Reducing trade barriers and procedures, increasing legal security and improving productive infrastructure are part of the changes required by the business sector for the region's economic development.
In Guatemala, the 12th Ibero-American Business Meeting is held, in which the private sector presents proposals to face the current challenges and generate opportunities for the countries of the region.
A third and final call has started for companies and investors interested in participating in the development of projects in the program 'Apuesta por InversionES'.
Applications are open for national and international companies with the financial capacity to invest anywhere in the country.
Elsalvador.com reports that "...Interested investors should do so in a new project or expansion of an existing one in the category of tradables, which includes goods or services that can be traded internationally, said a statement issued by Fomilenio II.These are projects that can be set up in any part of the country, with a minimum investment of $100,000 by the applicant. "
In El Salvador, the decision taken by the Sanchez Ceren administration not to attend the main business event in the country reveals either disinclination, inability to govern, or simple political manichaeism.
EDITORIAL
Maybe it is a persistence of visualizing the world as it was in the last century, dividing it into two antagonistic parties, capital on the one hand and labour on the other.
Determinants of investment, committed figures, and key economic sectors in the region in which Colombian companies have ventured into in recent years.
From the summary of the document by Cepal: "Colombian Investment in Central America":
The main objective of paper on Colombian investment in Central America is to analyze the business strategies that have led to increased Colombian foreign direct investment (FDI) in Central American countries.
A company can make no mistakes at all, but if its strategy and way of thinking are not able to adapt quickly to changes in the environment, it will inevitably disappear.
EDITORIAL
Nokia's CEO said: "We didnt do anything wrong, but somehow, we lost"
Nokia was the shrimp that was ahead of the pack... but it has become the best example of the old latin adage "a shrimp that falls asleep, gets carried away by the current." The failure of the technology giant was not due to technical mistakes made by company leaders, but the inability and perhaps unwillingness to change and understand that the environment they had to compete in had changed.
Eleven clusters are operating in Costa Rica, in sectors ranging from digital animation to flowers, food or agricultural products, seeking better operating and financial leverage.
Achieving greater access to credit, winning new customers and suppliers, discussing industry issues and possible solutions, more formalized operation or devising new strategies are part of the benefits of belonging to a cluster, a policy that is actively supported by the Costa Rica Foreign Trade Promotion Office (PROCOMER).
The more financially educated people are, more rational their economic and political decisions are, creating greater economic development and better quality of life in society.
EDITORIAL
This fact is clearly indicated by the results of a comprehensive study by McGraw Hill Financial on financial literacy, which is defined as the ability to understand how the money in the world works, what to do to earn it, and how it is administered.
A study has been made comparing the policies and incentives used to attract foreign investment and its impact on the economic development in each country.
From the executive summary of the study "Productive development policies to export and attract investment: a comparison of El Salvador and Costa Rica" produced by the Salvadoran Development Foundation (FUSADES):
Employers in the region are complaining about a lack of long-term development policies, and are asking for Government transparency, effectiveness and legal certainty, so that they can continue investing in the region.
During a meeting between businessmen and government called 'Expanding opportunities: promoting the private sector and job creation', entrepreneurs from different sectors shared their concerns and views on the investment climate in the region.
Representatives from the Competitiveness Initiative have submitted diagnoses and proposed solutions in education and business, infrastructure, procedures and access to markets and investments.
From a statement issued by the Competitiveness Initiative:
There is widespread concern about the observed low growth in the economy, which is manifested in a limited number of formal jobs, and a weak use of global opportunities.
Every year Switzerland sells about 50 thousand tons for which it receives $1.98 billion, earning a return on its coffee exports which is 5 times higher than in Germany.
An article on Msn.com reports on a not well known phenomenon practiced in Central America: the value of generating and accumulating knowledge and practicing innovation is much higher than owning and exploiting natural resources.
The waiting times for export products passing through customs offices in El Salvador increased from 2.8 days on average in 2011 to 4.7 days in 2013.
From a statement by Competitividadelsalvador.org:
The Business Competitiveness Survey (ECE) was conducted for the third time, in which employers provide information on obstacles and opportunities in ten areas critical to compete globally.
Greater integration between the State and the business sector is essential to exploit the opportunities offered by the region's investment projects.
During the World Business Forum Latin America 2014, held in Guatemala, entrepreneurs from different sectors pointed to the need for increased connectivity and commercial traffic between South America and Central America, in order to take better advantage of investment opportunities in each of the countries, through the use of public-private partnerships.
The private sector has proposed creating development zones with specific tax laws and tax free status in order to encourage local and foreign investment.
Following a concept created by economist Paul Romer and implemented in cities such as Hong Kong, and proposed in Honduras through the passage of a law last year, Salvadoran businessmen are proposing 29 law reforms in order to create development zones which have their own laws to enhance the competitiveness of companies located within them.
In order to solve problems entrepreneurs are seeking new ways of behaving, while most managers use logical thinking, directly related to established processes.
An article in Nacion.com reports that "... A research team of neuroscientists and academics from business schools in Italy and Switzerland have used an fMRI to capture images of the brains of entrepreneurs and managers who performed a task consisting in the search for alternative approaches to solve a problem, something scholars call 'exploration'. "