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Global Crisis and Country's Competitiveness: Lessons from Indonesia and Malaysia

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  • Anton Setyawan

Abstract

This study examines the impact of 2009 global financial crisis to Indonesia and Malaysia. The framework of this study is Porter Diamond Model of Competitiveness. By using fixed effect panel data regression analysis this study analyze the four dimension of Porter model. In this study, they are four model regressions as a proxy of factor condition, demand condition, related and supporting industries model and Firm strategy, structure, and rivalry model. This study uses data from Asian Development Bank Annual Report from 1999-2008. The result shows global financial crisis gives bigger impact to Malaysia than Indonesia. The global financial crisis also has effect on each country’s competitiveness. Indonesia survive from the crisis since this country has a strong private consumption, while Malaysia still have competitive advantage on human resource.

Suggested Citation

  • Anton Setyawan, 2011. "Global Crisis and Country's Competitiveness: Lessons from Indonesia and Malaysia," European Research Studies Journal, European Research Studies Journal, vol. 0(3), pages 103-118.
  • Handle: RePEc:ers:journl:v:xiv:y:2011:i:3:p:103-118
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    File URL: http://www.ersj.eu/repec/ers/papers/11_3_p6.pdf
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    References listed on IDEAS

    as
    1. Sanjib K. Dutta, 2007. "Enhancing competitiveness of India Inc.: Creating linkages between organizational and national competitiveness," International Journal of Social Economics, Emerald Group Publishing, vol. 34(9), pages 679-712, August.
    2. Fahy, John, 2002. "A resource-based analysis of sustainable competitive advantage in a global environment," International Business Review, Elsevier, vol. 11(1), pages 57-77, February.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Competitiveness; Factor Conditions; Demand Conditions; Industry Performance;

    JEL classification:

    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity

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