Summary of Think You Need an Emerging-Markets Strategy? Think Again

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Rating

8

Qualities

  • Innovative
  • Applicable

Recommendation

At one time, the line between the advanced and emerging markets was fairly distinct: Wealth and higher incomes distinguished the former, and lower incomes and faster economic growth characterized the latter. But that line has become blurred, according to this perceptive analysis from Boston Consulting Group professionals, and these shifting trends call for fresh corporate strategies. getAbstract recommends this timely article to executives responsible for developing those strategies, as well as to investors seeking insights into the promising economies of tomorrow.

About the Authors

Dinesh Khanna et al. are professionals with the Boston Consulting Group.

 

Summary

The division of the world economy into advanced and developing markets is obsolete. The differences among individual emerging market economies make lumping them together misleading. For example, the highly divergent economic paths of the BRIC countries – Brazil, Russia, India and China – have shattered the notion of that umbrella classification.

Since 2000, three major trends have emerged: First, rich countries no longer lead in global growth. In terms of economic footprint (calculated by nominal GDP) and share of global GDP growth, nations such as Japan, the United States and Germany are losing...


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