ABSTRACT
Chapter 2 paints the broader South East Asian SME context in terms of productivity and innovation (P&I). It begins with an analysis of disaggregated time series data on economic growth and role of productivity and innovation in driving growth and development. It provides detailed statistical data on the region and beyond with a view to examining divergent responses to common pressures. Inevitably, this comparison triggers an argument about policy imperatives in the different countries; what seems to work and what does not. The chapter content allows the reader to compare the performance of countries with each other and allows them to question the integrity and effectiveness of a country’s policy. In addition, it introduces many Western readers to the lesser known economies of South East Asia and their relative performances. In particular, the reader is introduced to perhaps the most dynamic of these economies – Singapore. The narrative shows how this city-state has managed P&I in the SME sector and identifies the current problems that it faces.
