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By Aymo Brunetti, Gregory Kisunko, Beatrice Weder

This paper offers the result of a survey of just about 4,000 marketers in sixty nine international locations who have been requested to pass judgement on what constituted a tremendous situation for enterprise operations. one of the a number of findings within the file, corruption, crime and robbery, and tax rules have been stumbled on to be vital stumbling blocks to doing company. OECD international locations, six transition international locations, and twelve constructing international locations have been represented within the survey.

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Page 36 Page 37 3. Baltic RepublicsEstonia, Latvia, and Lithuania For the Baltics Republics the worst obstacle was tax regulations, high taxes, followed by financing, corruption, crime and theft. At the bottom of the list were regulations for starting new business, foreign currency regulations, price controls, and terrorism. g. price controls are no longer a serious problem for 96 percent of respondents. Compared to the group of comparator Republics the Baltics performs worst on corruption, on policy instability.

4 Figure 1 Distribution of the Responses by Region The first part of Figure 1 gives an overview of the number of returned questionnaires in 69 countries and shows the numbers for individual regions. Of the 3,685 returned questionnaires, 3,431 came from developing countries. Figure 1 shows 2 Certainly, another way of gaining a comparative perspective would have been to ask only companies which are represented in many countries and make investment decisions in which they comparatively evaluate the costs and benefits of alternative business locations.

At the bottom of the list we find both African and Latin American regions: Southern and Eastern Africa received the worst scores. The transition economies occupy the lower middle ground, with the exception of the Baltic Republics and the Caucasus which are markedly better rated. Page 13 Trade related obstacles include regulations that control exports and imports such as licenses, customs etc. but also foreign currency regulations. Table 5 shows the ranking from the region with the least to the region with the most obstacles: Table 5 Ranking of Regions from Lowest to Highest: Trade Related ObstaclesRankRegionCountries in Region1Northeastern EuropeIreland and United Kingdom2Central Western EuropeAustria, France, Germany, and Switzerland3Eastern AfricaKenya, Tanzania, Uganda, and Zambia4Southern EuropeItaly, Portugal, and Spain5Baltic RepublicsEstonia, Latvia, and Lithuania6North AmericaCanada and United States7VisegradCzech Republic, Hungary, Poland, and Slovak Republic8Middle East and North AfricaJordan, Morocco, and West Bank and Gaza Strip9Western South AmericaBolivia, Paraguay, and Peru10Central AmericaCosta Rica, Jamaica, and Mexico11CaucasusArmenia, Azerbaijan, and Georgia12Middle-Income AfricaSouth Africa and Mauritius13Black Sea and BalkanAlbania, Bulgaria, FYR Macedonia, and Turkey14AsiaFiji, India, and Malaysia15Southern AfricaMadagascar, Malawi, Mozambique, and Zimbabwe16Western and Central AfricaBenin, Mali, and Nigeria17Northwestern South AmericaColombia, Ecuador, and Venezuela18Western Central AfricaCôte d'Ivoire, Ghana, and Togo19Western AfricaGuinea, Guinea-Bissau, and Senegal20Central AsiaKazakhstan, Kyrgyz Republic, and Uzbekistan21Slavic Republics and MoldovaBelarus, Moldova, Russia, and Ukraine22Central AfricaCameroon, Chad, and Congo The least obstacles related to trade are found in the United Kingdom and Ireland, and in Central Western Europe.

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