Of the top 10 world economies with the highest
prospects for commerce growth in 2013, the U.S. is noticeable for its absence.
Based on Grant Thornton’s 2013 Global
Dynamism Index (GDI) involving 50 countries, the U.S. slid down from No. 10
last year, to No. 11 in 2013. And to make it worse, its stats for indicators
such as financing and labor markets, sank from a collective 64.1 in 2012 to
60.5 in 2013.
Yet, it is not that bad. U.S. left
behind the Japanese (15) and the South Koreans (13). It also crushed the U.K.,
which ranked 34 overall, scoring only 51.5 out of a perfect 100. So, things in
the U.S. are far from being that bad.
“I believe the U.S. is playing out almost
exactly the way we expected,” said Marc Tommasi, a managing director at
investment company Manning & Napier. “It is neither bright nor that
terribly bad.”
Grant Thornton’s index provides
insights into which of the 50 nations evaluated presents the best ecosystem for
investment growth. The U.S. has dropped from the charts. But it has some
company. Only a few nations have scaled the charts, and among the most stellar
performers is China. It joined the top 10 this year after having placed No. 17
in 2012.
Rankings are according to performance
in five main areas – business working environment, economics & growth,
science & technology, labor & human capital and the lending conditions.
The obvious news from this year’s
index: Asia is a powerhouse for investment growth. And even with the Nordic nations
sliding, government policies there make it one of the most ideal areas in the globe
to nurture a business. Even more so than the center of capitalism, Uncle Sam.
For China, the business working
environment and financing were both graded badly, close to the base of the stack.
However, nothing defeats the Chinese labor market. Not merely is it cheap, but
on the East Coast especially, they are exceedingly skilled as well. In addition,
in terms of holistic outlook there, China is No. 2 for general business growth.
This makes China the second highest
jumper, right behind the upcoming tiger-economy Philippines (which climbed 25
places from No. 46 last year). The progress in China is principally powered by
its science & technology ranking, where it jumped 8 places to rank 14 on
the back of stable information-technology firms and spending on research
and development.
“As China advances to a more sustainable economic development path, the
GDI 2013 results provide a major sign that our business growth environment
remains on the road to improvement,” Grant Thornton managing partner Xu Hua was cited as saying in the report published last week.
The top
10 most dynamic economies in 2012
were, namely from 1 to 10: Singapore, Finland, Sweden, Israel, Austria,
Australia, Switzerland, Korea, Germany and the United States.
Here are the top 10 most dynamic
economies of 2013.
No. 10: Norway
Norway
got 60.9 points on the index this year, down from 62.6 last year.
Multinationals have worked in Norway for so many years, most of them engaged in
the oil and gas industry. The most popular Norwegian companies are Statoil and
Norsk Hydro.
No. 9: Sweden
Sweden
stands No. 9 and gained 61.6 out of a perfect 100. Last year, Sweden's business
vitality scored a 69.6 on the Grant Thornton Global Dynamism Index, so
this year's economic deceleration in southern Europe made a dent. Swedish technology
exists in many American homes and enterprises. Ericsson is location in
Stockholm. Husqvarna lawn-mowers mow many American lawns.
No. 8: Israel
Israel
scores lower this year with 61.8 on the index compared with 69.3 last
year, losing its former No. 4 spot. Israel's growth economy is founded on
biotechnology and software. Teva Pharmaceuticals is Israeli-owned and is the largest
manufacturer of generic medicines in the world.
No. 7: Singapore
Singapore
slid down this year but remains up there. On the index in 2013, it scored 61.9
out of a perfect 100, down from the No. 1 spot last year at 72.1. The country
is generally noted as the biggest trade center in the world.
Tied with
Canada: Finland
Finland
ties with Canada with 62.3 this year, dropping from the No. 2 spot last year
with a score of 70.5. Naturally, everyone remembers Finland as the people
who gave us Angry Birds. Rovio Mobile is housed in Espoo. Microsoft adores
Finnish tech so much it acquired Nokia this year.
No. 5: Canada
Canada
and Finland both scored 62.3 out of a perfect 100 and is improving. Last year
on the index, it gained 61.7. Canada is popular as the country that gave us the
smartphone. BlackBerry is located in Waterloo. And while BlackBerry has seen brighter
days, Canada likewise hosts TD Bank and airplane manufacturer Bombardier.
No. 4: New
Zealand
That
Fly Emirates symbol printed on the jib sail of an America's Cup catamaran
belongs to Team New Zealand. The country ranked No. 4 with an index score of
62.6, sliding from 63.9 last year on the Grant Thornton Global Dynamism Index. In
spite of this lower index number, New Zealand climbed from No. 13 in
2012.
No. 3: China
China
is doing something right, climbing from Rank 20 last year to No. 3. It scored a
62.7 out of 100, up from last year's score of 61.4. China is the world's No. 2
economy, and here in the U.S., it is referred to as the economy every
politician “loves to hate”. Accused of causing massive losses of manufacturing
jobs in America and a crushing trade deficit, China is no longer merely a Happy
Meal toy-manufacturing economy. It is now noted for being a melting-pot for
luxury retailers. However, it is also popular for Internet pet-companies such
as Tencent, Baidu and Sina.
No. 2: Chile
Chile
has always been favoured by the global executive. The only thing that has
changed is that it continues to get better. Last year, it garnered No. 11 with
an index score of 63.8. This year, it is No. 2 with an index score of
64.5. Noted for its copper mining, red wine and salmon, it is also home to LAN
Airlines, the biggest airline owned by Latin Americans. Chile is good; but not
as good as these guys...
The Most Dynamic
Business Climate On Earth...
...is
Downunder. Australia climbed from No. 7 last year with an index score of 65.6
to No.1 with an index score of 66.5. Australia has so much to offer prospective
investors: twenty two years of continuous economic growth; stable institutions;
a trained, industrious labor force and a vigorous culture
of investment in research and development. The country’s most noted firms
include mining giant BHP Billiton, surf apparel and culture brand Billabong and
Rip Curl, and brewery Fosters Group. Addicted to playing fruit ninja on X Box
Kinect? It is a product of Halfbrick Studios of Australia.
