International Development

FSI researchers consider international development from a variety of angles. They analyze ideas such as how public action and good governance are cornerstones of economic prosperity in Mexico and how investments in high school education will improve China’s economy.

They are looking at novel technological interventions to improve rural livelihoods, like the development implications of solar power-generated crop growing in Northern Benin.

FSI academics also assess which political processes yield better access to public services, particularly in developing countries. With a focus on health care, researchers have studied the political incentives to embrace UNICEF’s child survival efforts and how a well-run anti-alcohol policy in Russia affected mortality rates.

FSI’s work on international development also includes training the next generation of leaders through pre- and post-doctoral fellowships as well as the Draper Hills Summer Fellows Program.

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The Global Knowledge Network is a new initiative rooted in one of the most significant technological and economic trends of the past decade, globalization. The Network will study these trends and their effect on Silicon Valley, at the same time leveraging relationships between technology leaders in our Valley and other regions around the globe. The Network will also create a cross-boundary "network of networks" spanning our region's many diverse entrepreneurship organizations. More detailed information about the Global Knowledge Network can be found at http://www.jointventure.org.

The kick-off event will feature a panel addressing Silicon Valley's emerging knowledge networks and the future of IT as well as time for networking. The keynote speaker will be William F. Miller, Co-Director, SPRIE and Professor Emeritus at the Stanford Graduate School of Business. Joining him as panelists on the program will be Simon Cao, founder of both Arasor and Avanex, with 20 years experience in optics and communications and Ajay Shah, who founded of SMART Modular Technologies, and served until recently as President and CEO of the Technology Solutions Business Unit at Solectron.

William F. Miller is the Herbert Hoover Professor Emeritus, Graduate School of Business, Stanford University, and President Emeritus of SRI International. He also chairs the board of Borland Software Corporation, and has previously sat on the boards of Wells Fargo and the Fireman's Fund. He currently serves on the boards of Sentius Corporation, Data Digest Inc., and Handysoft USA.

Simon (Xiaofan) Cao is Founder, President and CEO of Arasor Corporation, and has twenty years of experience in optics, communications, and signal processing. He was the founder of both Avanex Corporation and Oplink Communications, Inc.

Ajay Shah founded SMART Modular Technologies in 1988. Until recently he served as President and CEO of the Technology Solutions Business Unit at the Solectron Corporation.

Schwab Residential Center, 680 Serra Street, Stanford University Campus

William F. Miller Professor Emeritus Stanford GSB
Simon Cao Founder and CEO Panelist Arasor, Inc.
Conferences
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Will the next great wave of globalization come in services? Increasingly, components of back-office services, such as payroll and order fulfillment, and some front-office services, such as customer care, are being relocated from the United States and other developed countries to English-speaking, developing nations - especially India, but also other nations, such as the Philippines. Though moving service activities offshore is not entirely new, the pace has quickened of late. The acceleration of this business process offshoring (BPO) is intertwined, though not synonymous, with another phenomenon, namely an increasing willingness by firms to outsource what formerly were considered core activities. It is significant that a substantial number of service activities might move offshore, because it was once thought that service jobs were the future growth area for developed country economies. Manufacturing, by contrast, would relocate to lower labor cost regions offshore. Notably, the services commonly known as "business processes" (BPs) are among the fastest growing job categories in the United States. Should these jobs begin to move offshore, a new tendency may be under way in the global economy that will be as or more important than the relocation of manufacturing offshore, and might necessitate a rethinking of government policies across a wide spectrum.

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Rafiq Dossani
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Karin Lee is the senior associate for the East Asia Policy Education Project for the Friends Committee on National Legislation.  Prior to this position, Karin worked for the American Friends Service Committee for many years, most recently based in Tokyo, where she facilitated regional exchanges on topics of peace, reconciliation, and economic justice. She has visited North Korea three times, and South Korea about twenty-five times. She is a regular contributor to the Korea Quarterly, for which she writes a column on U.S. policy toward the Koreas.

Philippines Conference Room

Karin Lee Senior Associate East Asia Policy Education Project
Seminars
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Technology product companies are characterized by rapid product introductions and the need to stay ahead in each product generation. If a company stumbles and loses its lead in one generation of product, it can be fatal. Technical support is as important as unique product features to win and retain customers. Yet this function is often an afterthought for many companies. While developmental engineering and product creation are exciting, providing strong support for such products is critical for a company's success in the market place.

With an overall shortage of engineers in the United States, companies can work with specialized, dual-shore based technical support companies to provide this very critical function to customers on an ongoing basis.

Somshankar Das brings twenty-nine years of experience in public and private management, high technology, and venture capital businesses to his role of president and chief executive officer of e4e. Prior to joining e4e, Som was a general partner with Walden International, where he specialized in semiconductor, software, IT service, and Internet infrastructure markets. While at Walden, he created a portfolio of service companies including Mind Tree Consulting, Techspan, Sierra Atlantic and WebEx. He also established the Walden India Nikko Fund in 1996, the first technology focused VC fund in India. Som currently serves on the boards of directors of two public companies, Aztec and WebEx. He has over twelve years of management experience in the U.S. semiconductor industry, and was actively involved in establishing Malaysia's first commercial silicon wafer foundry, Siltera. Prior to joining Walden, he was director for Worldwide Business Development at VLSI Technology, Inc. and was previously an officer in the Indian Administrative Service in India. Som holds an MBA from the Graduate School of Business, Stanford University and an M.S. in physics and mathematics from Calcutta University.

This seminar is part of SPRIE's Fall 2003 series on "High-Tech Regions and the Globalization of Value Chains."

Daniel I. Okimoto Conference Room

Somshankar Das President and CEO e4e, Inc.
Seminars

North Korea claims to have produced enough plutonium to build half a dozen nuclear bombs. U.S. intelligence indicates North Korea may indeed possess one or two nuclear weapons. The North Korean government has overtly threatened to use their arsenal against the United States. How credible is the threat? Is North Korea becoming the next Iraq? The U.S., China, Japan, Russia, and South Korea are pushing for another six-party talk. Can diplomacy, international aid, and security guarantees curb North Korea's nuclear proliferation? Can we negotiate with a regime devoid of a rule of law? What are our other options?

Panel discussion moderated by Warren Christopher, Professor in the Practice of International Law and Diplomacy, Stanford Law School, and including:

A panel discussion featuring:

  • Bernard S. Black, JD '82
  • George E. Osborne, Professor of Law and Director of the LLM Program in Corporate Governance and Practice, Stanford Law School
  • Mi-Hyung Kim, JD '89 General Counsel and Executive Vice President , Kumho Business Group

Dinkelspiel Auditorium, Stanford Law School, Stanford University Campus

Shorenstein APARC
Encina Hall E301
616 Jane Stanford Way
Stanford, CA 94305-6055
(650) 724-8480 (650) 723-6530
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Senior Fellow at the Freeman Spogli Institute for International Studies
Professor of Sociology
William J. Perry Professor of Contemporary Korea
Professor, by Courtesy, of East Asian Languages & Cultures
Gi-Wook Shin_0.jpg PhD

Gi-Wook Shin is the William J. Perry Professor of Contemporary Korea in the Department of Sociology, senior fellow at the Freeman Spogli Institute for International Studies, and the founding director of the Korea Program at the Walter H. Shorenstein Asia-Pacific Research Center (APARC) since 2001, all at Stanford University. In May 2024, Shin also launched the Taiwan Program at APARC. He served as director of APARC for two decades (2005-2025). As a historical-comparative and political sociologist, his research has concentrated on social movements, nationalism, development, democracy, migration, and international relations.

In Summer 2023, Shin launched the Stanford Next Asia Policy Lab (SNAPL), which is a new research initiative committed to addressing emergent social, cultural, economic, and political challenges in Asia. Across four research themes– “Talent Flows and Development,” “Nationalism and Racism,” “U.S.-Asia Relations,” and “Democratic Crisis and Reform”–the lab brings scholars and students to produce interdisciplinary, problem-oriented, policy-relevant, and comparative studies and publications. Shin’s latest book, The Four Talent Giants, a comparative study of talent strategies of Japan, Australia, China, and India to be published by Stanford University Press in the summer of 2025, is an outcome of SNAPL.

Shin is also the author/editor of twenty-seven books and numerous articles. His books include The Four Talent Giants: National Strategies for Human Resource Development Across Japan, Australia, China, and India (2025)Korean Democracy in Crisis: The Threat of Illiberalism, Populism, and Polarization (2022); The North Korean Conundrum: Balancing Human Rights and Nuclear Security (2021); Superficial Korea (2017); Divergent Memories: Opinion Leaders and the Asia-Pacific War (2016); Global Talent: Skilled Labor as Social Capital in Korea (2015); Criminality, Collaboration, and Reconciliation: Europe and Asia Confronts the Memory of World War II (2014); New Challenges for Maturing Democracies in Korea and Taiwan (2014); History Textbooks and the Wars in Asia: Divided Memories (2011); South Korean Social Movements: From Democracy to Civil Society (2011); One Alliance, Two Lenses: U.S.-Korea Relations in a New Era (2010); Cross Currents: Regionalism and Nationalism in Northeast Asia (2007);  and Ethnic Nationalism in Korea: Genealogy, Politics, and Legacy (2006). Due to the wide popularity of his publications, many have been translated and distributed to Korean audiences. His articles have appeared in academic and policy journals, including American Journal of SociologyWorld DevelopmentComparative Studies in Society and HistoryPolitical Science QuarterlyJournal of Asian StudiesComparative EducationInternational SociologyNations and NationalismPacific AffairsAsian SurveyJournal of Democracy, and Foreign Affairs.

Shin is not only the recipient of numerous grants and fellowships, but also continues to actively raise funds for Korean/Asian studies at Stanford. He gives frequent lectures and seminars on topics ranging from Korean nationalism and politics to Korea's foreign relations, historical reconciliation in Northeast Asia, and talent strategies. He serves on councils and advisory boards in the United States and South Korea and promotes policy dialogue between the two allies. He regularly writes op-eds and gives interviews to the media in both Korean and English.

Before joining Stanford in 2001, Shin taught at the University of Iowa (1991-94) and the University of California, Los Angeles (1994-2001). After receiving his BA from Yonsei University in Korea, he was awarded his MA and PhD from the University of Washington in 1991.

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Director of the Korea Program and the Taiwan Program, Shorenstein Asia-Pacific Research Center
Director of Stanford Next Asia Policy Lab, APARC
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Gi-Wook Shin Panelist
Scott D. Sagan Panelist
Allen S. Weiner Moderator
Panel Discussions
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Octobers and democracy in Thailand are inextricably entwined. On 14 October 1973, thirty years to the day before Dr. Pitsuwan will speak at Stanford, Field Marshal Thanom Kittikachorn, Thailand's strongman prime minister, was driven into exile. Parliamentary democracy flourished for three years until it was violently shut down in October 1976 following Thanom's return. On 12 October 2002 in Bali, extremist Muslims took more than 200 lives and made terrorism an urgent priority for Thailand and other members of the Association of Southeast Asian Nations (ASEAN). Relevant events in Southeast Asia in October 2003 include three summits--of ASEAN (Bali, 7-8 Oct.), of the Organization of the Islamic Conference (Kuala Lumpur, 16-18 Oct.), and of the Asia Pacific Economic Cooperation forum (Bangkok, 20-21 Oct.), the latter to include U.S. President George W. Bush. Dr. Pitsuwan will this unusual conjunction of anniversaries and summits to explore some of the ways in which democracy, terrorism, regionalism, and Islamism in Southeast Asia overlap and intersect. About the speaker Surin Pitsuwan served as Thailand's foreign minister from 1997 to 2001. He was the first Muslim to hold that post. He has been a member of the Foreign Affairs Committee in Thailand's House of Representatives since 1986. He has also been a columnist for Thai newspapers and a political science lecturer in Thammasat University. In 1983-84 he was a legislative assistant to U.S. Congresswoman Geraldine Ferraro. He earned a PhD from Harvard University in 1982 after graduating cum laude from the Claremont Men's College in Claremont, California.

Okimoto Conference Room

Surin Pitsuwan Member of Parliament Democratic Party, Thailand
Seminars
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On 19 January 2001, General Angelo Reyes, then chief of staff of the armed forces, led a transfer of military support from democratically elected but disgraced President Joseph Estrada to his vice-president, Gloria Macapagal-Arroyo. A day later, Arroyo became president. At the time, the general defended his action as "promot[ing] the public good under extreme circumstances." Soon thereafter, President Arroyo named him her secretary of defense. In July 2003, nearly 300 heavily armed junior military officers seized the center of Manila?s business district, rigged explosives around the buildings, and demanded President Gloria Macapagal-Arroyo?s resignation. They accused Reyes of corruption and urged him to resign as well. Reyes denied the charge as baseless. Saying he wanted to spare his family and the armed forces further abuse, he resigned in August. In October, President Arroyo appointed him Ambassador-at-Large for Counter-Terrorism. What if any conditions justify military intervention in the name of the public interest? In this lecture, Reyes will argue that in certain extreme circumstances, civilian democracy can be served by military intervention. He will also warn, however, that such intervention can undermine democracy in the long run. Angelo Reyes' military career lasted thirty-five years. He commanded at all levels of the Philippine armed forces. His field experience included counter-insurgent operations in Mindanao and Luzon. He holds advanced degrees from the John F. Kennedy School of Government at Harvard University and the Asian Institute of Management in Manila. On Wednesday, October 1, 2003 he was appointed Ambassador-at-Large for Counter-terrorism by President Gloria Macapagal-Arroyo.

Philippines Conference Room

Angelo Reyes Ambassador-at-Large for Counter-Terrorism and former Secretary of National Defense Republic of the Philippines
Seminars
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Hangzhou Municipality is the provincial capital of Zhejiang, on China's east coast. It forms part of the Yangtze River Delta (YRD) region. Hangzhou was "opened up" in the mid-1980s, following Deng Xiaoping;s visit to the South, resulting in an almost immediate flood of foreign and domestic investment in manufacturing. This initial investment was significantly in the peri-urban areas, i.e., outside the built-up area. The authors have been following development in the Hangzhou extended urban region, with emphasis on peri-urbanization processes, since 2000. A previous Shorenstein APARC discussion paper describes findings of preliminary field research on the Hangzhou-Ningbo Corridor, conducted in August 2000 and March 2001. The present paper zooms in on two peri-urban clusters in the Hangzhou extended urban region, and assesses their development over time. The goal of the research is to better understand how a peri-urban region changes - particularly in terms of firm evolution, labor characteristics, and spatial dynamics - as it becomes more economically and demographically mature. This paper also examines such changes in the context of the increasing cost structures and emerging competitors, primarily from other areas in China, that the Hangzhou peri-urban region now faces.

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Shorenstein APARC
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Douglas Webster
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1-931368-04-X
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Chengdu, the provincial capital of Sichuan, has undergone rapid transformation during China's post-reform period between 1978 and 2003. One of the leading cities in southwest China, Chengdu is second only to Chongqing in population. Chengdu anchors one end of the Chongqing-Chengdu urban corridor, the fourth most populous urban cluster in China. Although the upgrading of Chongqing Municipality to the equivalent of provincial status in 1997 has increased the city's profile and potential as an administrative, land transportation, and manufacturing center, it is expected that Chengdu's regional and strategic importance as a service and high-tech center will increase in the future. With increased economic specialization among Chinese cities, it is expected that Chengdu and Chongqing cities will increasingly complement each other in terms of function, both enhancing their developmental prospects as a result. Further, the development of western China is a major objective of the Tenth Five Year Plan. The "Go West" policy was introduced in 1999.

In Chengdu, as with many other Chinese cities, a complex interplay of government and private, local, national, and increasingly transnational forces have influenced urban growth. Responding to changes in local, national, and international economic drivers, Chengdu is redefining its economic roles and functions, with direct consequences for the city's physical form. In turn, the spatial manifestation of urban development has important implications for Chengdu's economic potential, social and political stability, and environmental and ecological functioning. Extensive, as opposed to compact, urban form requires massive infrastructure investments, increases energy demand, and has broad environmental impacts, including local and regional climate change, loss of wildlife habitat and biodiversity, and increases in pressures on water resources. From the provision of clean drinking water to the construction of transportation and waste water networks, every aspect of the urbanization process has significant environmental implications.

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Shorenstein APARC
Authors
Douglas Webster
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1-931368-03-1
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Silicon Valley BizInk spoke to APARC Senior Research Scholar %people1% about his current hot-button work on the offshoring of business practices (BPO) to India.

U.S. companies sent jobs to India to save money, but stayed because of the quality of the work. Rafiq Dossani is a senior research scholar at the Asia-Pacific Research Center at Stanford University. Dossani, along with Martin Kenney, a professor in the human and community development department at the University of California, Davis, published a 52-page research report entitled "Went for Cost, Stayed for Quality: Moving the Back Office to India." The paper is available for download below. The research is a comprehensive look at the driving forces behind the migration of "business process" work to India. These BP jobs include much of the so-called back-office tasks -- human resources, accounting and customer service -- that are being outsourced to India. General Electric Co., for example, employs 9,000 BP workers in India, saving the company $340 million per year. It's little wonder why GE anticipates employing 20,000 workers in India by next year. Biz Ink editor Dennis Taylor spoke with Dossani from his Stanford University office about the dynamics of the offshoring trend. Q: What are the key business needs being outsourced to India today? A: There are really two practices: [information technology] and business process outsourcing. BP is expected to overtake IT by next year. IT outsourcing has been growing in India by about 15 percent per year. BP is growing at 100 percent a year. There are different dynamics involved. Q: On the IT side, what work is being done in India? A: There are four distinct processes to IT development -- project determination, architecture, system design and [programming]. About 25 percent of that is programming, quality assurance and Web services. India has about 15 percent of that. It's a small percentage, but it's growing fast. Q: Why does that type of technology flourish in India? Is it the education focus? A: The education policy as such hasn't made much of a difference. India doesn't have a lot of technically educated people, relative to its population. There are 0.3 scientists and technicians per 1,000 people, which ranks India 42 out of 62 nations surveyed by the World Bank in 1998 in the per-capita number of scientists and technicians. What it does have is a billion people. What has helped India is everyone speaks English. Q: What was the most surprising finding coming out of your research? A: By far, India's biggest skill is business management. It is very hard to manage these projects remotely. Yet American companies are lifting a key component of a process and shipping it off to India and it is being managed well. You need to understand that 96 percent of these programming projects are complex coding for banks, insurance companies and a host of manufacturing companies. This is complex software being created on demand and most of it -- because it's banks and manufacturing [not tech companies] -- is coming from mainstream America, not Silicon Valley. Q: How much of the work being outsourced to India comes from the United States? A: About 70 percent. How is the phenomenon of "offshoring" affected life in tech hubs such as Bangalore? Q: In a sense IT has not had an impact on these places. It's like an ivory tower. In March 2003, there were 230,000 employed in the [IT] industry. In Bangalore that may represent one-third of the population, but 30,000 out of a population of 5 million creates a buzz, but that's about it. A: But BP outsourcing is having a completely different impact. There are many recent graduates who have never been able to get a job so easily. Now they have well-paid jobs with multinational firms because they speak English and have good interactive skills. With more people employed, it's beginning to hit mainstream India and move out of Bangalore and to smaller cities. That in turn affects other sectors, such as construction management skills. Shoddy buildings in India are becoming a thing of the past. Q: Is offshoring causing any Indian engineers here in the valley to consider returning to India? A: What happened is India liberalized in 1991 -- allowing foreign firms to do business. But it took them five or six years to adjust, so in 1996 the first foreign company was established and now it's quite common. But IT outsourcing still only comprises 4 percent of the business, but it is growing so there will be an impact to the valley. Q: There are roughly 30,000 Indian engineers in the valley, and I'd estimate no more than 300 have gone back. A: Will the rapid growth in offshoring continue as long as there is a substantial wage disparity between the two countries? Q: Oh, yes. The wage disparity is too much. Someone working in a BP tech support call center will make $1.50 [U.S.] an hour, including benefits. Over here, even if you paid $15 an hour, you wouldn't get happy workers. There it is viewed as a good career. The supply of labor is so huge for call-center work, it will take many years before the difference is cut to even half as much, probably 10 to 15 years. With IT outsourcing, in India you would be paying $3.50 an hour for a Java programmer versus $25 an hour here, so the eight-times differential still exists. Q: Is the practice paying off for valley companies? Any early report cards? A: Oh yeah, big time, especially on the BP side. You save 80 percent in costs. On the IT side it is beginning to pay off, now that it's a matter of in-house offshoring to your own subsidiary. Product software doesn't source out well because of the [feared loss of] intellectual property associated with it. Q: Is there a downside to offshoring work to India? A: A big concern for companies is the loss of knowledge. The last time that happened was in consumer electronics and the U.S. lost the lead. And business continuity is a big concern. You need to have payroll done at a certain time of the month, but if there is a power outage, which is more likely to happen in India than here, what are you going to do? And of course there is a very real concern over the loss of intellectual property.

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