The needs for endogenous development in the era of globalization: the case of thanh hoa province

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(Very Preliminary. Comments are Welcomed!)
In January 2007 Viet Nam became 150th member of WTO, so can she challenge well
this big chance to change situation in the international stage? The mission to gain
high growth in the big cities is very important, but the development in local areas is
important too. It is the same as strengthening “the Olive Tree” before the threat of
“the Lexus”(Friedman, 2000). Now, it is the time for Viet Nam to prepare for her
post WTO era, in which strengthening local areas is highly required to gain
sustainable development, to reduce inequality between urban and rural areas, and
between economic sectors. It is essential to mobilize and utilize local potentials, local
resources to gain sustainable development and strengthen Viet Nam in the post WTOera coming soon. These issues will be examined in this paper with different
endogenous development theories. This paper firstly introduces theoretical
framework, and then proposes the desired model in the way of endogenous
development for Vietnamese local areas, in which Thanh Hoa province is an
example.
Keywords: endogenous development, globalization, human factor, local economicdevelopment.
I. Introduction
In the era of globalization that strong competitiveness is highly required, to not to be lost
much, Viet Nam have to strengthen her each local, to make it more effective and flexible from
bottom up to gain sustainable development, too.
From the contents of Endogenous Development, it is necessary for Vietnam to find
effective way for strengthening its economic abilities,build capacity for development, and
become stronger and more competitive in this era. Due to the shortages and ineffective use of
resources, such as finance, social capital, natural resources, and human resources constitute
difficult challenges to local actors in improving their peoples’ living standards and quality of life.
Limited local resources and lack of knowledge in utilizing those are themajor constraints of
local development. With all problems that local areas are facing nowadays, it is essential to do
research on how local actors can mobilize, utilize their local resources for development.
1. Background
Country: Vietnam is an agricultural country and her local areas are facing many problems
such as shortage of finance, small market, un-skilled labor resources, and lowproductivity.
* PhD student, Graduate School of International Development, Department of International Development,
Nagoya University, Japan. I would like to thank Associate Professor Nishikawa Yoshiaki, my Academic
Advisor at the School, for his generous support and helpful comments on this paper, especially his introduction
of the Endogenous Development Theories from Japanese, Latin American,and European scholars. The
remaining errors are my own. E-mail: yoshivn@yahoo.com
2
Those are common characteristic of many developing countries.
Province: Thanh Hoa is a North Central Coast province, 110km far from the south of
Hanoi capital, has a large population with 3.76 million people (2nd ranking of the whole country)
has 7 ethnic: Kinh (Viet), Muong, Thai, H’mong, Hoa(Chinese), witharea of 11,106 sq km.
Labor force rate is 58.8% (27% skilled labor, 5.4% college, university graduate). Thanh Hoa
province is very important place in history also in economic development of the North and the
North Central Coast of the country. With a long history and its potentials in each areas, including
coast area, flat area, and mountainous area, it is said to be a small Vietnam (Chu, 2003).Under
French colonial period, every researcher must study about Thanh Hoa to understand more about
Vietnam history and make an effective policy. Thanh Hoa is also the place that the remains of an
ancient time found. With all the reasons and views, I chose Thanh Hoa province as my object to
do field research on Endogenous Development.
Economic Overview: GDP growth average per year 9,1%...
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