Emerging Economies

The two most important trends shaping our world today are the shift of capital from developed to emerging markets and global demographic change. As well as the effects they will have on society as a whole, they are profoundly changing the business landscape – James Turley, Chairman & CEO Ernst & Young

We are all aware of the spectacular growth and success in the last decade of Brazil, India, China and Russia. Some attention has been paid to other emerging economies in Asia and Latin America. None has really been paid to Africa yet according to a recent McKinsey report:

  • At $1.6 trillion in 2008, Africa’s collective GDP was roughly equal to Brazil or Russia
  • Africa’s combined consumer spending in 2008 was $860 billion
  • The number of new mobile phone subscribers signed up in Africa since 2000 is 316 million
  • There are 20 African companies with revenues of over $3 billion
  • Africa’s collective GDP is forecast to grow to $2.6 trillion by 2020, of which $1.4 trillion will be consumer spending
    • Overall, the sustained economic growth in Brazil, India, China, Africa and other emerging economies is shifting the balance of global economic power inexorably towards countries with different cultural heritages and models of business and leadership than in the West.

      For Western owned multinationals this shifting balance of global power, globalisation and demographic change has made harnessing “Talent without Borders” an economic, geographical and cultural imperative for organisational success and competitive advantage.

      For Businesses in these emerging economies, the opportunities domestically, regionally and globally appear limitless. The challenge is to capitalise upon them in a sustainable manner that skilfully integrates the domestic skills, know-how and experience that has led to this success whilst also adapting to meet the regional and global requirements for doing business across borders.

      The Diversity Practice offers a range of interventions to support organisations in this increasingly globalised marketplace to deliver results by:

  • Equipping Top-Tier Executives from emerging economies with the leadership and management knowledge, skills and behaviour required to deliver world class services nationally and globally
  • Developing individual and corporate strategies that create and sustain high performing organisations in emerging economies
  • Capacity building managerial and professional human capital capabilities in emerging economies
  • Equipping leaders in global organisations with the inclusive leadership and cultural competencies to be effective and successful in emerging economies