Thailand's Competitive Advantage in ASEAN after Asian Crisis

Analyzing Thailand’s competitive advantage in ASEAN after Asian crisis in 1997 is vital for a nation’s economic development in the region where the neighborhood could be both complementary and hostile. Utilizing Porter’s diamond model with the quantitative approach has concluded that Thailand is ranked as the third-most competitive nation in ASEAN. Malaysia is identified as Thailand’s most awful competitor that it has to defeat while Singapore could better be the complementary. Vietnam is a catching-up competitor with its rapid economic development during the past decade. Indonesia is coming up after Vietnam; however, it is well-highlighted on its highest potential domestic demand and largest labor force which should principally contribute to the growth of manufacturing, agriculture and services sectors. In order to beat Malaysia and improve its competitiveness, Thailand has to invest in advanced and specialized factors, especially, in the field of ICT and R&D which will bring up a nation’s firms with more ability to produce higher-value of goods and services and more sophisticated buyers which ultimately improve a nation’s competitive advantage