MAG scholar Global Business Conference 2015 Porto Business School, Portugal

Activity: Participating in or organising an eventParticipation in conference

Description

Lecture: Understanding Emerging Economies: The Case of China

Emerging markets are countries such as Brazil, China, India, Russia, and Turkey that, in contrast to already advanced economies such as USA, Japan, Germany, France, UK and others, are now experiencing rapid industrialization, modernization, and rapid economic growth. The emerging markets represent some of the strong markets and low-cost manufacturing bases, highly Foreign Direct Investment (FDI), but they are also facing high-risk business environments with evolving commercial infrastructure and legal systems. Despite their drawbacks, emerging markets have begun to produce new global challengers – they are building top multinational firms that are fast becoming key contenders in world markets. The Boston Consulting Group (BCG) has identified the top 100 new global challengers. Many of them are from China and India. The companies from emerging markets are growing so quickly overseas that they are reshaping industries, and surpassing some of most traditional multinational companies from USA, Japan and Europe. Some of these companies are Chinese, and they are family-owned or family-run business (family conglomerates). They have access to excellent engineering and managerial talent, in most cases, superior to that of competitors in advanced economies. Many of them are expanding internationally by taking their home-established brands to global markets. Chinese car manufacture BYD is one of the new challengers in the global automotive industry, and it is already selling in South America and Africa. BYD is making stylish vehicles at low price. China is not the only one producing these new brands in the international market; Brazil’s Embraer is challenging the big players in building innovative and small jets for the international market. It has already becoming the world’s leading producer of regional jet aircrafts.

Many of the new global challengers benefit from local base natural resources. However, they also benefit from the new way of government approaches. In the case of the Chinese government, for example, which is investing heavily in new clean technologies and new industries based on growing demand for products and services that support the natural environment. China is investing hundreds of billions of dollars in wastewater treatment infrastructure and energy-saving power production. China, in fact, is already a world leader in developing green industries and renewable energies.

This paper will focus on the challenges of the emerging markets, particularly focusing on China and its numerous opportunities for itself, and for the other emerging economies such as Brazil and others in great development. However, the paper will also focus on the challenges of the Chinese government and the lessons for the other emerging economies. The success of China requires deep understanding of the market and long-term commitment.



Emerging markets are countries such as Brazil, China, India, Russia, and Turkey that, in contrast to already advanced economies such as USA, Japan, Germany, France, UK and others, are now experiencing rapid industrialization, modernization, and rapid economic growth. The emerging markets represent some of the strong markets and low-cost manufacturing bases, highly Foreign Direct Investment (FDI), but they are also facing high-risk business environments with evolving commercial infrastructure and legal systems. Despite their drawbacks, emerging markets have begun to produce new global challengers – they are building top multinational firms that are fast becoming key contenders in world markets. The Boston Consulting Group (BCG) has identified the top 100 new global challengers. Many of them are from China and India. The companies from emerging markets are growing so quickly overseas that they are reshaping industries, and surpassing some of most traditional multinational companies from USA, Japan and Europe. Some of these companies are Chinese, and they are family-owned or family-run business (family conglomerates). They have access to excellent engineering and managerial talent, in most cases, superior to that of competitors in advanced economies. Many of them are expanding internationally by taking their home-established brands to global markets. Chinese car manufacture BYD is one of the new challengers in the global automotive industry, and it is already selling in South America and Africa. BYD is making stylish vehicles at low price. China is not the only one producing these new brands in the international market; Brazil’s Embraer is challenging the big players in building innovative and small jets for the international market. It has already becoming the world’s leading producer of regional jet aircrafts. Many of the new global challengers benefit from local base natural resources. However, they also benefit from the new way of government approaches. In the case of the Chinese government, for example, which is investing heavily in new clean technologies and new industries based on growing demand for products and services that support the natural environment. China is investing hundreds of billions of dollars in wastewater treatment infrastructure and energy-saving power production. China, in fact, is already a world leader in developing green industries and renewable energies. This paper will focus on the challenges of the emerging markets, particularly focusing on China and its numerous opportunities for itself, and for the other emerging economies such as Brazil and others in great development. However, the paper will also focus on the challenges of the Chinese government and the lessons for the other emerging economies. The success of China requires deep understanding of the market and long-term commitment.
Period29 Jun 20151 Jul 2015
Event typeOther
Sponsor

Keywords

  • emerging economies
  • China
  • Brazil