East Asia and Pacific
Against a backdrop of accelerating modern retail globalization, India retained its position as the world’s most attractive emerging market, according the 2006 Global Retail Development Index (GRDI), an annual study of retail investment attractiveness among 30 emerging markets. The study also found Asia has overtaken Eastern Europe as the dominant region for global retail expansion.
One of the defining myths of modern China - that it has a bottomless well of unskilled, low-wage laborers - is coming apart at the seams. And hardest hit are the southern coastal cities that produce much of America's consumer bounty.
As migration trends and personal preferences shift, the employment and incentive policies of Chinese factories will have to adapt to new labor pools if they want to remain competitive.
Morgan Stanley chief economist Stephen Roach discusses some surprising data emerging out of a recent Gallup poll in China. He sees amazing potential - once some key constraints are overcome. Mainly the urban-rural gap and building a new safety net.
According to the latest McKinsey Global Survey, top global executives believe that the growing number of consumers in emerging markets (and the resulting changing consumer tastes) will be the most important trend for global business during the next five years.
During the PSD Forum we asked Yasheng Huang of MIT (who is Chinese) to talk about what China can learn from India. We then asked Sridhar Ramasubbu of Wipro (who is Indian) to talk about what India can lean from their northern neighbors. Joerg Wuttle of BASF also gave his perspective on the Chindia debate.
See Joe Battat’s presentation at the 2006 PSD Forum. A polished paper should be out soon. Some quick facts from his survey of Chinese firms:
Presentations, video and pictures from the World Bank's 2006 Private Sector Development Forum are now online.
In their guide to womenomics the Economist argues that the future of the world economy lies increasingly in female hands - perhaps the world's most under-utilized resource.