Thursday, November 15, 2012The Consumer Goods industry – succeeding in the emerging markets
Posted by Hiral Chandrana in Business Landscape
Emerging markets are the new Holy Grail for the Consumer Goods industry accounting for more than 75% of incremental sales*. All leading CG companies are developing plans and strategies to consolidate their positions in these markets with a hope of capturing a larger portion of the pie; for example, Unilever expects to generate ~ 70% of its revenue from emerging markets by 2020.
Tuesday, July 10, 2012Leveraging scale to drive faster revenue growth
Posted by Madhavan Krishnan in Organization Strategy
In his recent book, 'The Breakout Nations', author Ruchir Sharma analyses how GDP growth rates of countries tend to flatten out once the per-capita income levels hit a certain income range. He argues that the 'low base' effect that these countries benefited from, for faster economic growth, disappears and they struggle to keep pace with the faster economic growth of yester years. Does the same hypothesis hold good for corporations as well? Are companies that attain a certain size by revenue or employee count condemned to slower growth rates?