Mudavanhu et al
Greener Journal of Business and Management Studies Vol. 3 (9), pp. 408-415, December 2013
ISSN: 2276-7827 © 2011 Greener Journals
Manuscript Number: 100713893
An Analysis of Inter-Sectoral Comparative Advantage of Seychelles
1*Mudavanhu Victoria, 2Mzumara Macleans &
1,2,3Department of Economics, Bindura University of Science Education, P/Bag 1020,
Email: 1vkmfemi @ yahoo .com, 2macmzumara @ yahoo .com, 3tafireiflx @ gmail.com
*Corresponding Author’s Email: vkmfemi @ yahoo.com
The authors investigated inter-sectoral comparative advantage of Seychelles. The sector with the highest inter-sectoral comparative advantage is the Animal and animal products sector followed by the miscellaneous sector. Least is the raw hides, skins, leather and furs sector with no comparative advantage at all. The products that dominate the animal and animal products sector are various types of fish or sea products. However, the top two sectors do have very few products which have demonstrated to have comparative advantage. In general, inter-sectoral comparative advantage in Seychelles is very limited. It is recommended that Seychelles should come up with sectoral strategies to boost comparative advantage. There is a need to diversify from fish products to include other products. Seychelles should also encourage inward foreign direct investment specifically from multi-national firms which can bring in technology and improve on comparative advantage.
Keywords: Comparative advantage, international trade, export performance, Seychelles.