MBA Program Office

Southeast Asia GIP

• Bangkok
• Ho Chi Minh City
• Kuala Lumpur
• Singapore

The four-week immersion experience in Southeast Asia is designed to expose students to a region that is roaring back from economic crisis and reclaiming its spot as an important global market. Three key issues will be covered by this program: 1) the cyclical economic rebound of the region, 2) the investment climate and domestic reforms and 3) the “China Factor.” Unexpectedly robust growth, combined with a developed-world recovery has led to rising commodity demands, helping the region rebound economically and increasing portfolio flows. Improved domestic investment is providing a better climate for economic reforms critical for long-term growth. A booming China is helping drive Asian exports, creating positive changes in the pattern of regional integration and appropriate exchange rates.

Other themes to be studied include:

• Government Regulation of Commercial Activity
• Establishment of Capital Development Structures
• Market-Entry Strategies
• Establishment and Regulation of Joint Ventures
• International Trade
• Singapore as a regional corporate HQ

BANGKOK

The program begins in one of the most vibrant cities in South East Asia and home to hospitable people, glittering temples, and colorful markets. In the 25 years up to 1998 the Thai economy was transformed from an agriculture-based economy into one of the most diverse markets in South East Asia. Active promotion of foreign investment led to the development of an industrial sector, and an export oriented, labor-intensive manufacturing sector. In the 1990s the fastest growth was seen in the high technology sector, such as computer accessories, and motor vehicle parts. There has been a dramatic turn around in Thailand since the South East Asian economic crisis hit in 1997. Thailand has won many plaudits from Western observers for the way it has handled its economy in the last three years, which have seen major steps taken towards recovery. In addition to visits to leading Thai companies, the program will kick off with a series of events at Sasin Graduate Institute of Business, one of Wharton’s exchange program partners.

HO CHI MINH CITY

Vietnam is a country with rich natural resources and a well educated population of 80.4 million. Since 1986 the ruling Communist Party of Vietnam has committed itself to economic reform, or "Doi Moi" (New Changes), a move from a centrally-planned economy to a multi-sectoral one based on open market principles. The government has abolished price control, devalued the Vietnamese currency, legalized private ownership, withdrawn support from a number of state enterprises, opened up the country for foreign investment and has begun to introduce a modern legal framework and pursued monetary and fiscal policies. These reforms were introduced in an attempt to double Vietnam's GDP and to becoming an industrialized nation by 2020. The pace of reforms has been slow, but must be looked at in context that Vietnam has only been open to the west for less than 20 years. Its growth has therefore been remarkable.

KUALA LUMPUR

Malaysia, a middle-income country, transformed its economy through the late 1990s from relying primarily on the export of raw materials into one of the world's leading trading nations in electronics and information technology (IT) goods. This success has been attributed to a development model based on private sector led growth with social equity. Today, utilizing its diverse resource base (energy, raw materials, manufactured goods and information technology products) coupled with healthy foreign exchange reserves and relatively small external debt, Malaysia continues its economic success via the promotion of both domestic and foreign-based growth engines to help the country achieve its goal of becoming a "developed" nation by the year 2020.

SINGAPORE

Since its independence in 1965, Singapore has become one of the world's most prosperous countries, with per capita GDP equaling that of Western Europe. It is highly ranked for its economic competitiveness, and was #1 in the world from 1997 to 1999. Singapore's strategic location has helped it to become one of the most important shipping centers in Asia. The Port of Singapore is the world's busiest in terms of tonnage. Singapore is a leader in manufacturing of computer components, petroleum refining and business services. Singapore has made an impressive recovery after the Asian financial crisis of 1997-98. The government is currently restructuring the economy by promoting a "knowledge-based" economy and by opening up protected sectors such as financial services.

Participants will gather on the last day of the program for a synthesis session that will serve to provide a basis for the written work that will be due in the fall semester.

For information, contact the MBA Program Office, 215.898.7604, mbaprogram@wharton.upenn.edu.