Taiwan has now moved into the service-oriented post-industrial era. Service industries such as dining, shopping, luxury goods, or design all have the potential to support continued growth in domestic consumption. (Chuang Kung-ju)

What drives employment and economic growth when the global export engine stalls?

A new forecast from the Council of Labor Affairs suggests that the private sector will need 55,000 more workers at the end of April than it did at the end of January, including 24,000 in the manufacturing sector and more than 30,000 in services. Compared with the same period last year, in 2012 personnel demand in the manufacturing sector has contracted by half, while that in the service sector has remained steady. The numbers suggest that domestic demand is strengthening. Can “local” services reinvigorate the domestic economy?

When restaurant chain operator the Wow­prime Group listed on the stock market on March 6, chairman Steve Day and a group of company executives celebrated the listing by donning red sportswear and bicycling to Taipei 101, the home of the Taiwan Stock Exchange.

Wow­prime’s listing was a media sensation. The company’s initial public offering was oversubscribed by a record 800 times, tying up some NT$100 billion in market funds. That led to it being expanded from 10% of the company’s capital stock to 60%, a record for the tourism and entertainment sector.

And the enthusiasm extends beyond Wow­prime. Companies like Gourmet Master, the owner of the 85°C brand, and the soon-to-be-listed An Shin Food Services, owner of the MOS Burger chain, have seen their share prices soar to triple digits on listing on the stock or over-the-counter markets.

An example of this change in emphasis can be found in the behavior of TECO Electric and Machinery chairman Theodore Huang. He used to ask to be introduced as “TECO’s Theodore Huang” when making public appearances. Three years ago, he changed that, asking instead to be referred to as “MOS Burger’s Theodore Huang.”