Summary of the “Global Urban Competitiveness Report 2007-2008”
Summary of the “Global Urban Competitiveness Report 2007-2008”
Published: 08:50:16 Jan 15, 2014
The Global Urban Competitiveness Report 2007-2008 (hereinafter referred to as the report), led by Dr. Ni Pengfei of CASS and Professor Peter Carl Kresl of Bucknell University, and written together with multi-country research scholars, was published on the morning of the Fifth International Forum on Urban Competitiveness on July 27, 2008. The report used nine indicators, i.e., per capita GDP, per land GDP, economic growth rate, employment rate, GDP scale, labor productivity, the numbers of distribution of multinational companies, the number of patent applications, and the price advantage, to carry out measurement on the competitiveness of 500 cities worldwide.
Table 1. The Ranking of the Nine Indicators of the Top Ten Cities in Comprehensive Competitiveness
City | Nominal exchange rate/ PPP exchange rate | Total GDP | Per capita GDP | Per land GDP | Growth rate | Employment | Patent | Labor productivity | Distribution of multinational companies | Comprehensive competitiveness |
New York | 470 | 4 | 6 | 12 | 332 | 254 | 4 | 1 | 2 | 1 |
London | 474 | 90 | 19 | 38 | 337 | 322 | 127 | 16 | 145 | 2 |
Tokyo | 479 | 196 | 131 | 180 | 356 | 338 | 167 | 135 | 240 | 3 |
Paris | 471 | 24 | 128 | 7 | 368 | 314 | 65 | 180 | 107 | 4 |
Washington | 475 | 105 | 4 | 92 | 320 | 145 | 110 | 22 | 95 | 5 |
Los Angeles | 472 | 33 | 63 | 76 | 355 | 163 | 128 | 95 | 160 | 6 |
Stockholm | 476 | 153 | 26 | 19 | 381 | 401 | 77 | 62 | 138 | 7 |
Singapore | 480 | 202 | 17 | 9 | 316 | 78 | 104 | 90 | 221 | 8 |
San Francisco | 478 | 195 | 8 | 61 | 354 | 108 | 188 | 38 | 197 | 9 |
Chicago | 484 | 261 | 75 | 32 | 322 | 129 | 119 | 109 | 235 | 10 |
Through the study, it could be seen that the top 20 cities of comprehensive global competitiveness were: New York, London, Tokyo, Paris, Washington, Los Angeles, Stockholm, Singapore, San Francisco, Chicago, Toronto, Seoul, Boston, San Diego, Auckland, Helsinki, Madrid, Vienna, Philadelphia, and Houston. Four Chinese cities, i.e. Hong Kong, Shanghai, Shenzhen and Beijing ranked 26, 41, 64, and 66 respectively. The comprehensive centers and technological centers in North America and Europe were the strongest in competitiveness. Asian, particularly Chinese cities grew fastest in urban competitiveness. The top 20 cities with fastest-growing economic growth were mostly Chinese cities.
The report used cluster analysis method to analyze the nine indicators in 500 cities worldwide and found out:
Some of the world’s top cities in the core economic area were becoming more and more powerful, with the gap between them and other cities growing, while other developed cities in said core area were slowing down or even declining in urban development. Some cities in the relative edge zones caught up with rapid rise. Some economic backward cities in the edge zones further declined, with some caught up with rapid rise. This showed that in the context of global competition, the relationship between global cities had become more uncertain. Every thing was possible in every urban area in the future. Only when they complied with the law and be aggressive can they avoid failure and continue the success.
The detailed comparative study of 500 cities worldwide also found out that:
The “market structure” of the Global Urban Competitiveness presented an “oligopoly” pattern, i.e., the 10 cities that had the largest economies accounted for 27% of the total GDP in the 500 cities; the distribution of global urban income level was unequal, which was high in Europe and America, low in Africa, and high along the coastal area and low in inland.
The change of global economic decision-making center was taking place. The top ten cities in the distribution of multinational companies were: New York, London, Hong Kong, Paris, Tokyo, Singapore, Beijing, Shanghai, Moscow, and Sydney.
The developed cities highly monopolized the ranking, and some cities from emerging industrialized countries suddenly rose. The top ten cities in the number of patent applications that were of internationally recognition were Tokyo, Osaka, Paris, London, New York, Seoul, Stuttgart, San Diego, San Jose, and Stockholm. China’s Shenzhen, Shanghai, Beijing ranked in the front pack in this category, which were 33, 47, and 56 respectively.
Table 2. The Top 20 Cities in the Indicators and the Overall Competitiveness
Ranking | Nominal exchange rate / PPP exchange rate | Total GDP | Per capital GDP | Per Land GDP | Employment | Patent applications | Labor Productivity | Distribution of multinational companies | GDP Growth rate in 5 years | Comprehensive competitiveness |
1 | Yangon | Tokyo | Geneva | New York | Moscow | Tokyo | New York | New York | Baotou | New York |
2 | Harare | Paris | New York | Geneva | Tijuana | Osaka | New York | London | Hohhot | London |
3 | Addis Ababa | New York | Auckland | Victoria | Baku | Paris | Detroit | Hong Kong | Yantai | Tokyo |
4 | Phnom Penh | London | Edinburgh | Macao | Acapulco | London | New Orleans | Paris | Dongguan | Paris |
5 | Pyongyang | Mexico | Washington | Lyon | Quanzhou | New York | Philadelphia | Tokyo | Baku | Washington |
6 | Accra | Los Angeles | London | San Francisco | Auckland | Seoul | Boston | Singapore | Zhongshan | Los Angeles |
7 | Kinshasa | Hong Kong | Oslo | Manchester | Kuwait | Stuttgart | Cleveland | Beijing | Huizhou | Stockholm |
8 | Ho Chi Ming City | Seoul | Belfast | San Juan | Minsk | San Diego | Oslo | Shanghai | Weifang | Singapore |
9 | Hanoi | Sydney | Basel | Nottingham | Shenzhen | San Jose | San Jose | Moscow | Wuhu | San Francisco |
10 | Kampala | Melbourne | Zurich | Kawasaki | Huizhou | Stockholm | Baltimore | Sydney | Manaus | Chicago |
11 | Conakry | Chicago | Helsinki | Seoul | Weihai | Wellington | Stockholm | Milan | Weihai | Toronto |
12 | Delhi | Shanghai | Paris | London | Dushanbe | Houston | Helsinki | Madrid | Hefei | Seoul |
13 | Mumbai | Yokohama | Boston | Milan | Victoria | Yokohama | Auckland | Frankfurt | Dora | Boston |
14 | Calcutta | Singapore | San Jose | Nagoya | Beijing | Washington | Buffalo | Brussels | Rizhao | San Diego |
15 | Bangalore | Berlin | San Francisco | Tokyo | St. Louis | Palo Alto | Houston | Los Angeles | Nanchang | Auckland |
16 | Ahmedabad | Toronto | Stockholm | Boston | St. Petersburg | Kawasaki | Glasgow | Toronto | Veracruz | Helsinki |
17 | Lucknow | Madrid | Nottingham | Yokohama | Dongguan | San Francisco | Chicago | Taipei | Omsk | Madrid |
18 | Hyderabad | Houston | Bergen | Wellington | Merida | Chiba | Nice | Seoul | Zibo | Vienna |
19 | Jaipur | Osaka | Glasgow | Bristol | Morelia | Berlin | Atlanta | Warsaw | Shenzhen | Philadelphia |
20 | Chennai | Rome | Copenhagen | Honolulu | Arlington | Kyoto | Marseille | Washington | Suzhou | Houston |
The report used 103 indicators to analyze the component elements of the global competitiveness in 150 cities in seven aspects, i.e., the corporate, industrial structure, human resources, hardware business environment, software business environment, living environment and global connections and found out that:
The top 20 cities in corporate competitiveness were: Seattle, Washington, Zurich, San Francisco, Berlin, Philadelphia, Dallas, Hague, San Jose, Boston, Helsinki, Tokyo, Houston, Osaka, Munich, Kyoto, San Diego, Minneapolis, Los Angeles, and Copenhagen.
The top 20 cities in industrial structure competitiveness were: Tokyo, New York, London, Paris, Hong Kong, Chicago, Toronto, Taipei, Zurich, Singapore, Atlanta, Madrid, Sydney, Washington, Mumbai, Seoul, Stockholm, Brussels, Dublin, and Amsterdam.
The top 20 cities in human resources competitiveness were: Paris, Tokyo, Sao Paulo, Singapore, Prague, Bogota, Mexico City, Washington, Seoul, Hague, Moscow, Helsinki, Madrid, Liverpool, Stockholm, Beijing, San Jose, London, Rio de Janeiro, and Warsaw.
The top 20 cities in hardware business environment competitiveness were: Tokyo, New York, Boston, San Francisco, Chicago, London, Washington DC, Philadelphia, San Jose, Seattle, Atlanta, Los Angeles, Houston, Yokohama, Kawasaki, St. Louis, Dallas, San Diego, Osaka, and Kyoto.
The top 20 cities in software business environment competitiveness were: Singapore, Chicago, Hong Kong, Boston, San Francisco, Los Angeles, Wellington, Geneva, Seattle, Phoenix, Copenhagen, New York, Zurich, Las Vegas, San Jose, Auckland, Helsinki, Stockholm, Sydney, and Dublin.
The top 20 cities in living environment competitiveness were: Paris, Sydney, Lisbon, Melbourne, Brisbane, Rome, Vienna, Milan, Athens, Auckland, Barcelona, Geneva, Brussels, Wellington, Munich, Las Vegas, Madrid, Sacramento, Frankfurt, and Budapest.
The top 20 cities in global contact competitiveness were: New York, London, Los Angeles, Paris, Singapore, Amsterdam, Rotterdam, Tokyo, Chicago, Boston, Dublin, Miami, Dubai, Shanghai, Hamburg, Philadelphia, Hong Kong, Barcelona, Athens, and Sydney.
The report used nonlinear fuzzy curve method and linear regression method to analyze the factors that affected the urban competitiveness and found out that: in corporate, the most important thing was business management; in industrial structure, the most critical thing was the industry cluster; in human resources, the most basic thing was education; in hardware business environment, the most fundamental thing was scientific and technological innovation; in software business environment, the most significant thing was strategic orientation; in living environment, the top priority was the environmental quality; in global contact, the most direct way was the contact with the enterprises.
The report selected the world’s most successful ten cities as case studies based on their innovation, sustainability, and the degree of usage for reference. The ten cities were: London, Seoul, Singapore, Toronto, Vienna, Helsinki, Phoenix, Dubai, Shenzhen, and Yangzhou.
The report found out that in order to cope with the fierce global competition, the world’s most advanced cities were making ongoing efforts of the following: 1, drafting development strategies and implementing the plan and guidance; 2, improving the business environment, and supporting SMEs; 3, promoting industrial upgrading, and realizing urban transformation; 4, promoting lifelong education, and recruitment of talented people worldwide; 5, paying attention to environmental protection, and the pursuit of sustainable development; 6, shaping the brand of the city, and carrying out urban marketing; 7, implementing of enterprise management, building the service-oriented government; 8, shaping the personality of the city, and cultivating multiculturalism.
The report stated that nowadays, nearly half the world’s population lived in cities. Therefore, from a strategic level, the central government should pay high attention to the sustainable development of urban economy, society, environment, and culture to enhance the urban competitiveness, and should be committed to building the city as the finest homes for human.
The report called for governments to correctly handle the following 10 important and complex relations:
Expand the local autonomy, and make its financial right and powers be equivalent; the government should actively create the environment for enterprise development, and actively attract the market to participate in the government’s public affairs; positively take advantage of the world, while adhere to the local characteristics; implement lifelong education; allow the residents to become the power of industrial upgrading, and let them share the results of the upgrading; promote national innovation and entrepreneurship, to achieve win-win situation between the immigrants and the local population; make overall arrangements to guide an integrated and balanced development between the economy and the society; in the relationship between the city and the region, the government should promote the integration in order to stimulate the motivation for competition, and to share the external economic development by cooperation; implement refocusing strategy to development multiple industries and functions rather than one; protect cultural and historical heritage, and promote sustainable development; adhere to the co-construction of business environment and living environment to build a paradise for entrepreneurship and livable home.