Relationship between provincial competitiveness index and development of provincial enterprises

Abstract

Employing data for the years 2006–2011, the research analyzes the relationship between Provincial Competitiveness Index (PCI) ranking and development of enterprises in certain Vietnamese provinces. The results show that the data do not demonstrate the relationship between the PCI ranking and indexes of development of enterprises. This implies that great caution should be taken when interpreting the PCI ranking of a province, especially in treating the PCI as a driving force for the provincial economic development.