Success Lessons from the Lee Kuan Yew, who turned beggar Singapore into a prosperous state

Singapore left Malaysia in 1965. He was an impoverished, thoroughly corrupt state. But from that moment began the process, the results of which Singapore demonstrates to the world the last 30 years. Start this process gave the Prime Minister of Singapore Lee Kuan Yew He remained as prime minister until 1990, and at the end of his reign, the country entered into the four "East Asian Tigers". So called four Asian countries in the 1960s - 1990s showed the most rapid economic growth. Singapore companies in this list comprise Hong Kong, South Korea and Taiwan.

We describe how Lee Kuan Yew did it all.

Lesson 1. attract investors

The main question that arose before the premier of the impoverished countries - where to get money. Lee Kuan Yew graduated with honors from the London School of Economics, and reasoned like a businessman: the best - the investors. But what interest them in the island, which is not something that the resources of even the area was deficient? On the territory and resources and now it became better not. But that does not stop Singapore prosper and thrive.

Lee Kuan Yew was looking for an answer to the queries of potential investors. And that could offer: tax and export incentives, convenient from the standpoint of logistics location of the country, inexpensive labor, the maximum assist the state in quick start business without any setbacks and drifts. Corruption Lee Kuan Yew understood separately.

The Government has formed a pool of potential investors. The first line in it took the transnational corporations, mainly from the United States.

Each corporation appeared personal manager. These were the officials, but Lee Kuan Yew set them the task level sales professionals-class: to bring to the "client" offer the Singapore authorities, and the maximum interest bewitchProviding without delay any information to which the client has shown interest. The goal - at least the arrival of the "client" in the country.

The data could not be found on the conversion of the Singapore government sales funnel. But investors to go, and this fact speaks for itself. That investors have laid the foundation of the industry in the production of electronics, in which Singapore was soon raised himself to the world leaders. And in 1990, when Lee Kuan Yew already resigns, buy it there will be our technique Oleg Tinkoff - first as the shuttle, and then - to its network of shops "Tekhnoshok".

Lesson 2. Do not spare the money-losing direction

With the arrival of foreign investors in Singapore the problems started from local producers. Lee Kuan Yew decided: it makes no sense to support those who are not able to operate without subsidies.

The question arose, in particular, of protecting customs duties. Such tariffs on foreign cars entered for the authorities to support the local plant, which collected the car, and other enterprises. Determining the view was CFO "Mercedes Benz". He asked Lee Kuan Yew, how long the plant will need more in a form of subsidies, said, "Always."

Lee Kuan Yew abolished duties. The local plant could not compete with the global giants, whose products won on price and quality, and has become bankrupt. The same thing happened with local producers refrigerators and televisions. The battlefield is also left behind global giants - for the same reason as in the automotive industry.

In social and political terms, refusal to support the local manufacturer was an unpopular decision, but economically justified.

With regard to the business can be compared with the decision of the owner to close the unprofitable direction. We'll have to fire someone, forget about any plans and ambitions. But it's better than to drag on itself unprofitable and unpromising direction and bury it forever in profit which can be spent on the development of other promising areas - the most that it can bring, and multiply.

At the expense of competent investment policy issue with the social obligations that the state has a lot more than the business, it resolved itself. Laid-off workers have gone to work to investors, who often offer more attractive than local employers, conditions. Venture investors bring more profit and pay off her more taxes than eliminated with the local market.

For state taxes - revenue. And all that remains after all expenses - profitThat the state has the right, as well as a business guide to development. Successful businesses do not just fill the budget, they are not out any money pulled.

Lesson 3. Do not be greedy

An additional "carrot" for investors in Singapore began to lower taxes. Compared to other countries, taxes are low there today. The maximum tax burden on business - 27.1%. In Russia, this figureThe tax burden on businesses in different countries equal to 47%, in the UK - 32%. Taxes on dividends to the owners of Singapore companies, including foreigners, are not paid. Odds of the countries shown in the table will only Singapore United Arab Emirates.

Lesson 4. Do not allow exceptions to the rules

From the very beginning in the Lee Kuan Yew, the government sets the angle of the head of the law, and it is obligatory for all. Singapore legal system inherited from the time when it was a British colony. Lee Kuan Yew came from a family of English-speaking Chinese, English graduated from school and was raised in the British culture. A second degree, which he received at the University of Cambridge, was legal. In the British tradition - the reverence before the law and equality before them all, from the unemployed to the multi-billionaire. Therefore, nothing but the frame, in the legal system inherited from the British Raj Lee Kuan Yew did not change. From myself privnos only personal intolerance of nepotism, bribery and embezzlement.

The unity of the civil service rules for all meant that no longer untouchable. Burned on corruption - answer according to the law. I do not care whose you are a relative or a protégé, and what your past achievements.

And indeed they tried and imprisoned. Escaped that fate only corrupt, who managed to flee abroad, as soon as the smell of fried. When the abuse was suspected of Lee Kuan Yew, he initiated the creation of an independent commission to the one throughout figured out, and put the powers at the time of its operation. The Commission has not found nothing incriminating.

In his memoirs, "The History of Singapore from a third world to the first" Lee Kuan Yew emphasizes - corruption traditions formed over the centuries in Asia. Today, Singapore has remained stable in the top ten countries in the world with a minimum level of corruption. In its annual rankingRating perceptions of corruption perception of corruption by Transparency International - in sixth place. Back - even the wealthy in this respect Sweden, the Netherlands, Canada, the UK and Germany.

One of the problems of the countries of Southeast Asia - mafia groups known as triads. Their role in the lives of the vast region. Singapore authorities took up the local triad hard, and now the country has no such problem. And Singapore's experience has shown - without rampant corruption omnipotent mafia burst like a soap bubble.

Uniform rules for business in Singapore mean that all are equal in everything. If a businessman in the relationship with an influential person in the government, it does not help the business, but rather a reason for embarrassing questions addressed to such an official.

Lesson 5. Motivate, motivate, motivate and again

For any State all its citizens - the same as the staff for the business. Only obligations to them from the state much more than the business to the employee. And most importantly - as well as employees of the company, its citizens need motivation.

For officials, for which the State was the employer, the stake on the material component. Higher-level officials in the government received a salary at the level of large private corporations top manager. And so on down the line.

The judge was earning more than the most expensive lawyer - hundreds of thousands of dollars a year, and since 1990 - more than $ 1 million.

Citizens are not engaged in the civil service, the salary paid is not a state, but it guarantees a constant revenue growth at the expense of the competent economic policy. And by itself has added benefits package: access to education, health care, housing, guarantee a decent, secure old age and the like.

Housing problem, Lee Kuan Yew paid special attention devoted more than one chapter of memoirs. In the first years of independence the country has a high probability of conflicts with its neighbors. The Head of Government personally spoke with the soldiers, and one of the conclusions was: a soldier more willing to die for their country, if that will provide his family a roof over his head.

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After Lee Kuan Yew resigned as prime minister, he continued to work in the government. He died in 2015. Indicator of in vivo success for the business in such cases is the net worth at the time of death. About Lee Kuan Yew is no such data. characteristic is not the most important, and for obvious reasons rather negative - and for politicians and civil servants in the billions of accounts and assets. The key indicator for the Lee Kuan Yew - state in which he left behind a country.