"e" for
Competitiveness
Bridging the digital divide between the developed and the developing world
For small firms to meet the significant and growing challenges of
globalization, they need governmental and institutional back-up.
A three-pronged approach can help build and strengthen
competitiveness: closer business-government partnership; effective networking of national agencies
involved in the value chain; and optimal use of new technologies.
Innovation in applying information and
communications technologies (ICTs) to trade – or putting “e” to work – is an undisputed
driver of competitiveness. Export capability building, however, is a broader concept than
simply using ICT technologies.
Developing countries are typically users of imported
technology rather than producers, from sources such as foreign direct investment,
licensing, and technical assistance equipment and skilled manpower.
Within developing countries, the
business sector is the main actor in accumulating technological and other export capabilities,
for example in marketing, know-how, finance skills, human resources and managerial
expertise.
This occurs when firms invest consciously to convert “bought-in”
technologies and knowledge into productive use. New technologies and innovative uses of them can only be
built up through experience and deliberate investments in training, information search,
engineering activities and research and development.