Coming off one of the worst global recessions, one can’t help but be anxious. However, history shows that every great loss has potential for great rebounds. The trick is to find that silver lining. If you think globally, you just might find your pot of gold.
According to Global Finance, this global recession is proving to be a “springboard” for China and India (as well as other Rapidly Developing Economies (RDEs) like Asia, Brazil, Mexico, and Eastern Europe). Companies in China and India were not immune to the recession and those that were in debt have struggled. However, many companies in those two countries were able to advance or position themselves for growth during the recession.
Many companies from China and India had cash on hand or were able to use stimulus funds to grow. They were in a better position to acquire weaker businesses, make large investments in technology, enter new business areas, or turn their focus to their home markets to foster growth. While “most American companies were in a holding pattern” these global companies have prepared themselves for a post-recession leap. There are obstacles to business growth in both China and India and many other RDEs; a high poverty rate, tight government controls, and lack of financial transparency are a few of the stumbling blocks. To service companies in RDEs, it will be crucial to know both the legal system and cultural customs of those RDEs.
It won’t happen overnight, but China, India, and other RDEs are poised to become global industrial and financial centers, and this century may prove to be “The Asian Century.” In the coming years, it may pay for you to increase your global business awareness and search for new opportunities, especially in Asia.