Navigating the global economy
Showing signs of recovery, the global economy is projected to double in size by 2032 and nearly double again by 2050. China will outstrip the US by 2017 (measured in terms of purchasing power parity). And India is likely to become the third ‘global economic giant’, a long way ahead of Brazil, which we expect to move up to fourth place, ahead of Japan.
As the emerging economies become bigger and wealthier, demand for services is rising. This phenomenon is already shaping global markets: in 2010, emerging economies spent more than the G7 on imported services for the first time since reliable records began.
What this means for your business
These long-term growth trends present many opportunities and challenges. China, India, Brazil and other emerging economies will become large consumer markets, not just low-cost production centres. And, with annual growth projected to be only 2% in the advanced economies, companies will need to look increasingly to other markets.
The booming trade in services is one area that looks particularly promising. Natural resource constraints, such as those relating to energy use and climate change, will also boost demand for new, greener technologies.
But the emerging markets can be difficult places in which to do business. The ability to understand and adapt to local rules and customs will be essential, as will the right entry strategy and, where appropriate, the right partners. Good relations with local government and regulatory bodies will also be crucial. And, in some cases, the best production centres may not be the largest consumer markets.
View our latest Economy research and insights
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In a post-crisis world, where are emerging and advanced economies headed - and what are companies doing to maximise opportunities in these markets?
Jul 28, 2014
PwC’s global working capital survey 2014 looks at which countries are succeeding in releasing cash for growth and which sectors have work to do.
Jun 26, 2014
Mega-events, like the World Cup and Olympics, often present unanticipated challenges for their host cities - but can drive positive change if managed well.
Jun 26, 2014
This report provides the first consistent data estimating the scale of current CP&I spending as well as future investment from now until 2025. The findings, based on research from Oxford Economics, illustrate where infrastructure spending is shifting and the drivers of these changes, domestically and globally.
Jun 20, 2014
PwC’s macroeconomic team present Economic projections for May, along with their views on the Eurozone recovery, inflation, and the indian elections
May 1, 2014
Our publication presents a framework for helping a city or region decide which event to host, based on key questions under the categories of overall readiness, venues, legacy, supporting infrastructure and intellectual capital.
Apr 17, 2014
This report contains a list of the top 100 software companies in the world and explores the shifting demographic as software becomes central to the products and services of both hardware and non-technology companies.
Mar 18, 2014
PwC’s Annual Global CEO survey gives business leaders and governments across the world a unique insight into the vision and decisions of the global CEO. As in past years, we have extended and deepened the research for PwC’s 17th Annual Global CEO Survey by including a selection of interviews with senior decision-makers in governmental organisations around the world.
Mar 7, 2014
Cities worldwide compete to host high-profile mega-events, but often do not have the resources, infrastructure or capacity required to hold them. This piece showcase’s PwC's experience in building a framework to help a city or region decide the key areas they need to develop to be the best prepared to host a mega-event.
Mar 1, 2014