Competitiveness can be defined as the ability of a firm or a nation to offer products and services that meet the quality standards of the local and world markets at prices that are competitive and provide adequate returns on the resources employed or consumed in producing them.
Competitiveness also contributes to strengthening the country's productivity and businesses, and allows the creation of conditions to improve, continuously, other areas of human development such as education, and access to justice, among others.
It has been proved that economic growth alone does not automatically translate into human development progress. Public policies implemented throughout the world to reduce poverty by increasing significantly investments in people's capabilities, including education, nutrition and health, and employment skills can expand access to decent work and provide for sustained progress.
As global development challenges become more complex and transboundary in nature, coordinated action on the most pressing challenges of our time, such as poverty eradication, climate change, or peace and security, is essential. That is the essence that has been captured by the 17 clusters of the United Nations Sustainable Development Goals.
As countries are increasingly interconnected through trade, migration and information and communications technologies (ICT), it is no surprise that policy decision in one place have substantial impacts elsewhere. That's the reason why a call for a critical review at the global governance institutions needs to be done, with a view to promote a fairer, more equal world. The new economic and geopolitical reality need to be reflected adequately for a new era of partnership.
At this point, the World Organization of Governance & Competitiveness (WOGC) calls for greater transparency and accountability, and highlights the role of global civil society and the Public-Private Partnerships in advocating for these and for greater decision-making power for those most directly affected by global challenges, who are often the poorest and most vulnerable people around the world.
In accordance with the Human Development Report 2013, The Rise of the South: Human Progress in a Diverse World..."Global production is rebalancing in ways not seen for 150 years. Growth in the cross-border movement of goods, services, people and ideas has been remarkable. In 1800, trade accounted for 2% of world output. The proportion remained small right after the Second World War, and by 1960 it was still less than 25%. By 2011, however, trade accounted for nearly 60% of global output.
The expansion it represents is widely distributed, with at least 89 developing countries increasing their trade to output ratio over the past two decades. Today, as a result of reduced trade barriers and lower transport costs, the production of manufactures is fragmented across borders, with many countries trading intermediate goods. And changes in information technology have made services increasingly tradable. The result has been a remarkable rise in intra-industry trade."
On the other hand, the Human Development Report 2013 also highlights..."The increase in trade and investment by multinational corporations and others has been linked to the expansion of international production networks, especially in Asia. Likened to a third industrial revolution, these networks split production processes into multiple steps that cross-national borders. As a result, developing countries have been able to diversify their industrial structures and participate in complex production processes. Developing countries engage initially in the labor-intensive segments, typically in product assembly, and then graduate to component fabrication and equipment manufacture. Meanwhile, the less complex production relocates to less advanced neighboring economies. At the same time, these manufacturing plants create demand for domestic firms to supply inputs and producer services."
The World Organization of Governance and Competitiveness (WOGC) agreed that development is about changing a society to enhance people's well-being across generations, enlarging their choices in health, education, gender sensitive and inclusive, as well as income and expanding their freedoms and opportunities for meaningful participation society.
There is no simple recipe for connecting human development and economic growth or for accelerating growth but WOGC is convinced that promoting competitiveness and Public-Private Partnerships developing countries may have a better chance to improve their levels of development.