Competitive advantages in the new economy: the case of Moldova

Abstract

This article puts in perspective competitive advantages as key prerequisite to qualitative economic growth. It explains competitive advantages as a complex interconnection of various socio-economic and geo-political factors, complementing and enhancing each other, capitalizing on opportunities especially in periods of upward economic cycles, but also supporting long-term sustainable economic development overtime. This topic is prominent as ever for the developing nations in the world of booming, yet unpredictable, economy dominated by the opportunities of the technological revolution. The purpose of the study is exploration of the case of the Republic of Moldova and outlining the importance of competitive advantage in formulating national priorities for growth. Moldova is as a ‘new economy’ with a few challenges but also opportunities for qualitative, innovation-driven growth. Moldova is a case study that provides many interesting insights to economies with similar conditions, which contributes to the actuality of the study in current economic conditions. The study is using a qualitative approach to exploration of Moldova’s key competitive advantages and highlights the country’s geo-political situation, it’s openness to trade and international environments, as well as its human capital, which obviously plays a crucial role in creating growth from within. It concludes on a few suggestions of direction to policies with regards to national priorities towards 2030. Moldova is an economy of many facets, and current priorities defined to support economic growth in Moldova must be addresses through the prism of own competitive factors, essential for natural and organic growth. JEL: 011, 012, 038.