Performance overview: Switzerland
For the eighth consecutive year, Switzerland tops the GCI, achieving an even higher score than in previous years. Although its performance remains largely unchanged from last year, a small score improvement means Switzerland achieves the highest GCI score since the introduction of the current methodology in 2007. The country features in the top 10 of 11 GCI pillars and tops four of them: labor market efficiency, business sophistication, innovation, and technological readiness (for the first time). Switzerland arguably possesses one of the world’s most fertile innovation ecosystems, combining a very conducive policy environment and infrastructure, academic excellence, an unmatched capacity to attract the best talent, and large multinationals that are often leaders in their sector as well as a dense network of small- and medium-sized enterprises across sectors that has a reputation for quality and a strive for innovation. Furthermore, intense collaboration between the academic and business worlds yields innovative products with commercial applications. Among the country’s relative weaknesses are the persistent and deepening deflation (1.1 percent in 2015), the relative lack of market competition, hindrances to business creation, relatively high barriers to entry, and the low level of women’s participation in the labor force in comparison with other advanced economies.