factors influencing international competitiveness

1.Economy: The size and strength of a nation’s economy affects its international competitiveness. A country with a large and diversified economy is usually in a better position to compete in the global market. 2.Human Resources: Talented and skilled people are a critical factor to international competitiveness. Human resource quality and availability differ from nation to nation and this, in turn, can affect international competitiveness. 3.Technology: Nations with a higher technological capacity are generally more competitive in global markets. Technological capabilities are a function of both the level of capital investment in research and development, access to capital and the availability of skilled personnel. 4.Infrastructure: Quality transport and communication infrastructure are essential for international competitiveness. Good infrastructure is necessary for executing deals, transporting goods and services, issuing invoices and payments. 5.Educational System: Nations which invest in their educational systems and develop a higher skilled workforce tend to be more competitive. 6.Exchange Rates: Countries with a more competitive exchange rate, relative to major trading partners, are usually considered more competitive in the global market. 7.Taxes: Nations that have lower taxes are generally more competitive. Lower taxes can help a country attract businesses and also help to keep costs low. 8.Regulations: Rigid regulations and policies can have an impact on international competitiveness. Nations with more competitive regulations, incentives, and schemes designed to attract foreign investment tend