5% 1.0% 1.5% 2.0%
Outward FDI Stocks as % of GDP, Average
2000-2010
FDI Outflows as % of Gross Fixed Capital Formation, Average 2000-2010
South Africa(.34%, 19.92%)
Average Stocks:16.68% Liberia(448.9%, 458.6%)
Zambia(4.01%, 2.98%)
Botswana (3.87%, 9.43%)
Average Flows: 14.64%
Angola(4.72%, 1.9%)
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter18
Agenda
• Defining Competitiveness and Prosperity
• Indicators and Enablers of Competitiveness
• Drivers of Competitiveness
• Benchmarking Nigerian Competitiveness
• Geographic Areas and Competitiveness
• Economic Strategy
• Organizing for Competitiveness
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter19
• Endowments, including natural resources, geographical location, population, and country size, create a foundation for prosperity, but true prosperity arises from productivity in the use of endowments
Endowments
What Determines Competitiveness?
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter20
Endowments
Macroeconomic Competitiveness
Human Development and Effective
Political Institutions
Sound Monetary and Fiscal Policies
What Determines Competitiveness?
• Macroeconomic competitiveness sets the economy-wide context for productivity to emerge, but is not sufficient to ensure productivity
• Endowments, including natural resources, geographical location, population, and country size, create a foundation for prosperity, but true prosperity arises from productivity in the use of endowments
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter21
Macroeconomic Competitiveness
Sound Monetaryand Fiscal Policies
Endowments
Human Developmentand Effective
Political Institutions• Fiscal Policy:
Effective public spending aligned with revenues over time
• Monetary Policy: Low levels of inflation
• Economic Stabilization: Avoiding structural imbalances and cyclical overheating
Sound Monetaryand Fiscal Policies
What Determines Competitiveness?
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter22
• Human Development: Basic education, health care, equal opportunity
• Rule of Law: Property rights, personal security, and due process
• Political Institutions: Stable and effective political and governmental organizations and processes
Human Development and Effective
Political InstitutionsMacroeconomic Competitiveness
Endowments
What Determines Competitiveness?
Sound Monetaryand Fiscal Policies
Human Developmentand Effective
Political Institutions
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter23
Competitiveness and Poverty Reduction
Social Development
• There is a strong connection between economic and social development
• Improving competitiveness requires improving the economic and social context simultaneously
Economic Development
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter24
Corruption Perception Index, 2010
Note: Ranks only countries available in both years (160 countries total) Source:Global Corruption Report, 2010
High corruption
Low corruption
Worsening Improving
Angola
Benin
Botswana
Burundi
Cameroon
CAR
Chad
Côte d´Ivoire
Congo (Dem. Republic)Equatorial Guinea
Eritrea
Ethiopia
Gabon
GambiaGhana
Guinea
Kenya
Madagascar Malawi
Mali
Mauritania
Mauritius
Mozambique
Namibia
Niger
Nigeria
Senegal
Sierra Leone
South Africa
Sudan
Swaziland
Tanzania
TogoUganda
Zambia
Zimbabwe
Rank in Global Corruption Index, 2011
Change in Rank, Global Corruption Report, 2011 versus 2006
Rwanda
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter25
Human Development PerformanceNigeria vs. Selected Sub-Saharan African Countries
(indicators as of 2010) Nigeria South Africa Kenya Ethiopia Rwanda Botswana
Education Indicators
Public spending on education, total (% of GDP) NA 6.0% 6.7% 4.7% 5.0% 7.8%
School enrollment, primary (% gross) 83.3% 101.7% 113.3% 101.6% 142.6% 110.1%
School enrollment, secondary (% gross) 44.0% 93.8% 60.2% 35.7% 32.2% 81.7%
School enrollment, tertiary (% gross) NA NA 4.0% 7.3% 5.5% 7.4%
Literacy rate, adult total (% of people ages 15+) 61.3% NA 87.4% NA 71.1% 84.5%
Health Indicators
Health expenditure per capita (current US$) $62.8 $648.7 $36.8 $15.7 $55.5 $614.6
Life expectancy at birth, total (years) 51.4 52.1 56.5 58.7 55.1 53.1
Mortality rate, infant (per 1,000 live births) 80.8 35.5 50.1 54 41.5 21.3
Prevalence of HIV, total (% of population ages 15-49) 3.7% 17.3% 6.2% 1.6% 3.0% 23.7%
Source: World Bank (2013).
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter26
• Productivity ultimately depends on improving the microeconomic capability of the economy and the sophistication of local competition revealed at the level of firms, clusters, and regions
• Macroeconomic competitiveness sets the economy-wide context for productivity to emerge, but is not sufficient to ensure productivity
• Endowments, including natural resources, geographical location, population, and country size, create a foundation for prosperity, but true prosperity arises from productivity in the use of endowments
Macroeconomic Competitiveness
Microeconomic Competitiveness
Sophisticationof Company
Operations andStrategy
Quality of the Business
Environment
State of Cluster Development
Endowments
Human Development and Effective
Political Institutions
Sound Monetary and Fiscal Policies
What Determines Competitiveness?
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter27
The quality of the business environment in which companies compete, company
productivity, innovation, and growth
What Determines Competitiveness?
Macroeconomic Competitiveness
Microeconomic Competitiveness
Sophisticationof Company
Operations andStrategy
Quality of the NationalBusiness
Environment
State of Cluster Development
Endowments
Human Development and Effective
Political Institutions
Sound Monetary and Fiscal Policies
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter28
Quality of the Business EnvironmentThe Diamond
Context for Firm Strategy and Rivalry
Related and Supporting Industries
Factor(Input)
ConditionsDemand
Conditions
• Sophisticated and demanding local needs– e.g., Strict quality, safety, and
environmental standards
• Many things matter for competitiveness• Successful economic development is a process of successive upgrading, in which the
business environment improves to enable increasingly sophisticated ways of competing
• Local rules and incentives that encourage investment and productivity– e.g. incentives for capital investments,
IP protection, sound corporate governance standards
• Open and vigorous local competition− Openness to foreign competition− Strict competition laws• Access to high quality business
inputs– Qualified human resources– Capital availability– Physical infrastructure– Scientific and technological
infrastructure
• Availability and quality of suppliers and supporting industries
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter29
Quality of the Business Environment Ease of Doing Business Indicators (Nigeria, 2013)
Ranking, 2013 (vs. 185 countries)
Source: World Bank Report, Doing Business (2013).
Favorable Unfavorable
0
20
40
60
80
100
120
140
160
180
200
Ease ofDoing
BusinessRank
Getting Credit ProtectingInvestors
Dealing withConstruction
Permits
EnforcingContracts
ResolvingInsolvency
Starting aBusiness
TradingAcrossBorders
Paying Taxes GettingElectricity
RegisteringProperty
Nigeria’s GDP per capita rank: 109
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter30
Concentrations of firms in particular fields, including suppliers,
supporting services and related institutions.
Clusters enable productivity and new business formation
What Determines Competitiveness?
Macroeconomic Competitiveness
Microeconomic Competitiveness
Sophisticationof Company
Operations andStrategy
Quality of the NationalBusiness
Environment
State of Cluster Development
Endowments
Human Development and Effective
Political Institutions
Sound Monetary and Fiscal Policies
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter31Sources: HBS student team research (2003) - Peter Tynan, Chai McConnell, Alexandra West, Jean Hayden
Restaurants
Attractions andActivities
e.g., theme parks, casinos, sports
Airlines, Cruise Ships
Travel Agents Tour Operators
Hotels
PropertyServices
MaintenanceServices
Government Agenciese.g. Australian Tourism
Commission, Great Barrier Reef Authority
Educational Institutionse.g. James Cook University,
Cairns College of TAFE
Industry Groupse.g. Queensland Tourism
Industry Council
FoodSuppliers
Public Relations & Market Research
Services
Local Retail, Health Care, andOther Services
Souvenirs, Duty Free
Banks,Foreign
Exchange
Local Transportation
What Is a Cluster?Tourism Cluster in Cairns, Australia
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter32
Clusters in Developing CountriesCut Flower Cluster in Kenya
Plantstock
Greenhouse; Shading Structures
Irrigation Technology
Pre-CoolingTechnology
Fertilizers, Pesticides, Herbicides
Agricultural Cluster
Horticultural Cluster
Post-Harvest Cooling
Technology
Grading / Packaging Sheds
Packaging & Labeling Materials
Refrigerated Trucks
Freight Forwarders
Clearing and Forwarding Agents
Air Carriers (Commercial /
Charters)
Tourism Cluster
Flower FarmingPost-Harvest
Handling; Transport to Market
Horticultural Agencies, NGOs & Industry Associations
Horticultural Crops Development Authority (HCDA) Government Export Policies Targeting Horticulture
Non-Government Organizations(e.g., The Rural Enterprise Agri-Business Promotion Project)
Trade & Industry Associations(e.g., Kenya Flower Council)
Education, Research & Quality Standards Organizations
Research Institutions(e.g., Kenya Agricultural Research Institute)
Public Universities with Post Graduate Degrees in Horticulture(e.g., University of Nairobi)
Quality & Standards(e.g., EUREGAP Standard, Kenya Plant Health Inspectorate Services)
Sources: MOC student team research by Kusi Hornberger, Nick Ndiritu, Lalo Ponce-Brito, Melesse Tashu, Tijan Watt, Harvard Business School, 2007
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter33
Why Clusters Matter?
• Clusters increase productivity and operational efficiency
• Clusters stimulate and enable innovations
• Clusters facilitate commercialization and new business formation
• Healthy clusters drive competitiveness and competitiveness improvement
• Clusters are regional and local in large countries
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter34
Evidence on the Impact of ClustersStrong Clusters Drive Regional Performace
Source: “Cluster and Entrepreneurship” by Mercedes Delgado, Michael E. Porter, and Scott Stern (2010); “The Economic Performance of Regions” by Michael E. Porter (2003)
• Existence of strong clusters
• Breadth of industries within each cluster
• Strength in related clusters
• Presence of a region’s clusters in neighboring regions
• Job growth
• Higher wages
• Higher patenting rates
• Greater new business formation, growth and survival
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter35
SupportInputs
Film Production Film Distribution
Tourism & HospitalityIndustry
ElectronicsIndustry
(DVD production)
Video Rentals
Production Services(Make-up,
Costumes, Catering)
Video Sales
Film ProductionCompanies
Self-EmployedProducers
Export:English Speaking Africaand Nigerian Diaspora
Government Agencies:• National Film and Video Censors Board• Nigerian Film Corporation• Nigerian Film Institute (Nigerian Film Corporation)• Nigerian Intellectual Property Commission
Video Parlors
TV (NTA)
Nigerian filmRoad shows
(Government)
Advertisingmarketing agencies
Post-ProductionServices
Nigeria’s Film Cluster(“Nollywood”)
Source: MOC Student Project, 2008. Team Members: Mridul Chowdhury, Tamas Landesz, Massimiliano Santini, Luis Tejada, Gloria Visconti.
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter36
= $2.5 billion
Agricultural Products
Transportation & Logistics
Footwear
Tobacco
Business Services0.0%
0.1%
0.2%
0.3%
0.4%
0.5%
0.6%
0.7%
0.8%
0.9%
1.0%
-0.6% -0.4% -0.2% 0.0% 0.2% 0.4% 0.6%
Wor
ld E
xpor
t Mar
ket S
hare
, 201
0
Change in World Export Market Share, 2000-2010
Fishing & Fishing Products
Plastics Chemical Products
Heavy Machinery
Oil and Gas Products(-.68%, 3.51%)
Metal Mining & Manufacturing
Change in Nigeria’s Overall World Export Share: 0.13%
Leather & Related Products(4.03%, 4.04%)
Nigeria’s Overall World Export Share: 0.53%
Nigeria’s National Cluster Export Portfolio2000-2010
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter37
Clusters in an Economy Are Related
FurnitureBuilding Fixtures,
Equipment & Services
Fishing & Fishing Products
Hospitality & TourismAgricultural
Products
Transportation & Logistics
Plastics
Oil & Gas Products &
Services
Chemical Products
Biopharma-ceuticals
Power Generation &Transmission
Aerospace Vehicles &
Defense
Lighting & ElectricalEquipment
Financial Services
Publishing & Printing
Entertainment
Information Technology
Communi-cations
Equipment
Aerospace Engines
Business Services
DistributionServices
Forest Products
Heavy Construction
Services
ConstructionMaterials
Prefabricated Enclosures
Heavy Machinery
Sporting,Recreational &
Children’sGoods
Automotive
Production Technology
Motor Driven Products
Metal Manufacturing
Jewelry & Precious Metals
Textiles
Footwear
Processed Food
Tobacco
Medical Devices
Analytical InstrumentsEducation &
Knowledge Creation
Apparel
Leather & Related Products
Note: Clusters with overlapping borders or identical shading have at least 20% overlap (by number of industries) in both directions.
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter38
Aerospace Vehicles &
Defense
FurnitureBuilding Fixtures,
Equipment & Services
Fishing & Fishing Products
Hospitality & TourismAgricultural
Products
Transportation & Logistics
Cluster Relatedness and Economic DiversificationNigeria, 2010
Plastics
Oil & Gas
Chemical Products
Biopharma-ceuticals
Power Generation
Lightning & ElectricalEquipment
Financial Services
Publishing & Printing
Aerospace Engines
Business Services
DistributionServices
Forest Products
Heavy Construction
Services
ConstructionMaterials
Prefabricated Enclosures
Heavy Machinery
Sporting & Recreation
Goods
Automotive
Production Technology
Motor Driven Products
Mining & Metal Manufacturing
Apparel
Leather & Related Products
Jewelry & Precious Metals
Textiles
Footwear
Processed Food
Tobacco
Enter-tainment
Information Tech.
Medical Devices
Analytical InstrumentsEducation &
Knowledge Creation Communi-
cationsServices and
Equipment
0.15% - 0.53%
0.54% - 3.49%
>3.50%
World Export Share
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter39
Aerospace Vehicles &
Defense
FurnitureBuilding Fixtures,
Equipment & Services
Fishing & Fishing Products
Hospitality & TourismAgricultural
Products
Transportation & Logistics
Cluster Relatedness and Economic DiversificationNigeria, 2000
Plastics
Oil & Gas
Chemical Products
Biopharma-ceuticals
Power Generation
Lightning & ElectricalEquipment
Financial Services
Publishing & Printing
Aerospace Engines
Business Services
DistributionServices
Forest Products
Heavy Construction
Services
ConstructionMaterials
Prefabricated Enclosures
Heavy Machinery
Sporting & Recreation
Goods
Automotive
Production Technology
Motor Driven Products
Mining & Metal Manufacturing
Apparel
Leather & Related Products
Jewelry & Precious Metals
Textiles
Footwear
Processed Food
Tobacco
Enter-tainment
Information Tech.
Medical Devices
Analytical InstrumentsEducation &
Knowledge Creation Communi-
cationsServices and
Equipment
0.01% - 0.39%
0.40% - 1.0%
>1.00%
World Export Share
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter40
Clusters as a Tool For Economic Policy
• A forum for collaboration between the private sector, trade associations, government, educational, and research institutions
• Brings together firms of all sizes, including SME’s
• Creates a mechanism for constructive business-government dialog
• A tool to identify problems and action recommendations
• A vehicle for investments that strengthen multiple firms/institutionssimultaneously
• Fosters greater competition rather than distorting the market
• Enhances the efficiency and effectiveness of traditional economic policy areas, such as training, R&D, export promotion, FDI attraction, etc.
• Sound cluster policy addresses all clusters, and does not pick winners
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter41
Clusters
Specialized Physical Infrastructure
Natural Resource Protection
Science and TechnologyInfrastructure (e.g., centers, university departments, technology transfer)
Education and Workforce Training
Business Attraction
Export Promotion
• Clusters provide a framework for organizing the implementation of many public policies and public investments directed at economic development
Quality and environmental standards
Market Information and Disclosure
Organize Public Policy around Clusters
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter42
The capacity of firms, in terms of skills, capabilities and management practices
Macroeconomic Competitiveness
Microeconomic Competitiveness
Sophisticationof Company
Operations andStrategy
Quality of the NationalBusiness
Environment
State of Cluster Development
Endowments
Human Development and Effective
Political Institutions
Sound Monetary and Fiscal Policies
What Determines Competitiveness?
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter43
Sophistication of FirmsSources of Competitive Advantage
Differentiation(Higher Price)
Lower Cost
CompetitiveAdvantage
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter44
• The value chain is the set of activities involved in delivering value to customers
• All competitive advantage resides in the value chain. Strategy is manifested in choices about how activities in the value chain are configured and linked together
Competitive Advantage and the Value Chain
SupportActivities
Marketing& Sales
(e.g., Sales Force,
Promotion, Advertising,
Proposal Writing, Web
site)
InboundLogistics
(e.g., Customer Access, Data
Collection, Incoming Material Storage, Service)
Operations
(e.g., Branch Operations, Assembly, Component Fabrication)
OutboundLogistics
(e.g., Order Processing,
Warehousing, Report
Preparation)
After-Sales Service
(e.g., Installation, Customer Support,
Complaint Resolution,
Repair)
Ma
rg
i
n
Primary Activities
Firm Infrastructure(e.g., Financing, Planning, Investor Relations)
Procurement(e.g., Services, Machines, Advertising, Data)
Technology Development(e.g., Product Design, Process Design, Market Research)
Human Resource Management(e.g., Recruiting, Training, Compensation System)
Value
What buyers are willing to pay
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter45
• Creating a unique value proposition
• Assimilating, attaining, and extending best practices
OperationalEffectiveness
StrategicPositioning
Operational Effectiveness Versus Strategy
Doing things better and better
Doing things differently to deliver superior value
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter46
What Creates a Successful Strategy?
• A unique value proposition compared to competitors
• A distinctive value chain embodying choices about how the organization will operate differently to deliver on its value proposition
• Making clear tradeoffs, and choosing what not to do
• Integrating activities across the value chain to fit together and reinforce each other
• Continuity of strategic direction
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter47
• What set of businesses to compete in
• Capturing synergies across business units
Levels of Strategy
• How to compete in each distinct business or industry
Corporate Strategy
Competitive or Business Strategy
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter48
DirectMarketing
CruiseLine
Corporate StrategyThe Walt Disney Company, 2010
DisneyChannel
FamilyMotionPictures
ConsumerProducts
SportsTeam
Multi-media
Productions
Broadway Productions
Acquired Through Cap Cities / ABC Merger
Traveling Shows
YouthBooks andEducational
Materials
• Shared characters• Shared brand• Shared family values• Cross-promotions
Marvel
HollywoodPictures
RealEstate
Develop-ment
TimeSharing
Television Stations
Broadway Theater
TelevisionNetwork
HollywoodRecords
Motion Picture
Distribution
DisneyRecords
RetailStores
AnimatedFeature Films
TelevisionProgram-
ming
ThemeParks
Pixar
Guided Travel
Disney Interactive
Media
Recent
ESPN
AdultCable
Channels
RadioStations
AdultPublishing / Newspapers
HyperionBooks
ResortHotels
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter49
CarDealership
FinancialServices
Sugar
Airline
Hotel
Real EstateServices
ComputerWholesaler
GroceryStores
Fast FoodFranchises
IndustrialParts
Imports/ Distribution
FoodProcessing
Tobacco
Textiles
Diversification in Emerging EconomiesTypical Business Groups
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter50
Improving CompetitivenessThemes
• Many things matter for competitiveness
• Progress must be made simultaneously on multiple fronts
• The weakest links will constrain productivity and retard development
• Foreign investment will depend on the relationship between competitiveness and prevailing wages and taxes
• As economies develop, they face transition points that require many dimensions of competition to be transformed
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter51
Stages of National Competitive DevelopmentShifting Policy Imperatives
Factor-Driven Economy
Investment-Driven Economy
Innovation- Driven Economy
Source: Porter, Michael E., The Competitive Advantage of Nations, Macmillan Press, 1990
Low Cost Inputs Productivity in StandardProducts and Services
Unique Products, Services, and Production Methods
• Monetary and fiscal, political, and legal stability
• Market opening• Improving basic human capital• Efficient basic infrastructure• Lowering the regulatory costs
of doing business
• Efficient access to endowments
• Increasing local rivalry• Creating advanced
infrastructure• Setting incentives and rules
encouraging productivity• Cluster formation and
activation
• Building advanced skills• Creating world class
scientific and technological institutions
• Setting incentives and rules encouraging innovation
• Cluster upgrading
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter52
Harvard Country Competitiveness ModelSubindex Impact Across Stages of Development
0.30 0.23
0.16
0.49
0.42
0.36
0.21 0.35
0.48
Low Income Countries Middle Income Countries High Income Countries
MicroSIPIMacro Policy
Notes: - Weights in a linear model across all economies: Micro: 0.31, SIPI: 0.41, Macro Policy: 0.28- Middle-stage weights are an average of Low- and High-stage weights.
Microeconomic Competitiveness
Human Development and Effective Political Institutions
Macroeconomic Policy
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter53
Agenda
• Defining Competitiveness and Prosperity
• Indicators and Enablers of Competitiveness
• Drivers of Competitiveness
• Benchmarking Nigerian Competitiveness
• Geographic Areas and Competitiveness
• Economic Strategy
• Organizing for Competitiveness
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter54
ISC Competitiveness ModelNigeria’s Competitiveness Profile, 2012
Nigeria’s GDP per capita rank is 109th
versus 140 countries
Note: Rank versus 140 countries; Color coding based on comparison relative to income; *U.N. Gender Inequality Index data is unavailable for Nigeria. Nigeria’s Basic Health and Education rank is reported as an average of ranks in reported data.Source: Institute for Strategy and Competitiveness, Harvard University (2012), based in part on survey data from the World Economic Forum; analysis prepared based on research findings by Scott Stern, Mercedes Delgado, and Christian Ketels.
Macroeconomic Competitiveness
128
Political Institutions 112
Rule of Law127
Human Development
115*
MicroeconomicCompetitiveness
91
Fiscal and Monetary Policies
113
National Business Environment
92
Company Operations and Strategy
77
Country Competitiveness115
Significant advantage
ModerateadvantageNeutral Moderate
disadvantageSignificant
disadvantage
Factor Conditions (110)
Context for Strategy and Rivalry (93)
Related and Supporting Industries (74)
Demand Conditions(95)
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter55
Agenda
• Defining Competitiveness and Prosperity
• Indicators and Enablers of Competitiveness
• Drivers of Competitiveness
• Benchmarking Nigerian Competitiveness
• Geographic Areas and Competitiveness
• Economic Strategy
• Organizing for Competitiveness
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Geographic Influences on Competitiveness
Neighboring Countries
Regions and Cities
Nation
• Regions are the most important economic unit for competitiveness in larger countries, especially countries beyond subsistence development
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter57
Regions and Competitiveness
• Economic performance varies significantly across sub-national regions (e.g., provinces, states, metropolitan areas)
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter58
Regional Prosperity Performance in NigeriaPercent of State Residents in Poverty
% of Total State Residents in Poverty
Source: Nigeria Statistical Data Portal (2013).Note: Most recent data available is from 2009.
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter59
Regions and Competitiveness
• Economic performance varies significantly across sub-national regions (e.g., provinces, states, metropolitan areas)
• Many essential drivers of competitiveness reside at the regional level
• Regions specialize in different sets of clusters and cluster strength drives regional performance
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter60
Regions and Competitiveness
• Economic performance varies significantly across sub-national regions (e.g., provinces, states, metropolitan areas)
• Many essential drivers of competitiveness reside at the regional level
• Regions specialize in different sets of clusters and cluster strength drives regional performance
• Each region needs its own distinctive competitiveness strategy and action agenda
– Business environment improvement
– Cluster upgrading
– Improving government effectiveness
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter61
Geographic Influences on Competitiveness
Neighboring Countries
Regions and Cities
Nation
• Regions are the most important economic unit for competitiveness in larger countries, especially countries beyond subsistence development
“The Neighborhood”
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter62
Competitiveness and Integration with Neighboring CountriesNigeria’s Neighborhood
• Economic coordination among neighboring countries can significantly enhance competitiveness• Integration offers greater opportunities than participation in broader economic forums
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter63
Regional Economic Integration and Competitiveness
• Integration opens trade and investment among neighbors
– Expands the available market for each country
A nation’s neighbors are often its most natural trading and investment partners, especially in non-resource goods and services
– The natural path of internationalization for local firms is the neighborhood
– Open trade and investment make each country a more attractive location for investment
• Integration drives improvements in the business environment– Captures synergies in policy and infrastructure
• Integration harnesses improvements in clusters that cross borders
• Integration creates greater clout in international negotiations
• External commitments help overcome domestic political and economic barriers to reform
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter64
• Eliminating trade and investment barriers within the region
• Simplifying and harmonizing cross-borderregulations and paperwork
• Coordinatinganti-monopoly and fair competition policies
• Harmonizing IP protection
• Harmonizing environmental standards
• Harmonizing product quality, safety and technical standards
• Establishing reciprocal consumerprotection laws
• Opening governmentprocurementwithin the region
• Improving the efficiency of the regional transportationnetwork
• Creating an efficient energy network
• Enhancing regional communicationsand connectivity
• Harmonizing administrativerequirements for businesses
• Linking financialmarkets
• Facilitating the movement of students for higher education
• Facilitating cross-border cluster development
– e.g., Supplier networks
– Efficient transport and logistics
– Quality standards
Factor (Input)Conditions
Context for Strategy
and Rivalry
Related and Supporting Industries
Demand Conditions
Economic Integration Among NeighborsCapturing Synergies
Macroeconomic Competitiveness
• Coordinating macroeconomicpolicies
• Coordinating programs to improve securityand public safety
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter65
Roads
AirportsPorts
Logistic Corridor
Integration and CompetitivenessCentral American Logistical Corridor
Mexico
Belize
Honduras
El SalvadorNicaragua
Costa Rica Panama
Guatemala
Country Boundary
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter66
Agenda
• Defining Competitiveness and Prosperity
• Indicators and Enablers of Competitiveness
• Drivers of Competitiveness
• Benchmarking Nigerian Competitiveness
• Geographic Areas and Competitiveness
• Economic Strategy
• Organizing for Competitiveness
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• An overall agenda for creating a distinctive and more competitive position for a country or region, based on its particular circumstances
• Implementing best practices in each policy area
• There are a huge number of policy areas that matter
• No country can (or should try to) make progress in all areassimultaneously
PolicyImprovement
EconomicStrategy
What Is an Economic Strategy?
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National Value Proposition
Creating a National (or Regional) Economic Strategy
• What is the distinctive competitive position of the nation or region given its location, legacy, existing strengths, and potential strengths?– What unique strengths as a business location?– What roles in the broader neighborhood?– What types of activities and clusters?
Developing Unique Strengths Achieving and Maintaining Parity with Peers
• What elements of the business environment can be unique strengths relative to peers/neighbors?
• What existing and emerging clusters can be built upon?
• What weaknesses must be addressed to remove key constraints and achieve parity with peer locations?
• Priorities and sequencing are essential to building competitiveness
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Tests of an Economic Strategy
• Has the country or region articulated a distinctive position?– That will create a positive identity?
– That will inspire citizens?
• Does the strategy build on existing or potential strengths?– Are the strengths realistic versus neighbors and other peer countries?
• Does the strategy fit with trends in the neighborhood and the world economy?
• Is the strategy realistic given the country’s or region’s weaknesses? Can weaknesses that retard the strategy be neutralized?
• Are social and political reforms integrated with economic reforms and pursued simultaneously?
• Do the policy priorities fit the strategy?– The choice of policies, and their design?
– The sequence in which policies are implemented?
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Tests of an Economic StrategyContinued
• Is there the political will and the political consensus to implement the strategy?
• Has the strategy been communicated clearly to all stakeholders?
• Is the private sector engaged?
• Is government organized around the strategy?
• Is there an overall coordinating structure for economic development?
• Is the quality of governmental agencies and other institutions sufficient for effective implementation?
• Are there mechanisms to measure progress and review / modify the strategy as prosperity improves or conditions change?
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter71
Agenda
• Defining Competitiveness and Prosperity
• Indicators and Enablers of Competitiveness
• Drivers of Competitiveness
• Benchmarking Nigerian Competitiveness
• Geographic Areas and Competitiveness
• Economic Strategy
• Organizing for Competitiveness
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter72
Old Model
• Government drives economic development through top down policy decisions and incentives
New Model
• Economic development is a collaborative process involving government at multiple levels, companies, educational and research institutions, and private sector organizations
• Competitiveness is the result of both top-down and bottom-up processes in which many companies and institutions take responsibility
• Translating policy into action is decisive in determining success
The Process of Economic DevelopmentShifting Roles and Responsibilities
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter73
Government and the Process of Economic Development
• Competitiveness is affected by numerous government entities and levels of government– Multiple agencies and departments (e.g. finance, trade, science and
technology, commerce, regional policy, energy, agriculture) have an influence on competitiveness
– “Economic” agencies and “social” agencies– Multiple levels of government (nations, states, cities, etc.)– Intergovernmental relations with neighboring countries
• Competitiveness is rarely the sole agenda of a single government agency
• A coordinating structure is needed (e.g. “competitiveness policy council”) that brings together the ministers and department heads necessary to formulate and implement an economic strategy
• Competitiveness improvement requires sustained efforts across multiple years and presidential administrations– Mechanisms are needed to improve the continuity of policy over time
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Failure of Traditional Economic Development Organizations
PUBLIC SECTOR PRIVATE SECTOR
General Cluster-Specific• Separate ministries with overlapping mandates• Competition for power and issue ownership• Ministries divided for political reasons which
introduces ideology and single issue focus• Organizations focus on a single geographic
level (e.g., nation, state, or city)• Lack of coordination and integration across
different parts of government
• Rarely strategic but focus on discrete policy areas
• Rarely prioritized and sequenced• No clear mechanisms and accountability for
implementation
• Chambers of Commerce
• Trade Associations
• Traditional focus on lobbying for government support rather than enhancing competitiveness
• Limited effects on areas such as skills, infrastructure, exports, environmental improvement and quality certification where collective action most value enhancing
• Poorly connected to the government policy formulation process
New organizational structures for competitiveness are needed
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• South Carolina Council on Competitiveness
• e.g., Central America Alliance for Sustainable Development
Organizations for Competitiveness are Needed at Multiple Geographic Levels
Groups of Neighboring Nations
States, Provinces
Metropolitan and Rural Areas
Nations
Clusters
• The National Competitiveness Council (Ireland)
• Compete Columbus (Ohio)
• Acoplasticos (Colombia)
Examples
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Task Forces
Organizing for Economic DevelopmentPresidential Council on National Competitiveness (Korea)
Chairman
Financial Regulatory
Reform
Legal and Institutional
Advancement
Public Sector Innovation
Investment Promotion
Assistant Chairman for Regulatory Reform
Assistant Chairman for Legal System
Management Support Team
Regulatory Reform
President of Korea
Assistant Chairman and Head of Steering Group
20130321—National Competitiveness Council of Nigeria Presentation—FINAL Copyright 2013 © Professor Michael E. Porter77
Agenda for the Nigerian Competitiveness Council
• Benchmarking
– Nigeria’s competitiveness position
– Nigerian states
• Identifying specific policy and implementation priorities
• Recommending a coherent and practical national strategy
• Fostering competitiveness improvement at the state level
• Integrating the Council’s work into the government policy process
• Coordinating broad private sector commitment and collaboration
• Creating mechanisms and urgency for action