Doing business in emerging markets

Over the past two decades, emerging markets have grown twice as fast as advanced markets. And despite the severe downturn and anemic recovery in advanced markets, emerging markets generally were more resilient to the global crisis and are expected to continue to grow two times the rate of advanced markets over the next 20 years, due to the exponential expansion of a burgeoning middle class and the ability to leapfrog legacy technologies.

Planning and executing deals

For many companies doing a deal is the best – or only – way of tapping into growth markets, largely because it is faster than going-it-alone. But deals in growth markets remain incredibly challenging.

Key insights:

Resetting the compass: How emerging market buyers are moving M&A in a new direction

Getting on the Right Side of the Delta: A Deal maker’s Guide to Growth Economies

PwC partners Nick Page and Coolin Desai discuss how cultural and commercial differences among some markets can trigger issues affecting deal closures.

 

Developing an infrastructure

Industrial and urban growth in the emerging markets has led to unprecedented investment plans in infrastructure. This is creating opportunities for infrastructure operators, engineering and construction companies, private materials, and financial firms.

Key insights:

In PwC's Emerging Markets Infrastructure Series, we provide insights on the goals, challenges, risks and opportunities associated with emerging market infrastructure developments.

Julian Smith, PwC Capital Projects & Infrastructure leader in Central and Eastern Europe, provides insights on the region's infrastructure development.

 

Accessing capital markets

Access to capital to fund expansion and operations is critical to a company’s ability to meet its short- and long-term objectives. In the best of times, these transactions are highly complex, require sophisticated analysis, and often involve complicated structures. With an increasingly sophisticated capital markets infrastructure in several emerging markets, there continue to be more opportunities for issuers to raise capital beyond the traditional listing centres.

Key insights:

Enriched with data and interviews with companies and global capital markets advisers, Cross-border IPOs: Choice in an uncertain world — explores the evolution of cross-border IPO activity over the last decade, describes its main drivers today, and anticipates the likely trajectory of an important market trend.

 

Market entry strategy and risk

Despite the acceleration in the globalisation over the past ten years, companies have found that cultural differences, as well as inconsistent regulatory requirements, are still the major obstacles to growth. Adaptability is critical. Where companies can often come unstuck is in trying to replicate a business model developed in the UK or another territory.

Key insights:

Navigating the risks and opportunities in emerging markets

Beyond the BRICS: How to succeed in emerging markets (by really trying)

Profitable growth strategies for the Global Emerging Middle

Resilient growth: Making the most of opportunities away from home

Alastair Rimmer, PwC Global Strategy Leader discusses the importance of the Global Emerging Middle

Managing Tax and legal aspects

If you are responsible for managing taxes in a business which trades or operates across a number of different territories, you will recognise how much of a challenge it can be trying to keep on top of the corporate tax rates and rules in each of those countries, notwithstanding the fact that these frequently change.

Key insights:

Worldwide Tax Summaries is a key reference tool for all tax practitioners. It draws on the breadth and depth of expertise offered by PwC, and gives you quick access to information about the corporate and individual tax systems in over 150 countries worldwide, in an easily digestible format

Paying taxes 2013 is an in-depth annual study comparing business tax systems across 185 global economies, calculating the total compliance burden (including Total Tax Rates, time to comply, and number of payments), and analysing the data and reform trends over the past eight years.

Tax transparency and country-by-country reporting provides an overview and comparison of a range of transparency initiatives currently in force or being proposed.