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The phenomenon of economic integration in developing countries is described by the influential "comprehensive development strategy theory". It was systematically formulated by Boris Sezerki in his book The Challenges of South-South Cooperation.
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1. Break through the research methods of the previous economic integration theory, abandon the use of freedom and protection theory to study the economic integration process of developing countries, advocate the use of interdisciplinary research methods closely related to development theory, and regard integration as the development strategy of developing countries, not limited to market unity.
2. Fully consider the domestic and foreign constraints in the process of economic integration of developing countries, and regard integration as a means of collective self-reliance for developing countries and a factor for transforming the world economy in accordance with the new order.
3. When formulating economic integration policies, it is advocated that political and economic factors should be comprehensively considered, and effective intervention must be made in the fields of production and infrastructure, which are the basis of economic integration.
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1) Principles of the theory of integrated development strategy.
1 Economic-integration is a development strategy for developing countries that is not limited to the harmonization of markets and does not have to seek the highest possible alternative forms of integration in all cases.
2 Polarization is a feature that accompanies integration and can only be avoided through strong common institutions and political will to formulate systematic policies.
3 Given that the private sector is one of the major contributors to the failure of developing countries in the integration process, effective anticipation is essential for the success of economic integration.
4 The economic-integration of developing countries is an essential factor in the gradual transformation of the world economy by the hands of collective self-reliance.
2) The main factors of regional economic integration in developing countries.
1 Economic Factors:
1) the level of economic development within the region and the differences between countries;
2) the degree of economic interdependence between countries;
3) the optimal utilization of the new economic zone, especially the complementarity of resources and factors of production and its overall development potential;
4) the nature of economic relations with third countries, the position of foreign economic entities (e.g. transnational corporations) in a particular economic group;
5) Certain conditions in a particular group – the applicability of the integrated policy model and type selected by the factory.
2 Political and Institutional Factors:
1) differences in socio-political systems between countries;
2) the state and stability of the "political will" that is conducive to the realization of integration among countries;
3) the group's model of external political relations;
and 4) the efficiency of the common institutions and their possibilities for creative activities in the interest of the common interests of the group.
3) Issues that should be paid attention to in formulating economic integration policies.
1. The development strategies and economic policies of member countries should be conducive to economic-integrated development;
2 Production and infrastructure are the basic areas of economic integration, and freedom within the group should only be complementary to this late process;
3 Economic integration should include as many economic and social activities as possible when circumstances permit;
4 Particular attention should be paid to strengthening interdependence and reducing disparities in levels of development through regional industrialization;
5. Coordination of the policies of member countries on the use of FDI through consultations;
6 Preferential treatment for less developed member countries in order to mitigate the impact of integration on the polarization of member countries.
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The phenomenon of economic integration in developing countries is expounded by the influential "comprehensive development strategy theory". It was written by Boris Sezerki in the book South-South.
The Challenges of Cooperation". The theory of integrated development strategy holds that economic integration is a development strategy for developing countries, which requires strong common institutions and political will to protect the advantages of less developed countries.
Therefore, effective intervention is very important for economic integration, and the economic integration of developing countries is an essential factor in transforming the world economic pattern and establishing a new international economic order.
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Enterprises found that the competitive strategy that was once their magic weapon no longer worked, although everyone tried to establish a competitive advantage to defeat competitors and achieve rapid development, but contrary to good intentions, the business family in the field fought to the death, everyone fell into a strange circle of no profit and business stagnation, and finally there was a pattern of double defeat and multiple defeats.
In view of the drawbacks of the traditional competitive strategy theory, Professor Tang Dongfang, a well-known strategic expert in China, put forward a systematic development strategic framework in his book "Strategic Choice: Framework, Method, Case", that is, vision, strategic objectives, business strategy and functional strategy, which respectively solve the development direction, development speed and quality, development point and development ability of the enterprise, and systematically solve the development problems of the enterprise through the solution of development direction, development speed and quality, development point and development ability. This development strategy framework is known as the Oriental Strategic Framework, which creates the theory of enterprise development strategy, subverts the traditional theory of competitive strategy, and makes the enterprise strategy truly move towards the service of solving the problem of enterprise development.
The theory of development strategy shifts the focus of strategic attention from competition to development, subverts the traditional theory of competitive strategy, and makes the enterprise strategy truly move towards serving the solution of enterprise development problems.
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Most companies don't operate in just one industry, one type of business. Porter's theory of competitive strategy reveals the fundamentals of competitive advantage. However, for large groups and holding companies that operate multiple businesses, spanning different industries and different countries, the basic competitive strategy has its limitations.
This requires a more integrated strategy guidance technique to help companies develop long-term strategic planning.
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Integrated strategic theory does not have a well-developed and self-contained theoretical framework like Porter's competitive strategy. It comes from the summary and theoretical sublimation of practical corporate strategy by many strategic experts. The formulation of a comprehensive strategy also has its fixed steps, first of all, to establish the company's purpose, then to analyze the company's external environment and internal environment, and to choose a strategy that matches the above conditions according to the external opportunities and threats of the company and the internal strengths and weaknesses of the company.
Finally, the strategies were screened and evaluated to obtain the most reasonable and attractive strategies.
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