From Inspiring to Driving Provincial Agenda

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From Inspiring to Driving Provincial Agenda
Moving Toward the Sustainable Economy
Suvit Maesincee Vice Minister for Commerce
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Todays Agenda

• The New Competitive Landscape
• Branding the Destination
• From Inspiration to Action

3
Todays Agenda

• The New Competitive Landscape
• Branding the Destination
• From Inspiration to Action

4
In the Borderless World, Regions and Cities are
Facing with Challenges Seeking for Opportunities
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Place in Competition
Place to Visit
Place to Live
Product to Buy
Place to Invest
Place to Shop
Place to Learn
Place to Work
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Place to Visit
Place to Visit
Place to Live
Product to Buy

• Natural Attractions
• Man-Made Attractions
• Hospitality
• Hotels and Resorts
• Cost
• Occasions
• Activities

Place to Invest
Place to Shop
Place to Learn
Place to Work
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Sea Sun Sand
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Thailand Competitive Position
Market Share 2003 ()
19.4
8.5
Global
6.7
5.9
4.5
4.3
4.0
2.9
2.9
2.4
Spain
Italy
Turkey
Portugal
Thailand
Mexico
Greece
France
Croatia
Malaysia
26.9
22.6
14.3
Asia/ Pacific
7.1
5.7
4.6
3.9
3.0
2.4
2.3
Thailand
Indonesia
Guam
Vietnam
N-Marina
Malaysia
Philippines
Australia
Maldives
Fiji
Islands
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Cultural Tourism
Top Historic and Cultural Places
www.theodora.com
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Place to Shop
Place to Visit
Place to Live
Product to Buy

• Product Variety
• Pricing
• Product Quality
• Specialty Stores
• Niche Products
• Niche Markets
• Marketplace

Place to Invest
Place to Shop
Place to Learn
Place to Work
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Tourism Shopping Paradise
Most Expensive Shopping Avenues
www.theodora.com
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Fashion
London
Paris
Tokyo
New York
Shanghai
Milan
Bangkok
www.theodora.com
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Place to Live
Place to Visit

• Lifestyle
• Real estate and housing
• Permanent Residency
• Citizenship
• Schools
• Medical Care
• Social Security
• Standard of living
• Degree of Freedom
• Official Language
• Human Rights
• Environment
• Regulation

Place to Live
Product to Buy
Place to Invest
Place to Shop
Place to Learn
Place to Work
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Living Place

WORLD'S BEST Cities
Source travelandleisure.com
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The world's top 55 cities offering the best
quality of life(New York is the base city with a
score of 100 points)
City with Best Quality of Life

• Political and social environment (political
  stability, crime, law enforcement, etc)
  Economic environment (currency exchange
  regulations, banking services, etc)
  Socio-cultural environment (censorship,
  limitations on personal freedom, etc) Medical
  and health considerations (medical supplies and
  services, infectious diseases, sewage, waste
  disposal, air pollution, etc) Schools and
  education (standard and availability of schools,
  etc) Public services and transportation
  (electricity, water, public transport, traffic
  congestion, etc) Recreation (restaurants,
  theatres, cinemas, sports and leisure, etc)
  Consumer goods (availability of food/daily
  consumption items, cars, etc) Housing (housing,
  household appliances, furniture, maintenance
  services, etc) Natural environment (climate,
  record of natural disasters)

Source Mercer Consultings Research, March 2005
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Place to Work
Place to Visit
Place to Live
Product to Buy

• Salary
• Benefits
• Business Environment
• Colleagues
• MNCs/ Regional HQs
• Local Firms
• Language
• Profession
• Lifestyle
• Visas Work Permits
• Tax System

Place to Invest
Place to Shop
Place to Learn
Place to Work
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5 Most-Wired Nations In the World!
Singapore
The Information Society Index (ISI) 2004,
evaluates the information wealth of 53 countries
around the world. Combines 15 variables in four
infrastructure pillars (computers, the Internet,
telecommunications and social factors) to
calculate and rank each nation's ability to
access and utilise information and information
technology. 'E-readiness' rankings for 2004, are
as well considered, based on several factors
including e-business climate, Internet
connectivity, penetration of hot spots,
technology infrastructure and policy environment.
Denmark
Canada
Sweden
USA
Source www.ibm.com 2005
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Place to Invest
Place to Visit
Place to Live
Product to Buy

• Perceived Risk
• Workforce
• Labor Cost
• Political Stability
• Tax Incentives
• Language
• Market Access
• Rules and Regulation
• Investment Rate of Return
• Foreign Business Act
• Business Environment
• Business Potential
• Infrastructure Utilities
• Industrial Clusters

Place to Invest
Place to Shop
Place to Learn
Place to Work
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A new set of initiatives to make the place
globally attractive for FDI
Characteristics
Old
New
Labor
Low cost, unskilled
Quality, Higher skilled
Low tax, low service
Modest tax, high service
Tax Climate
Least cost production, cheap land and labor
Value-added adaptable labor force, professionals
Incentives
Housing and Transportation
Culture, recreation, museums, shopping, airport
Amenities
Availability
Quality Schools
Schools
Not Key
Quality schools and research facilities
Higher Education
Minimum
Compatible quality of life and business flexibil
ity
Regulation
Cost/Availability
Dependability/reliability
Energy
Assumed
Technology access
Communication
Aggressive chamber of commerce
Partnership
Business
Source Kotler, 1999
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Northern Italy
Key Features

• Population 4 millions
• 90,000 SMEs covering 40
• of employment
• Stand alone and subcontractors
• SMEs
• Supporting infrastructure
• transports, research center,
• financial institutes, university,
• laboratories
• Gain advantages of economies of
• specialization
• Export-oriented and has capacity
• to respond to market changes
• and compete globally

Emilia-Romagna
Example
Source Marketing of the Nations
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Southern India
Strengths

• reservoir of technical talent
• literate population

Bangalore
Strategic Intent
Hyderabad

• attract Western service industries
• relax regulations

Pune

• Developing software systems
• Conducting fixed-line
• Outsourcing business function for the U.S.
  European companies

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Chinese Industrial Clusters
Liaoning (North-East Area)

• Heavy Industry, aircraft
• Software
• Para-statal enterprises

Beijing/Tianjin (Zhongguancun Area)

• RD
• IT, bio, space
• defense
• Govt Services

Chang Jiang Delta Area
Shangdong Area

• Textiles
• Automobiles
• Laptop PCs
• Mobile phone
• Financial Institutions
• Semiconductors

• Production area of
• frozen vegetables
• processed food
• Home appliances
• Korean presence

Xiamen/Fuzhou Area
Zhu Jiang Delta Area

• Agricultural Fishery
• products
• Taiwanes companies
• Textiles
• Tea

• IT/ PC
• Electronice components
• Taiwan hinterland
• Chemicals
• Petrochemicals
• Automobiles

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Place in Competition

• From Nation-State to Region-States

• From National Border to Openness to
• the Outside World

• From Independence to Interdependence

• From Single Unit to Concept of
• the Whole Country

• From Fully Self-Sufficient to Foci of Prosperity

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Todays Agenda

• The New Competitive Landscape
• Branding the Destination
• From Inspiration to Action

25
Criteria for selecting the XXX Olympiad Host
City in 2012
The Olympics
Five big cities in competition!!

• Concept Legacy
• Political Economic Climate Structure
• Legal Aspects Guarantees
• Customs Immigration Formality
• Finance
• Marketing

• Environment Meteorology
• Sports Venues
• Medical Services
• Security
• Accommodation
• Transport
• Media Operations
• Olympism Culture

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The Olympics
The Bid Themes
Wonders of Paris
Paris
Multicultural Traditions
NY city
Unique Truly History Opportunity
Moscow
Passion for Sport of Young People
London
Sustainable Environmentally Friendly Games
Madrid
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Branding Shanghai Art and Culture Center of All
Mankind

• World EXPO Olympic Games of Economics
  science and technology and culture A major
  source of new ideas, concepts and technologies
  leading to a practical application
• Bid to host 2010 World Expo
• Unleash the creative spirit and develop Shanghai
  to become Art and Culture City
  
• Campaign Better City, Better Life is chosen as
  a magnet!

New Art Culture
Old Art Culture
Inventors
Artists
Musicians
Writers
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Branding Singapore The Hub of New Asia

• 1960 ,1970 Instant Asia where one could find
  an array of people, cultures and cuisines
  
• 1980 Surprising Singapore contrasting images of
  modernity and Asian exoticism together
  
• 1990 New Asian Singapore ethnic culture fused
  into modern development

Modern environment
Ethnic Culture oriental exoticism

• New Asia - Singapore
• So easy to enjoy, So hard to forget
• Millennia mania A promotion campaign marked
  the new era
  
• Live it up 9/11 Aftermaths campaign
• Singapore Roars SARS-free country campaign

Source Destination Branding, Morgan, Pritchard
Pride
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Competitive Positioning Analysis
Singapore
Phuket
Innocent Feminine Friendly Romantic Old Safe
Clean Interesting Vibrant Pretty Sophisticate
d
Natural Harmonious
Sinful Masculine Cold Boring New Unsafe Dirt
y Boring Stagnant Ugly Simple Artificial Con
flicting
Source Kotler
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We should refine the provincial strategy to
position the city into the landmark of the world
Positioning
City
Philippines Siargao Hong Kong West Bengal Sydn
ey
Osaka Singapore
Call Center Hub of Asia Surfing Capital of Asia
Asias World City Gateway to the East Cultural C
apital
Sports Paradise Tourism Capital
Chantaburi
???
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through world-class marketing campaign
City/City-State Campaign Slogan
Place
Slogan
Macau Welcomes YouThe Sunny Side of LifeLive i
t Up in Singapore City of Life Best on Earth in
Perth Europes Best Business Location Financial
Capital of South America Relax, Indulge, Discover
, Enjoy
Macau Maldives Singapore Hong Kong Perth Fl
anders
Miami South Australia
Chantaburi
???
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Todays Agenda

• The New Competitive Landscape
• Branding the Destination
• From Inspiration to Action

33
Success Cities Highest Earners
Source citymayors.com
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9 Chinese Region-States are Among Top 15
Countries in Asia
Population (2003, Million)
GDP (2003, Billion US)
GDP Per Capita (2003, 1000 US)
Korea
Indonesia
Hong Kong
605
206
23.0
Yangtze delta
Yangtze delta
335
SIngapore
138
21.5
286
Taiwan
107
NE Tristates
12.5
Taiwan
208
12.5
92
Indonesia
Beijing Area
Korea
Zhu Jiang delta
161
Shangdong
Malaysia
4.1
91
159
Hong Kong
Zhu Jiang delta
Yangtze delta
80
3.3
2.7
Beijing area
157
Philippines
77
Beijing area
155
NE Tristates
2.2
Vietnam
Thailand
76
149
2.0
Shangdong
Thailand
61
Zhu Jiang delta
Thailand
143
Korea
46
Fujian area
1.8
103
1.6
35
Malaysia
Fujian area
Shangdong
1.4
91
23
SIngapore
Malaysia
NE Tristates
79
22
1.0
Philippines
Taiwan
Philippines
6
63
1.0
Fujian area
Indonesia
Hong Kong
4
37
0.5
Vietnam
Vietnam
Singapore
Source China Statistical Abstract, UN.
35
A wide gap of wealth exists among 76 provinces
GPP vs Per Capita GPP
GPP/Capita (Baht)
600
,
000
500
,
000
400
,
000
300
,
000
200
,
000
100
,
000
0
0
50
,
000
100
,
000
150
,
000
200
,
000
250
,
000
300
,
000
350
,
000
400
,
000
GPP (Million Baht)
Remark not including BKK
36
The preferred tourism destinations are very
concentrated
4000
Phuket
Phuket
3500
Chiangmai?
SongKla (Hat Yai)
SongKla (Hat Yai)
Chonburi Pataya
Surathani Samui Island
Surathani (Samui Island)
3000
Chonburi
chiangmai
Chaingrai
Chiang Rai
Naratiwart
Naratiwart
Krabi
2500
Krabi
Revenue per head (bht)
Prungga
2000
Prungga
Phisanuklok
Trad
Hua Hin
Rayong
1500
Cha um
Karnjanaburi
Phisanuklok
Udonthina
Udonthanee
Ayuthaya
1000
Nakorn Ratchisima
Lupburi
Sakolnakorn
Khornkan
Saraburi
500
Chaipoom
0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
5.0
0
1
2
3
4
5
Number of tourist (mil)
Time spent (days)
37
The low level of wealth in many provinces is
rooted from a common vicious circle
Poor Infrastructure
Low Wage
Low Consumption
Low Budget Allocation
Low Investment
Low Productivity
Low Employment
Low Motivation
Low Attractiveness
Low Priority
Low GPP
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3 Ps Matter in this Changing World!
Product
competitive
attractive
productive
Place
People

39
From Inspiring to Driving Provincial Agenda
Creative
Strategic
Administrative
Make your dream come true
Inspire your dream
Manipulate your dream
Play with your choice strategically
Act to make it happens As you wish
Identify what you want to be/do
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Finland Case

• 1990 Economic Collapse
• Education Reform made the difference and made it
  become a number one in computer market!!!

Peoples Imagination is the Nations Greatest
Resource
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Finnish Innovation System
42
Case Study Dalian, China
Post
Pre

• A sleepy port
• Unrecognized
• Turned its back
• on the world

China s most important dynamic industrial c
enter
Creative
Strategic
Administrative
Build the Grand Dalian
Manipulate the Dream
Make it Come True

• Expanding the urban development space
• Enhancing the overall economic scale
• Upgrading the citys multiple functions
• Creating a better environment

• host the World Expo

43
Dalian Key Success Factors

• Charismatic city mayors innovation

• Willingness to engage in the new cyber-based
• and borderless economy

• Benefited from being allowed to pursue its own
  path

• Reacts directly with the rest of the world not
  at the
  
• level of part of a nation-state, but
  instantaneously
  
• and directly, as a region

44
Root Causes
Lack of differentiation
Product
competitive
Lack of inspiration
creative
Leadership
Lack of education participation
productive
Lack of variation attraction
attractive
People
Place
45
It is the leader who drives the city/province to
be one of the world strategic destinations
Nothing
Something
Nobody
Somebody
Have
Create
Resource
Opportunity
46
Case Study
47
Branding the Fruit
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Malaysia Best
"Malaysia's Best" clearly communicates the
promise of quality of each Malaysian fruit. For
every farmer under the "Malaysia's Best" program
has the necessary knowledge and experience in
producing quality fruits, from selecting the best
seedling to the harvesting period. All the latest
in research findings and guidelines on more
efficient farming methods like minimizing
pesticide usage, for example are also passed on
to these farmers on a regular basis to apply to
their current or new crop. After which, every
fruit picked and selected will go through a very
strict and thorough inspection process prior to
getting the "Malaysia's Best" seal of approval.
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Dole
The Dawn of the Nutrition Age Bright, Sun Shine
, Health, Quality, Technology Pineapple, Banana
,
Berries, Vegetable
The DOLE brand means high-quality products.
Dole's dedication to quality is a commitment
solidly backed by comprehensive programs for
food safety, scientific crop protection programs,
stringent quality control measures,
state-of-the-art production and transportation
technologies, continuous improvement through
research and innovation, and dedication to the
safety of our employees, communities and the
environment.
50
Sunkist
Freshness, Health and Quality Delicious, Nutrit
ious Fresh, Bright, USA
Citrus, Lemons
51
FYFEES
A proud history, a promising future
Bright, Young, Fun, Modern Banana, Pineappl
e, Grape, Apple
52
OUTSPAN
Only Goodness Reliable, Quality Oranges, G
rapefruit, Lemons
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Zespri Kiwi Fruit
Put Life into Life Lively, Fun, Fresh, Friendly

Only Kiwifruit
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Brand Positioning
Selected Fruit
Relevance
Feeling Emotional
Trust Quality
Differentiate
Variety of Choices
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Zespri ???????????????????????????????????????????
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?????

• Zespri International ?????????????????????????
  2,500 ????????????????????? ??????????????????????
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  ???????????????
• ????????????????????? Zespri ?????????????????????
  ??????????????????????????? ??????????????????????
  ?????????????????????????????????????????

Order and Forecasts
Order and planning Info
Export front desk
Customers
Zespri Growers Cooperatives
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????????????????????????????????
1989 ????????????????????????????????????
1982- 1988 ????????????????????????????????????
?
2000 Zespri Gold ????????????
1952 ?????????????????????????
1991 ????????????????????????????????

• NZ Marketing Board
• 1988 ???????????????????????? Marketing Board
  ????????????????????????
  
• ?????????????????? ??????????????????? ?????????
  ???????????? ?????????????????????????????

?????????????????

• Zespri International
• 1997 NZ Marketing Board ????????????? Zespri
  ????????????????????
  
• ??? Zespri ???????????? ?????????????????????

• ?????????????
• ??????????????????????????????????????????????????
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Kiwi in the Global Stages
Zespri International
Global Stages
OUT
IN
IN
OUT