In today's increasingly open and integrated world economy, competitiveness plays a key role in both developed and developing countries. According to the OECD, competitiveness is the ability of a country to produce goods and services, under free and equal market conditions, that pass the test of the international market, and at the same time ensure long-term growth of living standards.

Traditionally, the international competitiveness of countries was explained by international trade theories derived from the work of Adam Smith. However, today's global economy is too complex to be explained by traditional theories. Harvard professor Michael Porter's classic, «The Competitive Advantage of Nations», presents a new theory of competitiveness. The theory argues that national well-being is not inherited but created through strategic choices. While in the past development was based on comparative advantages such as cheap labor and natural resources, the foundation of economic development in the contemporary world lies in advanced factor conditions based on knowledge and developed infrastructure, high technology and innovation. For Porter, it is not important which products you manufacture, but how you manufacture them.

Although their basic roles are different, the public and the private sector join to create a productive and competitive economy. Although good fiscal and monetary policy, an efficient legal system and stable democratic institutions are highly important for a successful economy, they are not enough. Finally, wealth is created at the microeconomic level of the economy. It is based on the quality of microeconomic conditions as well as the operational practices and strategies of companies. Competitiveness is a multidimensional phenomenon, inevitably encompassing companies, economic sectors and the whole nation.