PROVINCIAL PROFILE
Province name: Quang Nam Year of PCI:
Rank: 25
Score: 61.08
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 PROVINCIAL PCI DIAGNOSTICS

This section provides information on a particular province's performance in the PCI. Firm survey results on particular indicators are also presented so as to enable better understanding of firm perceptions of the regulatory environment. Please go to Benchmarking should you wish to benchmark your select province with any other province(s) or over a range of years.

 PROVINCIAL RANKING BY PCI SCORES IN THE CLUSTER

The select province is compared against other provinces in the regional cluster, and also with national scores.

 
  STAR GRAPHS BY SUB-INDEX

These graphs illustrate the performance of the province in each sub-index in comparison with the national max, min and median values. In the following graphs, sub-indices are denoted in the numeric format (e.g. 1, 2, 3, etc.) for convenience. Full legends of the denotations are provided in the Data Table immediately underneath the graphs.

How to interprete the graphs
Left-hand side graph (Province versus Max and Min Values): Each inward line represents a sub-index and is scaled on a 10-point basis (10 = outer-most end-points) to measure the performance of the select province in a particular sub-index.

The green- and brown-shaded areas represent the national maximum and minimum values in each individual sub-index, respectively. The orange area provides us a snapshot of the select province's performance in all sub-indices. A relatively strong performing province would have an area that expands as large as the green shape. A relatively poor performing province would have an area that approaches the size of the brown shape.

In short, this graph tells us how a province performs relatively to the best or worst performer in a particular sub-index. And in order to enhance its local business environment, each province should target to enlarge its area to be as close to the perfect shape as possible.

Right-hand side graph (Province versus Median Values): In this case, the green area represents the national median values. Hence, this graph tells us how a province scores relative to a province which ranks in the middle of the national sample in a particular sub-index.

     
2009_Compared_With_Max_And_Min_PCI_2   2009_Compared_With_Median_PCI_2
Versus Max and Min   Versus Median

Below is the ranking of the province by specific sub-index in comparison to the rest of the country. The vertical axis denotes sub-indices. The horizontal axis is scaled based on the number of provinces included in the PCI rankings (e.g. from 1 to 42 and 64 for the years of 2005 and 2006 respectively). The length of a bar reflects the relative ranking of a particular province. The longer the bar is, the higher the province has been ranked in comparison to the rest of the country.

 
Low High
2009_Low_High_2
Ranking by Sub-Index
 DATA TABLE
 
Sub-Index Quang Nam Min Median Max
1
  Entry Costs
8.96 6.53 8.36 9.52
2
  Access to Land
6.34 4.28 6.48 8.84
3
  Transparency and Access to Information
5.63 2.92 6.10 8.85
4
  Time Costs of Regulatory Compliance
6.85 3.68 6.58 8.93
5
  Informal Charges
6.88 4.63 6.08 8.15
6
  Proactivity of Provincial Leadership
5.57 1.87 5.04 9.39
7
  Business Support Service
4.59 2.84 5.18 8.55
8
  Labor Training
4.64 2.82 4.86 7.69
9
  Legal Institutions
6.78 3.51 5.36 7.34
10
  Infrastructure
5.93 3.47 5.60 7.26
 
 PROVINCIAL RANKING BY SUB-INDEX IN THE CLUSTER

These graphs indicate the provincial rankings by specific sub-index in comparison to the rest of the cluster. The horizontal axis is scaled on a 10-point basis to represent the scoring of each sub-index.

 
 
 INDICATOR DETAILS
This section provides detailed information on the firm suvey results and the hard data, which have been used to form indicators/sub-indicators for calculating sub-indices.
 
Entry Costs
Indicator Value Min Median Max

Percentage of firms waiting more than three months to complete all steps necessary to start operations.

0.00 0.00 0.04 0.21

Length of business registration in days (Median).

10.00 6.50 10.00 15.00

Length of business re-registration in days (Median).

7.00 3.00 7.00 10.00

Number of licenses and permits necessary to start operations (Median).

1.00 0.00 1.00 3.00

Wait for Land Use Rights Certificate (Median).

30.00 15.00 32.50 180.00
Access to Land
Indicator Value Min Median Max

Percentage of firms in possession of an LURC.

81.82 46.82 73.68 94.51

Total land in province with official LURCs.

41.16 23.53 77.89 98.56

Firm rating of expropriation risk (1: Very High to 5: Very Low);

2.71 2.11 2.55 3.05

If land expropriated, firms receive fair compensation (% Always or Usually).

46.08 16.90 40.54 55.17

Changes in government land prices reflect changes in market prices (% Agree)

70.91 53.33 69.75 81.11

Firm checked no land problems after list of possible problems

26.72 11.02 30.72 52.32
Transparency and Access to Information
Indicator Value Min Median Max

Do Business Associations play an important role in advising and countering provincial polices (% Important or Very Important)**

38.03 3.00 35.23 57.32

Openness of provincial webpage score

14.00 0.00 15.00 20.00

Predictability of implementation of central laws at the provincial level (% Usually or Always)

6.96 1.00 8.39 22.22

Negotiations with tax authority are an essential part of doing business (% Agree or Strongly Agree)

41.82 29.69 41.32 62.40

Relationship important or very important to get access to provincial documents (% Important or Very Important)

63.21 45.57 61.26 78.26

Transparency of legal decisions and decrees

3.80 3.33 3.89 4.54

Transparency of planning documents.

3.10 2.69 3.16 3.97
Time Costs of Regulatory Compliance
Indicator Value Min Median Max

Median number of inspections (all agencies)

1.00 1.00 1.00 2.00

Median tax inspection hours

3.00 1.00 5.00 40.00

Government officials have become more effective under PAR (% Yes)

43.51 28.68 44.09 58.26

Trip to obtain stamps and signatures reduced under PAR (% Yes)

31.30 17.69 30.23 45.95

Paperwork reduced under PAR (% Yes)

45.80 25.20 47.89 63.16

Fees reduced under PAR (% Yes)

22.14 11.38 24.18 34.04

Percentage of firms spending over 10 percent of their time dealing with bureaucracy or bureaucratic regulations.

18.49 7.27 15.38 30.36
Informal Charges
Indicator Value Min Median Max

Do firms pay commissions on government contracts? (Yes)

0.37 0.23 0.53 0.75

Informal charges delivered expected result (% Usually or Always)

0.41 0.35 0.52 0.69

Government uses compliance with local regulations to extract rents (% Strongly Agree or Agree)

0.44 0.24 0.50 0.72

Percentage of firms paying over 10 percent of their revenue in extra payments.

0.06 0.03 0.09 0.21

Percentage of firms that felt that enterprises in their line of business were subject to bribe requests from provincial authorities.

0.51 0.35 0.59 0.77
Proactivity of Provincial Leadership
Indicator Value Min Median Max

Provincial officials are creative and clever about working within the national law to solve the problems of private sector firms (% Strongly Agree or Agree).

45.28 23.94 42.47 72.59

Provincial officials are knowledgeable enough about present national law to find opportunities within existing law to solve firm problems (% Strongly Agree or Agree)

75.89 54.67 72.65 91.72

Perceived attitude of provincial government toward private sector (% Very Positive or Very Positive).

48.39 28.42 43.75 71.96
Business Support Service
Indicator Value Min Median Max

Firm has used business information search services (%)

57.27 29.90 60.36 79.81

Firm used private provider for above business information search services (%)

42.86 20.59 38.81 58.82

Firm intends to use above service provider again for business information search services (%)

12.21 5.56 16.44 24.81

Firm has used consulting on regulatory information (%)

54.46 30.34 62.50 77.42

Firm used private provider for consulting on regulatory information (%)

20.00 3.03 16.95 43.18

Firm intends to use above service provider again for consulting on regulatory information (%)

10.69 3.17 14.38 22.31

Firm has used business match making services(%)

55.79 25.29 53.40 73.12

Firm used private provider for business match making services (%)

45.28 25.00 44.12 70.21

Firm intends to use above service provider again for business match making services (%)

9.16 4.76 12.68 21.64

Firm has used trade promotion services (%)

40.22 19.48 45.45 72.62

Firm used private provider for trade promotion services (%)

16.22 4.44 18.00 38.42

Firm intends to use above service provider again for trade promotion services (%)

6.87 1.59 7.89 17.46

Firm has used technology related services (%)

45.83 25.33 50.00 73.49

Firm used private provider for technology related services (%)

45.45 17.65 38.60 65.85

Firm intends to use above service provider again for technology related services (%)

6.87 3.17 10.71 17.46
Labor Training
Indicator Value Min Median Max

Services provided by provincial agencies: general education (% Very Good or Good)

45.30 22.08 45.45 68.94

Services provided by provincial agencies: labor vocational training (% Very Good or Good)

31.67 10.26 27.12 48.51

Number of labor exchange bureaus per 100,000 citizens.

0.20 0.00 0.17 0.70

Secondary school graduates (% of workforce).

12.12 4.36 10.33 30.24

Firm has used labor exchange services (%)

32.58 15.65 33.33 47.13

Firm used private provider for above labor exchange services (%)

27.91 25.53 40.43 75.61

Firm intends to use above service provider again for labor exchange services (%)

15.22 8.51 27.78 42.86

Percentage of total business costs spent on labor training

2.00 0.00 1.00 2.50

Number of district-level vocational training centers per district in province

0.19 0.00 0.36 1.17

Percentage of vocational training institutes in province that are run by private entities

41.67 0.00 16.67 62.50

Vocational training school graduates/ untrained laborers

7.39 1.42 5.45 29.02

Total training institutions (Universities, Secondary Schools, Vocational Training Centers) per 100,000 citizens

0.03 0.01 0.02 0.06
Legal Institutions
Indicator Value Min Median Max

Legal system provided mechanism for firms to appeal officials corrupt behavior (% Always or Usually)

43.94 13.04 25.17 43.94

Firm confident that legal system will uphold property rights and contracts (%Strongly Agree or Agree)

75.76 45.63 62.32 75.76

Cases filed by by non-state entities at Provincial Economic Court per 100 firms.

11.30 0.00 3.05 35.64

Non-state claimants as a percentage of claimants at Provincial Economic Court.

74.14 0.00 72.41 100.00

Business used courts or other legal institutions to resolve disputes (%)

34.78 4.76 23.33 44.83

Median days to resolve court cases

6.00 1.00 6.00 19.71

Median formal and informal costs as a percentage of case

11.27 3.09 12.21 60.00
Infrastructure
Indicator Value Min Median Max

Number of industrial zones (IZ) and concentrations in province

1.00 0.00 1.00 23.00

Percentage of total IZ surface area that currently has occupants

68.92 0.00 30.84 93.55

Firm rating of provincial IZ quality (% very good or good)

25.25 0.00 24.07 79.17

Assessment of road quality (% good or very good)

29.37 7.95 28.80 80.82

Percentage of roads in province (national, provincial, or district) that are paved with asphalt

57.70 4.82 51.44 100.00

Percentage of roads in provincially managed roads that are paved with asphalt

87.68 3.00 69.65 100.00

Hours of telecommunications outages in the per month

3.00 0.00 3.00 7.90

Assessment of telecommunications quality (% good or very good)

56.69 35.59 67.50 84.93

Telephones (land and cellular) per 1000 citizens

0.15 0.04 0.19 2.08

Average cost per kilowat of energy in province (VND)

610.90 142.24 796.24 1231.13

Firms informed in advance about power cuts (% of time)

50.00 45.78 50.00 58.38

Respondent posesses e-mail address (%)

38.64 9.57 27.34 69.66
 
 PROVINCIAL PRIVATE SECTOR DEVELOPMENT SNAPSHOT

This section provides a snapshot of the private sector development in a particular province in comparison with other sectors such as the State and FDI sectors. The data used for these quick analyses are drawn from General Statistics Office (GSO) database with adjustment for inflation rates where relevant and necessary.All figures are expressed in percentage terms.

 MARKET ACCESS BY OWNERSHIP

Market access is measured by the total revenue generated by a sector in a particular province in comparison to the total revenue generated by all sectors of the province. GSO data has been used with adjustment for inflation rates.

 
  2000 2001 2002 2003 2004
Quang Nam 19.98 35.77 39.06 40.56 48.70
National 26.01 30.63 31.43 34.89 39.23
 
  2000 2001 2002 2003 2004
Quang Nam 75.93 59.95 58.44 56.65 47.61
National 52.21 48.49 48.52 43.35 37.34
  2000 2001 2002 2003 2004
Quang Nam 4.09 4.28 2.50 2.80 3.69
National 21.78 20.88 20.06 21.75 23.43
 EMPLOYMENT BY OWNERSHIP
 
  2000 2001 2002 2003 2004
Quang Nam 25.22 32.04 36.02 36.87 47.18
National 26.83 33.17 36.20 39.45 43.14
 
  2000 2001 2002 2003 2004
Quang Nam 0.43 0.62 0.88 0.98 1.30
National 1.10 1.49 1.94 2.33 2.82
 
  2000 2001 2002 2003 2004
Quang Nam 73.17 65.44 62.33 59.42 49.26
National 60.44 53.07 47.64 42.59 37.43
 
  2000 2001 2002 2003 2004
Quang Nam 1.26 1.27 1.53 1.58 1.35
National 2.49 2.39 2.55 2.52 2.45
 
  2000 2001 2002 2003 2004
Quang Nam 1.61 2.52 1.66 3.71 3.55
National 12.73 13.76 16.16 17.95 19.43
 
  2000 2001 2002 2003 2004
Quang Nam 0.03 0.05 0.04 0.10 0.10
National 0.52 0.62 0.86 1.06 1.27
  INVESTMENT BY OWNERSHIP

Investment by ownership related to the stock of investment in fixed assets and long term capital. Again, GSO data has been used with adjustment for inflation rates.

 
  2000 2001 2002 2003 2004
Quang Nam 34.14 33.78 43.80 44.97 47.79
National 9.71 13.22 16.84 20.61 23.40
 
  2000 2001 2002 2003 2004
Quang Nam 55.54 52.00 46.69 43.46 39.08
National 41.69 40.52 40.85 35.08 37.41
  2000 2001 2002 2003 2004
Quang Nam 10.32 14.22 9.51 11.58 13.13
National 48.59 46.26 42.31 44.31 39.19