UK business leaders look to emerging markets for growth
By Daniel Hunter
Tata Communications today revealed the findings of a unique research study into emerging markets and their impact on the global economy.
The report, conducted by independent research company Vanson Bourne, surveyed 1,600 business leaders from ten emerging and developed markets, and reveals that 83% of companies in the UK have looked to emerging markets for growth opportunities, highlighting the growing influence of developing markets in the global economy.
According to the survey, British companies expect to increase their investment in emerging markets by 34% in the next year.
87% of business leaders from both developed and emerging markets (China, India, South Africa, France, Germany, Hong Kong, Singapore, the Middle East, the USA and the UK) are actively engaging in emerging markets, despite 56% acknowledging that they associate emerging markets with political instability.
55% of Singaporean respondents, 45% of Middle Eastern and 40% of South African businesses have already set up operations in emerging markets, the only markets in the survey to have a higher figure with an established presence than those considering such a move (e.g. India, China).
51% of all respondents (including respondents from China, India, South Africa, France, Germany, Hong Kong, Singapore, the Middle East, the USA and the UK) stated that their organisation is looking at expanding into China, with 39% selecting India and 33% Brazil. 47% of UK companies are looking to China for growth while the UK is set to be the biggest investor in Poland with 19% of British respondents selecting that market.
The main driver for moving to emerging markets is the potential to capitalise on growth opportunities with 63% of business leaders, and 58% of UK respondents surveyed, selecting this as a reason. In line with the focus on growth, competitive activity is also a factor with 20% of... continued on page two >