Chapter 19: Economic diplomacy: a developing country perspective
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Developing states face difficulty in moving up the value chain in their efforts to reach world markets. With underdeveloped domestic economic institutions and infrastructure, they have to depend on their diplomatic machinery to provide support to business enterprises, chambers of commerce and other economic agents, who do not have the needed international connections, or the resources to hire consultants or advisers. For these countries, access and utilization of foreign aid is also conditioned by these factors. How this become an inhibiting factor in their economic development is understudied; rich states have moved much beyond, possessing their own internal and external institutions which sustain autonomous links with foreign counterparts. What are the stages that developing countries must traverse in their journey? How can they mobilize promotion methods, and also build their own institutions? How can these countries improve their aid management, in their dealings with donor institutions and countries?

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