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How Singapore firms can navigate the red ocean of cut-throat competition
They should look to venture overseas, strike partnerships and explore opportunities for mergers and acquisitions.
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SMEs should see turbulent times as a clarion call for doubling down on innovation and global ambition.
ST PHOTO: AZMI ATHNI
Musa Fazal and Patrick Yeo
In a recent Straits Times article, Mr Ang Yuit, president of the Association of Small and Medium Enterprises, described the Singapore business landscape as becoming “increasingly cut-throat” with persistently higher business costs and an influx of foreign investors, particularly from China with integrated and established supply chains that sideline local companies.
He cited geopolitical tensions and the enhancements to the China-Singapore Free Trade Agreement (CSFTA) as push factors for Chinese investors coming to Singapore. As a result, he likened the situation to a “red ocean” where local businesses must fight tooth and claw to survive.
