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Lesson from Japanese Experience for Development of Thailand’s Knowledge Economy

Lesson from Japanese Experience for Development of Thailand’s Knowledge Economy. Discussion Points. Dr. Kanit Sangsubhan. Fiscal Policy Research Institute Foundation. Motohashi, IT revolution’s Implications for the Japanese Economy. Comparison of K-ICT contribution.

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Lesson from Japanese Experience for Development of Thailand’s Knowledge Economy

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  1. Lesson from Japanese Experience for Development of Thailand’s Knowledge Economy Discussion Points Dr. Kanit Sangsubhan Fiscal Policy Research Institute Foundation

  2. Motohashi, IT revolution’s Implications for the Japanese Economy Comparison of K-ICT contribution

  3. Motohashi, IT revolution’s Implications for the Japanese Economy Firm Level Analysis • Ability to adjust at the firm level, Organizational rigidity A call for Strong Commitment at the top level of the firm. outcome of investment. • A good network formation. Dynamism of ICT progress, Beside the commonly known economy of scale and scope from ICT.

  4. Motohashi, IT revolution’s Implications for the Japanese Economy Complementary Investment • HR Elites -technologist ICT Manager ICT solution provider • Knowledge Management (Late?) Adoption of technology by manufacturing / SMEs / Firms Education to top level managers

  5. Nezu, Development of the Japanese Telecom Industry Development Phases of Japanese ICT Phasing 1. Pre-market Stage 2. Domestic Competition 3. From Fixed to Mobile 4. Competition among Technology 5. Oligopoly market Nezu’s Suggestions • Government may fail in selecting technology – better let the private sector do. 2. In liberalizing the industry, fair competition is needed. 3. The new business expansion – vertically and horizontally—need IPR protection 4.Foreign competition (in the case of Japan) so far has no threat to national interest and security.

  6. Nezu, Development of the Japanese Telecom Industry Nazu’s Suggestions • Government fail in selecting technology – better let the private sector do. Build-Transfers-Operate by the private sector Critical argument that free-to-choose technology lead uneconomical scale • Liberalization needs fair competition A classic case of oligopoly market. First, fierce competition of low quality Second, oligopoly market of high price and poor services. supervisory committee-- minimum quality standard– penalty • Foreign competition and security Japan might be a unique one by two reasons. ? Unique technological standard adopted in Japan / BIG THREE—NTT, KDDI, Softbank— dominate ? NTT group and strong backing from the government.

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