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The Crown Property Bureau in Thailand and the crisis of 1997

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Abstract

The Crown Property Bureau is the monarchy's investment arm in Thailand. While the monarchy's political role has been much discussed since the 2006 coup, its economic foundations, activities and role have seldom been studied. To understand these aspects better, this article looks at how the 1997 crisis affected the Crown Property Bureau. The Bureau was particularly vulnerable because of its dependence on the performance of two private companies in which the Bureau was a major shareholder. Both companies, the Siam Commercial Bank and the Siam Cement Group, were in sectors that were hit hard by the crisis. The Bureau survived the crisis by making significant changes in its own management and investment policies, and by promoting similar reforms in two affiliated companies. As a result, the Bureau emerged with an income significantly higher than its peak pre-crisis level.

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... Abgeschnitten von dem unmittelbaren Zugriff auf die staatlichen Steuereinnahmen wurde das finanzielle Auskommen des Hauses Chakri durch die Etablierung eines königlichen Schatzamtes gesichert -eine Institution, die das Vermögen der Familie, vor allem deren Grundeigentum verwaltete und zu Aufgabe hatte, durch die Bewirtschaftung dieser Vermögen dem Königshaus ein standesgemäßes Auskommen zu sichern. Dafür wurde eine besondere Rechtsform geschaffen, die das Schatzamt von allen Steuern und Abgaben und von jedweder Rechenschaftspflicht befreit (Ouyyanont 2008). ...
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... Dieses qualitativ ganz anders konzipierte Projekt zeigt deutliche Auswirkungen in den Ländern der chinesischen Einflusssphäre -wie zum Beispiel in Thailand . (Porphant 2008) . ...
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... Abgeschnitten von dem unmittelbaren Zugriff auf die staatlichen Steuereinnahmen wurde das finanzielle Auskommen des Hauses Chakri durch die Etablierung eines königlichen Schatzamtes gesichert -eine Institution, die das Vermögen der Familie, vor allem deren Grundeigentum verwaltete und zu Aufgabe hatte, durch die Bewirtschaftung dieser Vermögen dem Königshaus ein standesgemäßes Auskommen zu sichern. Dafür wurde eine besondere Rechtsform geschaffen, die das Schatzamt von allen Steuern und Abgaben und von jedweder Rechenschaftspflicht befreit (Ouyyanont 2008). ...
... Ähnlich der japanischen zaibatsu oder koreanischen chaebol bildeten die chinesisch-stämmigen Händlerfamilien Bang-koks Konglomerate, zu deren Kern eine Bank und ein Handelshaus gehörten, und die in unterschiedlichen Industriesparten zu investieren begannen. Das königliche Schatzamt war eines dieser insgesamt fünf Konglomerate, in dessen Zentrum die Thai Farmers Bank und Industrieunternehmen wie Siam Cement stand (Ouyyanont 2008;Suehiro 1989;Phipatseritham u. Yoshihara 1983). ...
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... 17Construction loan interest rateHung et al. (2002),Barlas et al. (2007),Edelstein and Tsang (2007),Deng et al. (2009),Morri and Cristanziani (2009), Park et al. (2010),Eskinasi (2012),Golob et al. (2012),Hwang et al. (2013- 2). 18Taxes and feesHuang and Wang (2005),Vanichvatana (2007),Ouyyanont (2008). 19Land cost and consultant costsKenny (1999),Guthrie (2010),Eskinasi (2012 ). ...
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... Not only power and prestige are at stake. In terms of economic interest, the royal family's Crown Property Bureau (CPB) is one of the largest business conglomerates in Thailand, with assets worth some uS$41 billion in 2005(hewison 2012Ouyyanont 2008). CPB is an opaque organization: exempt from taxes, protected by the palace, and lacking transparency and public accountability. ...
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The article gives a basic insight into the different currents that are part of an alternative development paradigm in Thailand. While a global trend of alternatives as reflected in the post-development critique gained momentum in the 1990s, its agents in Thailand have a much longer history. Taking up the critique of post-development approaches as remaining at a discursive level, rather than actually effecting progressive material social change, this article traces the strategic alliances, junctures and disjunctures among alternative development proponents in the north-eastern province of Yasothon. Only a couple of months after the historic financial crisis hit Thailand, and just after the ‘Sufficiency Economy Philosophy’ – an alternative development paradigm framed by the King – was roughly outlined in December 1997, a small rural community of five villages in the north-eastern district of Kud Chum, with a history of political dissent, started to implement a community currency network. This article suggests that the reactions and dynamics, which the implementation triggered, as well as preceding and subsequent processes of co-optation and collaboration, are very telling in terms of the overall workings of Sufficiency Economy as a political programme. The events tell a story of top-down co-optation, bottom-up strategic alliances, as well as a plethora of other interests and aims on the ground.
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The mainstream agri-food system in Thailand has been shaped to aid capital accumulation by domestic and transnational hegemonic forces, and is currently sustained through hegemonic agri-food production-distribution, governance structures and ideational order. However, sustainable agriculture and land reform movements have to certain extents managed to offer alternatives. This book adopts a neo-Marxist and Gramscian approach to studying the political economy of the agricultural and food system in Thailand (1990-2014). The author argues that hegemonic forces have many measures to co-opt dissent into hegemonic structures, and that counter-hegemony should be seen as an ongoing process over a long period of time where predominantly counter-hegemonic forces, constrained by political economic structural conditions, may at times retain some hegemonic elements. Contrary to what some academic studies suggest, the author argues that localist-inspired social movements in Thailand are not insular and anti-globalisation. Instead, they are selective in fostering collaborations and globalisation based on values such as sustainability, fairness and partnership. Providing new perspectives on polarised politics in Thailand, particularly how cross-class alliances can further or frustrate counter-hegemonic movements, the book points to the importance of analysing social movements in relation to established political authority. It will be of interest to academics in the field of Politics and International Relations, Sociology, Development Studies and Asian Studies.
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Since 2005, Thailand has been in crisis, with unprecedented political instability and the worst political violence seen in the country in decades. In the aftermath of a military coup in 2006, Thailand's press freedom ranking plunged, while arrests for lèse-majesté have skyrocketed to levels unknown in the modern world. Truth on Trial in Thailand traces the 110-year trajectory of defamation-based laws in Thailand. The most prominent of these is lèse-majesté, but defamation aspects also appear in laws on sedition and treason, the press and cinema, anti-communism, contempt of court, insulting of religion, as well as libel. This book makes the case that despite the appearance of growing democratization, authoritarian structures and urges still drive politics in Thailand; the long-term effects of defamation law adjudication has skewed the way that Thai society approaches and perceives "truth." Employing the work of Habermas, Foucault, Agamben, and Schmitt to construct an alternative framework to understand Thai history, Streckfuss contends that Thai history has become "suspended" since 1958, and repeatedly declining to face the truth of history has set the stage for an endless state of crisis. This book will be of interest to students and scholars of South East Asian politics, Asian history, and media and communication.
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Thailand's democratic development has always been linked with the rise of the middle class. This social class, according to this discourse, has brought about the 1973 student revolution and the 1992 Bangkok uprising. However, the 2006 military coup that overthrew the popular Thaksin government has also witnessed a substantial middle class support, which has developed and consolidated itself into a right-wing monarchist Yellow Shirt movement. This article attempts to argue that the seed of this democratic reversal has already been sown in its vision of "Thai style democracy" (TSD) enshrining the dominance of the monarchy and its ideal of clean politics. The present phase of endemic crisis in Thailand was ignited by the attempt to remove the populist Thaksin from power, who was seen as athreat by the monarchy. Perceiving in Thaksin as offering a new democratic deal, the grassroots Red Shirts have stirred support trying to transcend the confines of TSD.
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This chapter presents a geographical-historical analysis with several summary observations about uneven development and “actually existing globalization” in the Greater Mekong Subregion (GMS). It argues that capital bounds the Mekong—the ADB discursively constructs the borders of the region, thereby naturalizing processes of capital accumulation enabled by the infrastructure it has helped build. Along this infrastructure move various kinds of capitalists and workers, bounding into, through, and beyond the GMS, producing a broader East Asian regional economy marked by uneven development and competitive displacement. The two forms of bounding produce a process of regionalization more salient at the scale of East Asia as a whole than at the scale of the GMS—a process of regionalization that can also be taken as an instance of “actually existing globalization.”
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This article reviews Andrew MacGregor Marshall’s A Kingdom in Crisis: Thailand’s Struggle for Democracy in the Twenty-First Century, a book on how Thailand’s political challenges relate to the Thai monarchy. The review draws comparisons between the excitement surrounding the publication of the acclaimed book The King Never Smiles in 2006 and the recent reaction to the publication of A Kingdom in Crisis. It argues that the book is an important contribution because it informs a wide audience about the damaging political role of the monarchy, but it repeatedly ignores an already existing corpus of literature that deals critically with Thailand’s monarchy. Moreover, its focus on the succession as the key factor in the ongoing political crisis is unnecessarily narrow and should have been complemented by an analysis of structural forces as drivers of change.
Technical Report
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Background The European Commission (EC) published a Forest Law Enforcement, Governance and Trade (FLEGT) Action Plan in 2003. FLEGT aims not simply to reduce illegal deforestation, but in promoting good forest governance, aims to contribute to poverty eradi-cation and sustainable management of natural resources.
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Large, highly diversified business groups are a prominent feature of the industrial landscape of most emerging economies. Their competitiveness has been the topic of much debate in the international business literature. This paper intervenes in this debate by utilising data from Thailand and demonstrating that whereas business groups create value by filling institutional voids, the political context of a country and the investment of powerful actors in particular groups can cause great variance across business groups’ performance.
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This article examines the racialization of urban space in early twentieth-century Bangkok. After a general strike in 1910, the Siamese monarchy represented itself in urban space as the leaders of a sovereign nation with a racial Other in its midst. Rather than create a separate, walled enclave to contain this population, the monarchy drew on a material and rhetorical campaign to develop two interdependent cities with distinct racial identities. One city was a national capital under the authority of the absolute monarchy. The other was a thriving port city populated mostly by "Chinese" migrants and governed by extraterritorial law. Juxtaposing the built environment against its discursive representations, this article argues that the monarchy sought to endow the dual city of Bangkok and its inhabitants with racial characteristics to clarify national belonging, control the political power of the region's migrant population, and cultivate support for royal urban investments.
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Duncan McCargo's influential model of 'network monarchy' enables us to understand how King Bhumibol Adulyadej has mobilized his nationwide patronage network to shape contemporary Thai politics. This model, however, focuses mainly on the conflicts between reform-minded virtuous leaders (represented by Bhumibol) and unprincipled, self-serving politicians, and pays insufficient empirical attention to the porous boundaries between the two. The author makes up for this weakness by unravelling the historical process through which Bhumibol has developed a symbiotic, if ambiguous, relationship with Banharn Silpa-archa, regarded as the epitome of unscrupulous rural-based politicians. The author shows that the two have used each other for their respective political purposes. In an effort to protect and advance his personal and dynastic interests, Bhumibol has found it necessary and expedient to rely on Banharn as a valuable political ally. Banharn, for his part, has relied on the king and his proxies to legitimate and consolidate his authority at the local level. By casting light on this interdependence between the two seemingly contrasting types of leader, the paper contributes to a further elaboration of McCargo's model and, more generally, to a deeper understanding of the complexity of Thailand's patronage politics.
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The anti-government demonstrations that occurred in Thailand around Bangkok’s Ratchaprasong intersection in April and May 2010 drew attention to the broader significance of the protest site. In the wake of the bloody crackdown on the protests and of unprecedented arson attacks against shopping malls on 19 May, some people turned to the past in search of explanations of the shocking events. As a result, for the first time since its disappearance in the early 1980s, Wang Phetchabun, the former palace of Prince Chudadhuj Dharadilok, returned to the public memory. The palace had occupied the land adjoining Ratchaprasong intersection since the reign of King Rama VI until it was replaced by a shopping mall. Rumours spread about a royal curse, and about uprooted guardian spirits whose duty to protect the heritage of Wang Phetchabun dooms to failure commercial enterprises at the former palace site and punishes ignorance of its history with physical harm. The collective memory of the palace lends itself well to interpretations based on Halbwachs’ theory of social morphology which relates to the connection between society and architecture.
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This article examines the desacralisation of royal charisma in contemporary Thailand. Over the past few years an underground discourse has emerged among critics of royal ideology and supporters of former Prime Minister Thaksin Shinawatra that directly confronts the power of the monarchy. The images, metaphors and linguistic devices used in the process are difficult to study because they rarely appear in public. This article focuses on an unprecedented demonstration of rage against the monarchy on September 19, 2010, when red-shirted demonstrators painted anti-royal graffiti on a construction hoarding at Ratchaprasong intersection in downtown Bangkok. In analysing the Thai political crisis as a battle of different charismatic groups, the article will present the September 19 event as the first open strike against the sacred charisma of the Thai monarchy. This charisma has hitherto been protected by royalists from all walks of life who were “working towards the monarchy.” With their attacks on the monarchy the red-shirts were challenging a legitimacy-conferring system which had benefited wide sections of the Bangkok populace in the past. At the same time, a competing charismatic movement has emerged around Thaksin, who himself has to take into account the charisma he conferred upon his followers.
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After the 1997 Asian markets crash, the theory of the “sufficiency economy” altered the discourse of development in Thailand. Emphasizing Buddhist notions of moderation and “enough” sufficiency recast development as a means to temper socio-economic volatility by reforming consumer affect. Sufficiency theory pinned the nation's economic upheaval on excessive desires, attempting to intervene in these impulses through projects rooted in personal moderation and communality. In this article, I explore the relationship between politics, citizenship, and sufficiency. Through ethnographic analysis of cases from urban squatter settlements taking part in state-driven participatory urban planning policies, I argue that sufficiency has become central to debates over citizenship in contemporary Thailand. Urban planners use sufficiency to attempt to produce what they term “personal development” and to attempt to defuse political claims by training the poor to moderate their demands by learning “enough.” I also show how residents of squatter communities use the language and practices of sufficiency to make political claims and to demonstrate their legitimacy as citizens with rights to the city. In doing so, I demonstrate how notions of sustainable development tied to moderation extend and potentially interrupt social inequalities.
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Thailand's on-going political crisis began with agitation against the Thaksin Shinawatra-led government, saw a military coup and a spate of street-based protest and violence. Drawing on Marx and Weber and using the categories of class, status and party, it is argued that Thailand has reached a political turning point. Subaltern challenges to the hierarchical institutions of military, monarchy and bureaucracy appear to have resulted in political patterns of the past being set on a new trajectory. The social forces that congregate around old ideas associated with status honour – hierarchy, social closure and inequality, ‘Thai-style democracy’ and privilege – are challenged by those championing equality, access, voting and populism. While the balance of forces would suggest that an historical turning point has been achieved, reaction and unexpected outcomes remain possible.
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This article examines the inter-related factors that underpin the fragility of Thailand's democracy. Uneven economic development, the high levels of income inequality, and unequal access to power and resources are significant drivers of Thailand's ongoing political conflict. Social divides across classes and regions, and populist exploitation of the rural poor's sense of alienation from the traditional ruling elites, provide a volatile backdrop to national politics. In addition, Thailand's unstable political history and the weakness of liberal institutions present risks to its democracy. The army, the revered monarch and the judiciary comprise elites whose periodic interventions in politics and reservations about electoral democracy further render the Thai polity fragile. Thailand's political situation represents a ‘slow-burning’ crisis of democracy: a long-term historical confrontation developing slowly, with the fundamental issues unresolved. It is undergoing a period of social turmoil fuelled by a power struggle between competing material interests and by an ideational contest to determine the country's constitutive political rules. This can be conceptualised as a struggle for control of Thailand's future between a heterogeneous populist-capitalist movement of illiberal democracy and conservative forces of undemocratic liberalism.
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This paper analyzes past and present efforts of government agencies, civil society organizations and the private sector to improve the housing conditions of some one million urban poor who live in informal settlements in Bangkok, Thailand. It gives special attention to the current programme, Baan Mankong that supports community-based organizations in informal settlements to build city-wide networks that enable the communities to negotiate better deals with landowners for the lease or purchase of land, and to assist in the improvement of housing and infrastructure. It finds that the programme, while effective, also has some limitations and concludes that Thailand needs a national housing policy that promotes adequate housing for all.
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Twice elected prime minister of Thailand at the head of his Thai Rak Thai Party, telecommunications magnate Thaksin Shinwatra was controversial in office. Since his government was overthrown by a September 2006 military coup backed by the palace, conservatives, and a broad coalition of opponents, Thaksin has remained at the centre of Thailand's continuing political turmoil. This paper examines his political legacy, both in its positive and negative forms, through a focus on the nature of political parties and electoral policies in Thailand; the role of business interests in politics; the impact of Thaksin's politics on political activism and mobilisation; populism, social welfare, and the reaction of the middle class to welfare politics; Thaksin's confrontation with the elite and the monarchy; and the developing judicialisation of politics.
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For all the attention paid to the economic, social, and moral dimensions of prostitution in Thailand, no scholar has thus far conducted an empirical study of the relationship between the vice and political change in the countryside, where most sex workers come from. Using the case of Phayao Province in northern Thailand, I attempt to redress this lacuna. I show how rampant prostitution, the most acute social issue in Phayao, has ushered in the rise to power of one virtuous woman from an ethnic minority family—Ladawan Wongsriwong. Located on the economic and social margins of Thailand, many village families in Phayao traditionally relied on prostitution for income, causing a massive influx of young girls into the lucrative sex industry in Bangkok and abroad. In the 1990s, however, AIDS started taking a heavy toll on Phayao's small population. Against this backdrop, Ladawan emerged as a prominent female leader in the male-dominant rural society of Phayao by conducting an extensive issue-oriented campaign against prostitution. This case questions much of the literature on rural politics and female leadership in democratizing Southeast Asia that underestimates the importance of social issues.
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The setting the early years of the Ministry of Finance 1885-96 - its establishment and collapse the creation of an effective Ministry of Finance 1896-1902 the effective Ministry in operation - financial stringency 1902-06 the Ministry disunited and revived 1906-10 assessment and perspectives.
Samnak ngan sapsin suan phra mahakasat khong wai kaen thae'' [The Crown Property Bureau Keeps its Core
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Anon. (2003a) ''Samnak ngan sapsin suan phra mahakasat khong wai kaen thae'' [The Crown Property Bureau Keeps its Core], Corporate Thailand, December, pp. 32-42.
Bankers and Bureaucrats: Capital and State in Thailand, New Haven: Yale Center for International and Area Studies
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Hewison, K. (1989) Bankers and Bureaucrats: Capital and State in Thailand, New Haven: Yale Center for International and Area Studies, Yale University Southeast Asian Monographs, No. 34.
Doktor Chirayu Isarangkun na Ayuthaya boet yutthasat mai so. no. ngo. sapsin'' [Dr Chirayu Isarangkun na Ayuthaya Introduces New Strategies for the Crown Property Bureau], Kan ngoen thanakan [Money and Banking
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Anon. (2002) ''Doktor Chirayu Isarangkun na Ayuthaya boet yutthasat mai so. no. ngo. sapsin'' [Dr Chirayu Isarangkun na Ayuthaya Introduces New Strategies for the Crown Property Bureau], Kan ngoen thanakan [Money and Banking], March, pp. 54-7.
The Banker Who Saved the King
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Horn, R. (1999) ''The Banker Who Saved the King,'' Time (Asia edition), 6 December, www.time.com/ time.asia/magazine 99/1206/thai3.moneyman.html index.htm (downloaded 30 April 2007).
Yutthasat khwam yai khruea simen thai [Strategies for Expansion of the Siam Cement Group] Kot thurakit [Business Clans], Bangkok: Fresh Publishing. The Crown Property Bureau in Thailand and the Crisis of 1997 189 Downloaded by [UQ Library
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Wirat Saengthongkham (2000) Yutthasat khwam yai khruea simen thai [Strategies for Expansion of the Siam Cement Group], Bangkok: P. Press. Yipphan (2004) Kot thurakit [Business Clans], Bangkok: Fresh Publishing. The Crown Property Bureau in Thailand and the Crisis of 1997 189 Downloaded by [UQ Library] at 20:06 18 November 2014
Royal Rehab: Thailand's Crown Property Bureau Gets a Corporate Makeover
  • E Ellis
Ellis, E. (2003) ''Royal Rehab: Thailand's Crown Property Bureau Gets a Corporate Makeover,'' Fortune, 10 July, http://www.ericellis.com/cpb.htm (downloaded 30 April 2007).
Bot bat khong krom phrakhlang khang thi to me karn longtun tang setthakit nai adit pho. So. 2433-2475'' [The Role of Privy Purse in Economic Investment in the Past, 1900-32], Warasan Thammasat
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Thaweesilp Suebvattana (1985) ''Bot bat khong krom phrakhlang khang thi to me karn longtun tang setthakit nai adit pho. So. 2433-2475'' [The Role of Privy Purse in Economic Investment in the Past, 1900-32], Warasan Thammasat [Thammasat University Journal], 14, 2, pp. 122-59.
Absolute Dreams: Thai Government Under Rama VI
  • S Greene
Greene, S. (1999) Absolute Dreams: Thai Government Under Rama VI, 1910-25, Bangkok: White Lotus.
Kan chatkan sapsin suan phra mahakasat
  • Thewaratmaneekul Sakuna
Kho naenam kieow kap rang phon ngan wichai ‘Samnak ngan sapsin suan phra mahakasat kap botbat kan longthun thang thurakit' khong ro. so. do. ro. porphant ouyyanont’”.[Comments on the draft research report on ‘The Crown Property Bureau and Business Investment’ by Assoc
  • Property Crown
  • Bureau
Kan jat ongkan: korani suksa samnakngan sapsin suan phra mahakasat
  • Sukosol Siriporn
Phra khlang khang thi kap kan longthun thurakit nai prathet po
  • Wattanasiri Chollada
Big Business Groups, Family Business and Multinational Corporations in Thailand
  • Akira Suehiro