Unlocking the potential of emerging-market cities
https://www.mckinseyquarterly.com/Strategy/Globalization/Unlocking_the_potential_of_emerging-market_cities_3015 “Most companies still take a national or regional view when allocating resources for global growth. They should shift their focus to fast-growing cities.” Approximately 440 emerging-market cities (not megacities) are certain to deliver close to half of global GDP growth. Less than 1 in 5 executives consider that cities are irrelevant in strategic planning which causes resource misallocation. Emerging markets however flourishing may be unfamiliar. A city-specific lens can reveal urban areas with the highest growth potential in a given market. It might be based on demographic, income levels and market dynamics. Knowledge of different spending patterns of such emerging-markets with regard to products can sharpen a company’s marketing focus. Leaders who give their strategies an urban dimension could find themselves positioned to allocate investments more effectively and to seize more readily the many opportunities at hand.
Winning the 30 trillion decathlon in the emerging markets
In 2010, 100 of the world’s largest companies headquartered in developed economies derived just 17 percent of their total revenue from emerging markets—though those markets accounted for 36 percent of global GDP. This article emphasizes on how companies can win: https://www.mckinseyquarterly.com/Winning_the_30_trillion_decathlon_Going_for_gold_in_emerging_markets_3002 . In order to establish themselves in the new emerging markets made of conscious consumers with diversified preferences, global corporations need to attain these ten crucial capabilities: Surgically target urban growth clusters – cluster-based strategies are far more effective than attempts to achieve blanket coverage of an entire country or region or to chase growth in scattered individual cities. Anticipating moments of explosive growth - Demand for a...
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