Globalisation: the process by which businesses or other organisations develop international influence or start operating on an international scale.
Globalisation of markets - selling products across national borders.
Globalisation of production - making products in low cost countries.
Starbucks at The Great Wall of China. Picture here.
According to the World Bank, the largest economies in the world are:
The order of leading economies will change many times in future years.
Growth rate of the UK economy compared to 'emerging economies'.
An emerging economy is one where GDP growth year on year (YoY) has been rapid.
An emerging market economy describes a nation's economy that is progressing toward becoming more advanced, usually by means of rapid growth and industrialisation.
These countries experience an expanding role both in the world economy and on the political frontier.
What are the BRICS nations?
Real (taking into account inflation or deflation) GDP growth figures. Click on the graph.
By 2015 this had risen to 25%.
China & GDP growth. Details here.
China has seen the largest migration of people in history.
Chinese mega-cities. Details here.
China has seen a rapid rise in 'middle class' consumers.
Meet China's booming middle class. Video here.
Around 70% of world GDP growth is likely to come from emerging market economies, with China and India accounting for between 40 - 50% of this figure.
Brits get rich in China - click on the picture:
Implications of economic growth in emerging markets for individuals and businesses:
1. Trade opportunities:
Consumers disposable incomes are rising.
Demand for products is likely to be income elastic, providing greater opportunities for increased revenues and profits.
Costa Coffee has 395 outlets in China.
Starbucks is opening a store in China every 15 hours. Details here.
A business looking to sell products would seek to operate in an emerging economy with low unemployment.
2. Employment / Unemployment patterns.
Manufacturing opportunities in emerging markets.
Manufacturing opportunities in emerging markets.
A business seeking to manufacture products for export may seek to locate in an emerging economy with high unemployment.
Tesla in China. Details here.
Growth in China has recently slowed.
This video explains why:
Indicators of growth:
Tesla in China. Details here.
Growth in China has recently slowed.
This video explains why:
Per capita GDP (GDP divided by the population of a country).
Literacy levels.
Literacy rates per country. Details here.
The Human Development Index combines information about life expectancy, mean years of schooling and gross national income per capita.
This allows for a more sophisticated investigation into an emerging economy. Click on the picture.
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