Transnational state entrepreneurship? Assessing Singapore's Suzhou Industrial Park project (1994–2004)

ABSTRACT

Abstract:  This paper examines an exemplary case of 'transnational state entrepreneurship', which was the Singapore government's Suzhou Industrial Park project. Between 1994 and 2001, the Singapore government was directly involved in the development and management of the project, hoping to generate an income that could eventually supplement Singapore's domestic economy. The strategy involved servicing the industrial needs of multinational corporations seeking to locate operations in China. This paper finds that transnational state entrepreneurship was less than successful, as the Singapore government's objectives were only partially achieved. The project's biggest problems were its lack of profitability and, ironically, the state's presence. This led to the Singapore government disengaging from the project in 2001. The paper concludes that it would be very difficult for a state, which is essentially a political entity, to be as efficient as a business entity, especially in an international environment.