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This paper first gives a brief overview of the Lebanese economy, which is based on the service sector and dominated by very small size enterprises (containing less than four in the workforce). The necessity for Lebanon to integrate into the global market will have consequences on the competitiveness and survival of many Lebanese firms. The paper also discusses the absence of linkages between the academic and technical education systems and the world of work and suggests that an enhanced education and training system is necessary in order to increase labour market responsiveness to new opportunities.