All organisations at various levels

All organisations at various levels have to join together to improve and leverage the standard of their industry in Thailand to maintain the country’s market position and cultural integrity. New innovative developments in terms of products and services should help to evolve the industry as Thailand remains a forward-looking environment for business. Development of facilities and infrastructure (again, with a universal standard) will support future growth. Thailand is able to leverage its international reputation for service regardless of the sector being considered. The country will need to maintain a strong government that is pro-business and pro-investment in order to support this objective. Centralised business operations (in Thailand or overseas) and control of licensing and franchising will help to evolve an international standard domestically, which positions the country to be most effective post-integration. The country needs to implement effective monitoring of hygiene, sanitation, cleanliness and the development of personnel across a variety of public facing sectors.

Whilst it is impossible for a single organisation to fully spearhead these widespread initiatives, companies should be looking at their own internal operations, structure, procedures and strategic planning and resources to be ready to exploit opportunities for growth, and mitigate any country-level perception threats.





Trade and Export


Thailand’s baseline growth has been enigmatic over the last fifteen years; economic crashes in Asia and Europe, political coups, widespread corruption, floods, issues with the Red Shirt political movement, turmoil in the far South of the country and recent bomb threats in the capital, yet still the economy grows. This is potentially the result of Thailand’s efforts towards becoming a more diversified economy, as it moves away from being simply a tourism hot-spot and exporter of rice. Thailand currently enjoys a strong global reputation in finance, manufacturing, produce & commodities, technology, healthcare, education, automobile manufacturing and software development – an excellent GDP mix that has managed to overcome myriad issues in the last two decades. This mix should mean that Thailand will not only prosper after integration, but be able to drive regional growth as both a thought leader and model for improving baseline revenue generation amidst its peers. However, several countries within the region are also enjoying strong growth levels, and from a lower base cost of production; ASEAN economic integration will provide a platform for the accelerated growth of competitors, which may or may not prove to be detrimental to Thailand’s own designs on a thrust towards sustained expansion.



Labour Market


One of the key benefits that integration has afforded to people within the EU is the unprecedented level of mobility it gives to those of working age. The common market has resulted in a highly reactive workforce which has little hesitation in relocating to find (or improve) their working life. It also raises issues in terms of uncapped immigration, as France, Germany and the UK have discovered to be detrimental in a number of ways. Inbound flow of skills and a readily-employed labour force is great for a growing GDP contribution, but teething troubles in the system’s checks and balances results in hundreds of thousands of people moving between borders, obviously having a considerable impact on citizens of a sovereign state. Once signed up, it is impossible for a member country to limit the number of immigrants from other member states, creating demands on housing, healthcare and policing resources. It also opens up a potential easy channel for “Brain Drain,” where the most educated members of society leave to pursue opportunities in regional competitor labour markets.




Travel, Tourism & Hospitality


An industry which is likely to see huge benefits (and challenges) after integration, the travel and tourism sector is on the front line of key changes through integration. It is easy to assume that with travel restrictions being reduced that inbound traveller numbers to Thailand will increase, but the sector needs to be aware that this increases the mobility of traditional domestic “staycation” markets. One effect of EU integration was a huge reduction in the cost of overseas holidays, which meant that it was often cheaper for holidaymakers to go for cheap overseas packages rather than taking holidays in other parts of their own country. This has an effect on the economy’s revenue-generating abilities at large. In terms of inbound numbers, there could be a profound effect on hospitality demand, but with Thailand already oversupplied with hotels, condos and resorts, the effect is yet to be fully understood. Most within the industry see ASEAN as a key game-changer for the next decade; although a need for increasing levels of competitiveness are necessary for Thailand to remain a regionally attractive destination over other exotic and new-to-market destinations like Laos and the Philippines. Thailand’s reputation for untrustworthy vendors, capitalising taxi and tuk tuk drivers, high visitor attraction costs for foreigners compared to Thais and other security concerns leave the sector exposed to “new neighbours” in many respects, and illustrative of a focused, industry-wide approach being conducive to domestic competitiveness.




Logistics


An early adopter of infrastructure-driven strategy for the benefit of capitalising on integrated cross-border activity, the logistics industry understands full well what integration will mean for this sector; reduced transportation costs, simplified documentation, improved integrated scanning and reading technology, cost sharing, hub sharing and expedited delivery times are all exciting benefits of integration. Areas including Laos and Myanmar remain a challenge, but the breaking down of (perceived and administrative) borders should help cross-border trade hugely. There is also the added benefit that extends beyond the logistic sector; that is, reduced costs mean higher volumes for importers and exporters, and in theory, a much larger volume of chargeable haulage for integrated logistics providers.





Education


Reduction in legislative barriers to students wishing to study in other countries within the community will likely have a similar affect to that seen within the EU. Effectively, a student may choose where to study, with a single pool of education (conceptually) open to all. There are limitations, of course. For example, a student from Laos may wish to study at a top ranked university in Singapore, although the cost may be prohibitive. The positive effect lies in the fact that after integration, all education centres may be judged from a common baseline; the hope is that this will give schools in countries where education is substandard more impetus to improve to at least meet a regional average. There is also the possibility that a liberalised South-east Asia will be capable of attracting a greater number of high-calibre students from Europe and America.

Food & Beverage


Asia has for many years enjoyed something of an integrated single market in terms of F&B import and export. A quick walk around a mall in Thailand will reveal huge cross-over in the restaurant market with Japanese, Korean and Vietnamese food popular with many Thais. Thailand also enjoys a strong export market, with a low cost base being a positive contributor towards healthy levels of outbound canned and bottled goods trades. Integration may possibly mean that more cross-over products becoming available in all member countries, with Laos and Myanmar representing potential growth markets for exporters. Weak infrastructure has been a barrier to this flow so far, but reduction in legislative difficulties and duties should help promote two-way trade in this sector, and the opening up of a vast regional single market.

ผลลัพธ์ (ไทย) 3:

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