In the United States, T.L.C. is commonly taken to mean "tender loving care," which is not what I have in mind. Anyone looking for tender loving care in the world of global business is likely to be disappointed. No, as I'm using it here, T.L.C. stands for talent, law and competition. Briefly, I want to consider the significance of each of these and the threat they all face.

The first -- talent -- is another way of describing the unique creative potential of every human being. Different people have different talents, and people with the same talents have them in different degrees. Yet, the most economically advanced, technologically proficient, culturally vital societies all encourage people to develop their talents -- whatever they may be -- to the greatest possible level.

The opposite is true, as well.

History is filled with examples of how various forms of slavery, serfdom and forced labour, which deprived people of any claim on the rewards of their work, produced economic inefficiency, technological backwardness and social stagnation.

Societies that arbitrarily expropriate the results of individual talent or effort sever the connection between risk and reward. As a result, they deny themselves the means of their own improvement.

In the media and entertainment industry, talent is the engine that drives the virtuous cycle of risk, reward and re-investment. It's what creates films, print, music and programming; equally, it's the reason why audiences choose one film or CD over another.

You can automate assembly lines and entire factories, but you can't automate the essential work of writing and producing movies, songs, magazines or programming.

The recognition of the benefits a society receives when it guarantees individuals the right to express their talents fully and to enjoy the success they achieve has resulted in various legal protections.

The reason we extend the protection of the law to others -- to their material possessions, intellectual property and freedom of expression -- is to ensure that same protection for ourselves. As a result, we are able to construct a context in which it's possible to work, invest and engage in competition. Which brings me to the "c" in T.L.C. -- competition.

True competition -- the kind that rewards innovation and excellence, serves consumers' best interests and drives a society's progress -- can only take place in an arena in which the rules are the same for everyone.

Empirically, we know that a level playing field is the fairest, most effective arbiter of price, quality and value. It weeds out inefficient businesses and rewards innovation and invention.

Conversely, nothing is more apt to undermine a country's ability to develop the strength of its economy or build its capacity for re-investment and modernisation than: one, shielding itself from competition; and two, failing to establish and maintain an environment in which ownership of property -- intellectual and otherwise -- is secure from theft and piracy.

On the first count -- protectionism -- I'm fairly optimistic. We're a long way from an ideal situation but, despite serious setbacks and obstacles, I believe the overall momentum of world trade is in the right direction.

On the second count -- piracy -- I remain deeply concerned.

In the United States, for instance, over the last three years, music industry shipments have fallen a whopping 25 percent, largely as a result of illegal music-swapping on the Internet. In China, it's estimated that the illegal trade in music accounts for over 90 percent of the industry's business.

The pillaging has spread to movies and TV shows. The motion Picture Association estimated last year that piracy in the Asia-Pacific region cost filmmakers almost US$650 million in lost sales -- US$168 million of that in China. Worldwide the figure is US$3 billion.

This practice challenges the right of artists and the companies that invest in nurturing, marketing and distributing their work to reap the rewards of their labour. I find it particularly ironic that this challenge should arise so soon after practically every country in the world -- socialist and non-socialist alike -- has recognised the role of individual initiative and profit-driven enterprise in sustaining a healthy economic future.

Digital piracy threatens that future. Piracy is the enemy of everyone who believes in a thriving global marketplace for ideas, images and information -- a market supplied by vibrant local enterprises capable of investing resources into developing new talent and new technologies.

Ultimately, I believe that through a combination of more effective technology, law enforcement, and using technology to create legitimate alternatives, piracy will be brought under control.

Along with the willingness of governments everywhere to enact and enforce protections for intellectual property, we need a new international commitment to take joint action on problems that no nation can solve on its own. We're in this together.