Evaluating the International Competitiveness of Vietnam Wood Processing Industry by Combining the Variation Coefficient and the Entropy Method

Abstract

Indicators measuring industrial international competitiveness are being continuously improved. However, so far, there is no unified perfect indicator to measure the level of international competitiveness of the industry. Based on the market share index (MS), trade competitiveness index (TC), revealed comparative advantage index (RCA), and relative trade advantage index (RTA), we constructed a comprehensive international competitiveness index by combining the variation coefficient and the entropy method. This study aims to compare and evaluate the international competitiveness of the wood processing industry (ICWPI) in Vietnam using a comprehensive international competitiveness index. The data is collected from the top 22 countries and the total import and export volume of the wood processing industry from the repository of official international trade statistics (UN Comtrade) database for 2001–2017. The results found that it is more accurate to use the combined variation coefficient and the entropy method to evaluate the international competitiveness of the wood processing industry, compared to using only a single index. The growth rate of international competitiveness of Vietnam increased rapidly from 2001 to 2007 but slowed from 2008 to 2017. Vietnam has the advantages of natural resources, low labor costs and favorable geographical location. However, the low productivity gains and added industry value have led to a gradual decline in the international competitiveness growth rate of Vietnam's wood processing industry.

Exploring Regional Advanced Manufacturing and Its Driving Factors: A Case Study of the Guangdong–Hong Kong–Macao Greater Bay Area

“…By using the entropy method to weigh the Grade 3 index, we evaluated each dimension. The entropy weight method is widely used in other fields [ 61 , 62 , 63 ], which shows its effectiveness. For the treatment of index standardization, we used a range change method to obtain a standardization matrix , and carried out normalization; the formulas are as follows: where , where m is the number of countries; , where n is the number of evaluation indices; represents the j- th index value of the i- th city.…”

Evaluation Model and Empirical Research on the Green Innovation Capability of Manufacturing Enterprises from the Perspective of Ecological Niche

“…Industrial niche [45][46][47][48] Based on this, drawing on the niche situation theory and the connotation of green innovation, this paper selects the key indicators affecting the green innovation ability of enterprises from the perspectives of R&D, production, and marketing, and constructs an evaluation index system of green innovation ability from the perspective of niche. The index weight is obtained by using the principle of relative entropy and by comprehensively considering AHP [49], entropy [50] and coefficient of variation [51]. Simultaneously, we use the advantages of a cloud model [52] in the transformation of uncertainty to evaluate and study green innovation ability.…”

Determinants of Non-Timber Forest Product Planting, Development, and Trading: Case Study in Central Vietnam

“…Given this, Vietnam's forest area expanded by approximately 5 Mha in 25 years from 1990 to 2015 (from 9 Mha in 1990 to 14 Mha in 2015). It is anticipated that this land coverage will increase to 4.15 Mha by 2020 [10]. Planting activities have played a significant role in increasing the development of NTFPs.…”