Author(s)

Shafayat Hossain Chowdhury¹, Mashruha Zabeen²

¹ULAB School of Business, University of Liberal Arts Bangladesh (ULAB), Dhaka, Bangladesh.
²Department of Business Administration, East West University, Dhaka, Bangladesh.

The ready-made garment (RMG) sector of Bangladesh has gained global recognition, competitiveness and has significantly contributed towards national growth. This paper aims to scrutinize the factors that enabled the sector in achieving this position by applying the Porter’s diamond model of national competitiveness. The paper reviews a good number of existing literatures and data sources to evaluate the national diamond. The findings suggest that though low-cost human resources under factor conditions have extensively contributed towards the sector’s competitiveness, the other three elements of the diamond (national demand conditions, related and supporting industries, firm structure and management) were either dormant or not very active. The study puts forward the notion that nations can achieve global competitiveness in a sector even if the national diamond is not strong enough.

Bangladesh, Competitiveness, Porter’s Diamond Model, RMG Sector

Chowdhury, S. and Zabeen, M. (2020) An Assessment of the Competitiveness of Bangladesh’s RMG Sector Using Porter’s Diamond. Theoretical Economics Letters, 10, 875-890. doi: 10.4236/tel.2020.104052.