Investigating obstacles and enabling located firms in special economic Essay

Investigating obstacles and enabling located firms in special economic zones - Essay representativeThe special economic zone (SEZ) is another term used to refer to the formation of modern economic region. In line with this, governments worldwide normally put forward the development of SEZs in order to increase the chances wherein the country could experience increase not only in intra-regional and international trade activities but also the inflows of distant investments and creation of new job opportunities for the local anesthetic people (Wang, 2013 Brautigam and Xiaoyang, 2011). In the process of improving transportation infrastructure that connects the SEZs to the local market (Baissac, 2011, pp. 24 25), ports, and airports, more local and remote investors will become more attracted in investing in SEZs.Companies that operate in SEZs are normally given special business incentives the like duty-free imports, tax holidays, the benefit of having a more simplified procedure when dealing with the customs (FIAS, 2008, p. 2) or reduction in import taxes for foreign-based companies (Gunawardana and Sisombat, 2008). Since each lawsuit of SEZ is being governed by a different set of policies and rules particularly when it comes to taxation and conditions on investment and international trading (Dobrogonov and Farole, 2012, p. 5 Baissac, 2011, p. 23), this study aims to focus on analyzing the case of Savan-Seno Special Economic Zone (SASEZ) in SavannakhetProvince in Laos. As such, the rationale for zone development will be tackled in lucubrate followed by discussing the geographical, economical, and international trade factors that can affect the performance of SASEZ.In relation to geographical, economical, and international trades, this study aims to identify the determinants of FDI, participation strategies used by foreign investors, and the common challenges these firms would normally encounter in SASEZ.The main objective of this study is to identify all geog raphic, economic, and international trade factors that