World Bank assessment: evaluation of the international trade environment

Purpose The paper aims to conduct an in-depth exploration and evaluation of the business environment in the Pilot Free Trade Zone of Z Province. The goal is to provide a comprehensive and objective analytical framework and empirical basis for policymakers, academia and business practitioners. By optimizing the business environment, the paper seeks to enhance the sense of gain, activity and development quality of market entities, thereby promoting high-level opening-up and high-quality development of the regional economy. Design/methodology/approach The research employs a multifaceted approach to data collection, including questionnaire surveys, face-to-face interviews and computer-aided telephone surveys (CATI) to ensure data representativeness and comprehensiveness. For data analysis, the paper utilizes factor analysis, a statistical technique for dimensionality reduction that extracts major factors from multiple related variables, reflecting most of the original data’s information. Additionally, exploratory factor analysis (EFA) and Analysis of Variance (ANOVA) are conducted to ensure a scientific and rational evaluation model. Findings The empirical research reveals that the overall score of the Pilot Free Trade Zone of Z Province’s business environment evaluation for 2023 is 89.15 points, reflecting performance in enterprise trade efficiency, regulatory quality and public service quality. Particularly, the enterprise trade efficiency dimension scored 90.35 points, indicating significant improvements in enterprise efficiency. The study also identifies key dimensions for business environment evaluation, such as public policy supply, institutional transaction costs, market regulatory behavior and infrastructure services. Practical implications Through evaluation to promote reform and optimization, the business environment in free trade zones throughout the province is optimized and improved. Originality/value The paper’s originality and value lie in its systematic approach to assessing the business environment, its use of advanced statistical methods to analyze complex data and its provision of actionable insights for stakeholders. They also emphasize the importance of institutional quality, digital governance and international trade in the business environment, providing a scientific basis for policy formulation. Lastly, the study identifies key issues and challenges in optimizing the business environment, providing decision-makers with references for promoting sustainable and healthy economic development in the Pilot Free Trade Zone.