Sunday, May 19, 2013

March 2013 CyberSelection: Doing Business

Doing Business 


The Doing Business Project (www.doingbusiness.org), from the World Bank and the International Finance Corporation (http://www1.ifc.org/wps/wcm/connect/corp_ext_content/ifc_external_corporate_site/about+ifc), focuses on business regulation and enforcement in countries around the world. By analyzing regulation applied to small and medium-sized companies throughout their life cycle, the project has developed objective measures of regulation and annually publishes comparative data across countries and across time. Through its publications, Doing Business aims to encourage countries to move towards more efficient regulation; it offers measurable benchmarks for reform; and it serves as a resource for researchers and others interested in the business climate of each country.

A clear and uncluttered homepage invites you to "Explore Economy Data" in two ways. First, you can select an economy, which generally means a country. They are all there, from Afghanistan to Zimbabwe. Alternatively, select a topic:
Starting a Business
Dealing with Construction Permits
Getting Electricity
Registering Property
Getting Credit
Protecting Investors
Paying Taxes
Trading Across Borders
Enforcing Contracts
Resolving Insolvency
Employing Workers

The topics are all areas that represent areas of regulation in most countries and constitute the factors (except for Employing Workers) on which each economy is ranked in the annual reports. Since 2003, Doing Business has published a report each year that compares all economies on these factors and computes an "Ease of Doing Business" index. Doing Business 2013: Smarter Regulations for Small and Medium-Size Enterprises, was featured as I researched this site in early January and placed Singapore at the top of the ranking as the economy in which it is easiest to do business--for the seventh straight year. Poland was named as the "most improved."

Exploring the Singapore Economy

I selected Singapore from the dropdown list of economies and immediately the "Ease of Doing Business in Singapore" page (www.doingbusiness.org/data/exploreeconomies/singapore) appeared. Singapore is identified by Region (East Asia & Pacific), Income Category (high), Population (5,183,700), and GNI per Capita in US$ (42,930). Then the page notes the Doing Business 2013 rank (1), the 2012 rank (1), and the change (0). Following is a Topic Ranking grid, listing the ten individual topics on which the economy is ranked, with current and prior year rankings, and the change. Singapore was ranked no. 1 in Trading Across Borders this year and last, but that was the only no. 1 ranking it received. It falls to no. 12 for Getting Credit and Enforcing Contracts, and down to 36 (its lowest ranking) for Registering Property.

The bottom part of the page provides a changeable display of each of the ten topics. The default is Starting a Business. You can start a business in Singapore in a single day for less than 400 Singapore dollars; a three-step procedure is outlined. But there is more. Business start-up is ranked against the other Doing Business economies, the regional standard, and an OECD standard in the areas of Procedures (number), Time (days), Cost (% of income per capita), and Paid-in Min. Capital (% of income per capita). If you don't understand what these concepts mean, you can hover over the term and a brief explanation will pop up, with a link to the methodology. Further links to details on starting a business, the methodology that Doing Business uses for this  computation, and a page comparing all economies on this factor are provided.

Move to the other nine topics by clicking on that factor in the Topic Rankings grid or on the tab at the top of the topic part of the page. I examined Registering Property and came away with a better understanding of why Singapore ranked lower on that topic.

Exploring Topics

Any of the topics can be explored in detail by selecting the topic from the drop-down Explore Economy Data menu in the upper right of each page. On the Starting a Business page, the main data is a statistical chart with all the state economies on the left axis, and the factors related to starting a business that we saw previously across the top. In addition to the national economies, there are regional aggregations. Any of the columns can be sorted by clicking on the heading, so it is possible to easily determine that New Zealand ranks first in the category of starting a business.

Here, as on the economies pages, there is a row of tabs. Whereas the tabs in the economies pages lead to alternative topics, the tabs in the topics pages lead to  more information explaining and supporting the mission and methodology of Doing Business. From the default Data view, you can switch to Distance to Frontier, What is Measured, Why it Matters, DB Reforms, Good Practices, Transparency, FAQ, and Other Resources. Reading through these pages provides an accessible tutorial in international business and finance, together with some interesting case histories. For example, Isaac Merritt Singer formed the I.M. Singer & Company partnership with Edward C. Clark in 1851. Clark, however, persuaded Singer to change the form of business to a limited liability corporation in 1863 to protect it from court battles with Singer's heirs--Singer reportedly had more than 20 children!

In the Data view, a Subnational icon appears with various economies; clicking on the Subnational icon for India opens up a new page (http://www.doingbusiness.org/data/exploretopics/starting-a-business/india/) with a similar chart, but detailed for 17 Indian states or union territories. There are subnational pages for the following economies:
China
Columbia
Egypt, Arab. Rep.
India
Indonesia
Italy
Kenya
Mexico
Morocco
Algeria
Pakistan
Philippines
Russian Federation

Full Text Options

There is a lot of data at Doing Business. Much of it can be purchased in print form, but the World Bank's Open Data project (http://data.worldbank.org/) makes most of it available via free download. Click on the Reports tab in the navigation bar below the dark blue on the homepage to find the annual global Doing Business reports. All--back to 2004--can be downloaded for free. Then click on the shaded blue tabs below the top bar to find regional, subnational, and thematic reports, and case studies. Many of the regional and subnational reports are actually pieces of the global reports, but accessing them this way makes it easier to zero in on specific area and also provides bibliographic data indicating the date and original publication.

All the data pages for topics and economies provide print and Excel download options. You can open a read-only copy of the Excel file quickly, or you can choose to save a copy to disk, which then can be manipulated in all the usual Excel ways. It took me practically no time to download, save, and open the file of the Trading Across Borders topical data. For the economy pages, you can refine your output options so you only print or download one or more of the topical pages or an economy summary.

More Discovery

Although the browse methods of discovery are well thought out and work well, there is also a Search Text box at the upper right of each page. Keywords entered appear to be searched as strings with automatic stemming, so entrepreneur finds entrepreneurs, entrepreneurship, and so on.

Oddly, Advanced Search (http://extsearch.worldbank.org/servlet/SiteSearchServlet?adv=true&qUrl=doingbusiness&ed=rrudb) seems to be accessible only from this rather convoluted URL, or from a link at the bottom of the quick Search Text box results; keyword entries from the prior quick search are not carried through. Using Advanced Search you can limit by language: Chinese (Simplified), English, Estonian, French, Japanese, Portuguese, Romanian, Russian, or Spanish. The search engine supports all words, any words, or exact phrase searching. You can also specify occurrences of search term(s) to be anywhere on the page, in the title, or in the page URL, and limit to pages that have been updated  in the past 3, 6, or 12 months, or anytime. A format limiter permits searching for one specified format: Adobe Acrobat or Postscript files, Microsoft Word, Excel, or PowerPoint formats, Rich Text Format, or any format. Finally, you can change the length of your results pages to include 10 or 20 results.

Doing Business is a superb site, both for the amount of data it contains and makes available for free, and for its numerous means of displaying and explaining the data. Information from the Doing Business project can make you more knowledgeable about doing business abroad, and in time, its advocacy efforts may even make doing business abroad easier.

Susanne Bjørner provides editorial services to publishers, librarians, authors, and researchers. Contact her at bjorner@earthlink.net or www.bjorner.info.


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