Singapore belongs to the ” New Industrialized States (NIS) that underwent rapid industrialization. During this decades, Singapore manage to attract technology transfer and foreign direct investment from the developed world.
Singapore has a diverse, well-established and economically manufacturing sector that contributes to 28% to GDP and 21.6% of the workforce.
Superior location and well-trained and educated labor force. This result in a rapid expansion of other multinational corporations established assembly plants in Singapore, such as from electronic, petroleum manufacturing elements.
This movement of capital goods to the global market, make Singapore vulnerable to the downturns of the international markets.
Example: 1997 Asian Financial crisis
Tourism is an important sector of Singapore economy, providing employment for 118,900 people. Singapore taps on its prime location for stopovers to increase international air travel. To boost its competitiveness, Singapore also sign visa-free agreements with most Asia, Europe, and Americas.
Financial and Business service sector
Financial and Business service sector provides employment for 226,000 people, that lies in the traditional foundations of banking, investments, insurance and foreign exchange. Singapore is currently the fourth-largest global exchange center
Retail sector provides excellent services to the local populations and local population and foreign tourists. Singapore has large state of the art supermarkets, complemented by retail stores, where consumers can buy different products. Singapore is a major shopping destination.