The document describes three types of economies: factor-driven economies rely on natural resources and unskilled labor to produce basic goods; efficiency-driven economies focus on quality and efficiency for a competitive advantage and include countries like Brazil and Russia; innovation-driven economies are the most developed and gain their competitive advantage through new technologies and skills in innovation applied to diverse products, exemplified by the US, UK, and Japan.
The document describes three types of economies: factor-driven economies rely on natural resources and unskilled labor to produce basic goods; efficiency-driven economies focus on quality and efficiency for a competitive advantage and include countries like Brazil and Russia; innovation-driven economies are the most developed and gain their competitive advantage through new technologies and skills in innovation applied to diverse products, exemplified by the US, UK, and Japan.
The document describes three types of economies: factor-driven economies rely on natural resources and unskilled labor to produce basic goods; efficiency-driven economies focus on quality and efficiency for a competitive advantage and include countries like Brazil and Russia; innovation-driven economies are the most developed and gain their competitive advantage through new technologies and skills in innovation applied to diverse products, exemplified by the US, UK, and Japan.
It is often the first stage in the development where the
competitive advantage is based on unqualified workers, without the competencies and the use of natural resources, and its goal is often the basic products to meet the basic needs that each person needs. Developing countries such as Egypt, Palestine and Algeria are famous for this type.
:Efficiency driven economy
This type is more advanced and efficient than the type
before it. As it depends on the highest efficiency and quality of products, so that efficiency is the main source of competitive advantage. It is famous for its medium-developed countries such as Brazil, Russia and Tunisia.
Innovation driven economy
As this type is, the most developed, methods and approaches of innovation was used in the production process of various products, making it the most competitive through the advantage and quality of the product. Technology and innovative skills were invested in this area. Such as USA, the United Kingdom, and Japan