Thailand
Sweet Success
A favorite expression of Thais is "mai pen rai," meaning "never mind; it doesn't matter; everything will be all right," an expression which says much about the agreeable Thai temperament. And one of the most popular stories about Thailand is Anna and the King of Siam by Margaret Landon, on which the musical comedy and movie The King and I were based. But let a foreigner speak admiringly of Anna and the King of Siam or The King and I, and there will be no utterance of "mai pen rai." In Thailand's constitutional monarchy the King is held in high esteem. The subject of these works was Rama IV, King of Siam from 1851 to 1868, and a remarkable, farsighted leader who opened the doors of his kingdom to new ideas in science, education, and historical research. Thais deeply resent the portrayal of their beloved Rama IV in The King and I as something of a buffoon, and they hotly dispute the historical accuracy of Anna and the King of Siam.
The name Siam was changed to Thailand, meaning "Land of the Free," in 1939. Thailand has been governed by a unique collaboration of the Thai military, a strong, centralized bureaucracy, and a revered monarch. The military has generally been content to let the bureaucracy and key politicians run the government. However, the military has staged 19 coups since the country became a constitutional democracy in 1932, the most recent one in 2006 when prime minister Thaksin Shinawatra was deposed.
The King’s governmental role and indirect powers are often compared to those of the British throne, but are in fact stronger owing to the respect he commands. For example, the bloody 1992 pro-democracy riots in Bangkok were quelled following the King's scolding of Prime Minister Suchinda Kraprayoon and his opponent Chamlong Srimuang as the two kneeled before him.
Thailand is part of continental Southeast Asia, lying just north of the Malay Peninsula. About 75 percent of its population of 65 million is ethnic Thai, descended in part from tribes that migrated long ago from southern China. Other ethnic groups include Chinese, Laotians, Vietnamese, Malays, Cambodians, Burmese, and hill tribe peoples. Many of these, or their ancestors, entered Thailand as refugees from neighboring countries in times of war.
The culture of Thailand is clearly collectivist, but three factors stand out. First, the predominant religion of the country, Buddhism, is in greater evidence than predominant religions in other countries. Legions of Buddhist priests in orange robes are commonly seen in the streets. Second, a generous nature and a pleasant manner are very important to Thais. Conduct to the contrary can be embarrassing and demeaning. Third, individualistic behavior is more acceptable here than in other collectivist countries. Thais comfortably accept personal credit for business success and other achievements. They are also more direct in expressing their thoughts.
[Tip — Communications Style: In communications with Thais, give close attention to being thoughtful and considerate. For example, inquire about the health of a Thai and his or her family, or offer to do a favor for them. There is no need to go overboard, however. For Thais, it is the thoughtfulness and appropriateness of a gesture that is important.]
Like many Asian countries, Thailand is male-oriented. Although Thailand's constitution gives women fully equal rights, Thai women are traditionally submissive toward men, and there are few women in the senior ranks of business and government. However, there are many women in the professions, and there are active efforts to improve women's rights, a prominent spokesperson for which being Queen Sirikit.
[Tip — Cultural Sensitivities: Never lose your temper or express anger to a Thai in conversation or correspondence. The result is strongly counterproductive.]
In terms of economic performance, Thailand is one of the strongest and fastest-growing countries in East Asia. It achieved growth rates averaging 12 percent in the period 1988-1990, while maintaining low inflation rates and a stable currency. Exports boomed in the late 1980's. Growth has presently slowed to around six percent, but there are overall indications that Thailand's strong economic expansion will continue.
[Tip — Communications Style: Your openness in communicating with Thais will be appreciated, so long as you are pleasant in doing so.]
The key to Thailand's economic success has been a series of pro-business administrations in government which have implemented liberal, free market development policies. Visitors to Bangkok, bogged down in traffic congestion and confounded by an apparent lack of planning and coordination at every turn, may wonder at Thailand's achievements; however, the chaos they encounter is largely the by-product of Thailand's economic vitality.
[Tip — Telecommunications: Bangkok traffic congestion directly affects communications there. Postal and courier deliveries are less predictable, making telephone and fax communications all the more important. Cellular telephones and notebook computers for business people stuck in traffic are a great asset.]
Thailand has plenty on which to base economic growth. There is a large pool of inexpensive labor that enables the country to attract foreign investment for the expansion of export-driven manufacturing industries. The country is also relatively rich in natural resources, with high-yielding agricultural lands and extensive reserves of tin, lead, zinc, potash, and oil and gas. Thailand is the world's leading exporter of rice and tapioca, and a major exporter of rubber, corn, and sugar.
While agriculture employs 60 percent of the working population, manufacturing is now the largest sector of the economy, producing about 32 percent of the gross domestic product compared to agriculture's 13 percent. Most manufacturing is located in the Bangkok area, where it expanded during the 1970's and 1980's from import-substitution activities (producing goods such as beverages and vehicles that were otherwise imported) to export-oriented activities such as the manufacture of clothing, electronics, and chemicals. Long range government plans are to develop manufacturing centers in other parts of Thailand. Two new ports, a petrochemical complex, a fertilizer plant, and export processing zones are underway for the eastern seaboard, southeast of Bangkok. There is a new international airport, Suvarnabhumi Airport, 30 km east of Bangkok. On the services side, the government is pushing the development of tourism (the principal destinations are Chiang-Mai, Pattaya, and Phuket) and Thailand's growing importance as a convention center.
The most pressing economic challenge for Thailand in the foreseeable future is to build infrastructure fast enough to keep pace with the rapid expansion of the economy. In response to these needs, the government plans to spend $40 billion on various infrastructure projects, including public transportation, shipping ports, energy and irrigation.
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