Association of Southeast Asian Nations. A cooperative group formed in 1967 that focuses on economic, social, and cultural issues. It has a political objective of regional peace and stability, but does not require member countries to adopt common political views. Member countries are Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand, and Vietnam.
Advantage of ACE
1 Business of Tourism in Thai will grow: Because Thai is the center of the AEC according on geographic then Thailand will be the main hub for travelling though other country
2Economic Growth: more opportunity for each country because of the bigger size of market and free flow of labor and capital
3 Free Trade Area a common external preferential tariff scheme to promote the free flow of goods within ASEAN.[44] The ASEAN Free Trade Area (AFTA) is an agreement by the member nations of ASEAN concerning local manufacturing in all ASEAN countries
4 Exchange in technology: each country will have an opportunity to gain new technology such as technology in production and medical
5Product price will decrease: because of the free flow in labor and resources and terminate tariff cheaper resources in other country will replaced
6 opportunity to move production base: Entrepreneur will have more choice to move their production base to meet country where labor cost is cheaper
7 Trade in Services such as air transport, business services, construction, financial services, maritime transport, telecommunications and tourism.
8 improve international competitiveness: include the bargain power on non-members countries
Disadvantage
1Agriculture: in term of cost of production Thai agriculture still use a high cost. Then it’s might be difficult to competitive with other country in Asean such as Vietnam, because agriculture in Vietnam using organic fertilizer rather than using chemical fertilizer.
2 public health : when open AEC it will be easier for people and labor to flow in and out country then the disease will easier spread out into each country
3Labor with low English skill will be more difficult to seek for a job : English will be the main language for Asean then employee have to improve them self but for employee who have low English skill will find that they might in trouble seeking for a job.
So,to entering The ASEAN, we must think of ourselves first, whether weare ready or not and to safe the interests of the nation as well asthe benefit from its neighbors. We learn what is in neighbors’brains, roots or not? That is the answer, along with Thailand’sentry into The ASEAN.