Global Economic Futures Competitiveness in 2030 2025

Page 13 of 35 · WEF_Global_Economic_Futures_Competitiveness_in_2030_2025.pdf

The interaction of these two drivers generates the following four scenarios for the future of competitiveness in 2030 (see Figure 4). –Fortress Economics: A world of protectionist competition shaped by stringent regulations and geopolitical instability . The global economy is increasingly shaped by strategic insulation, uncertain alliances and the weaponization of resources, rules and policy tools. –Negotiated Order: Geopolitical stability and stronger regulatory oversight create a more predictable business environment. Competitiveness is less restricted by strategic alliances and is increasingly shaped by the ability to navigate and shape regulations, cross-border regulatory arbitrage and long-term investments and strategies. –Survival of the Fastest: Looser regulations and geopolitical instability create a volatile, opportunistic and high-stakes environment. Lack of institutional safeguards, intensification of strategic competition, fractured markets and compliance gaps drive a “race to the bottom”. –Fluid Order: Geopolitical stability and reduced regulatory barriers enable rapid innovation, economic dynamism and open competition, halting the growth slowdown of recent decades. Lower safeguards and uneven distribution of benefits, however, eventually erode prosperity and convergence. Four scenarios for the future of competitiveness in 2030 FIGURE 4 Geopolitical volatilityRegulatory stringency Scenario 2 Negotiated Order Low High Low High Scenario 4 Fluid OrderScenario 1 Fortress Economics Scenario 3 Survival of the Fastest Source: World Economic Forum and Accenture. 13 Global Economic Futures: Competitiveness in 2030
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