Asia Unwrapped
Asia Unwrapped
What the Numbers Say
1.5%
The reduction in Asia’s GDP growth rate in 2020 versus the 3.2% reduction experienced by the world economy, proving the region’s resilience to the economic shock triggered by the pandemic.
40%
Percentage of global investment in start-ups that Asia is responsible for, between 2016 – 2018.
229
The number of Asian companies included in the Fortune 500 in 2021, an increase from 208 in 2018.
Big Questions
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“What are some of the secular drivers of growth in Asia today?”
Asia has come a long way to become a global economic powerhouse. It is home to some of the world's most innovative and fast-growing companies.
Piyush Gupta, Chief Executive Officer and Director of DBS Group believes there are four key drivers of Asia’s growth: 1) Consumption: From 1980 to around 2000, export-oriented manufacturing catering to the Western markets was what drove growth among the Asian Tigers, 2) Investments in Asia: Asian countries have hit their stride in terms of the investment thrust, 3) The idea of integrating Asia: Asia’s people-to-people integration is proceeding at a rapid pace and 4) Digitalisation of Asia: The young populations are digital natives by and large and the take-up of applications in Asia for digital solutions and digital use
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“How do we formulate our own international business strategy?”
Expanding a business across international borders includes important planning of an international business strategy. Having fundamental principles of a powerful strategy is surely an advantage.
Associate Professor of Strategic Management, Gordon Perchthold lists 4 keys to formulating an international business strategy: 1) Increase the probability of sustaining a commitment to internationalisation, 2) Verify that Firm-Specific Advantages are transferable and have differentiated value in foreign markets 3) Identify countries that are not only attractive but accessible and 4) Consider the timing and positioning of the firm in both within and across foreign countries.
Quotable
“Visualise what 3.2 billion middle-class consumers will do for the economies in Asia and what revenue opportunities this represents for multinationals.”
“Visualise what 3.2 billion middle-class consumers will do for the economies in Asia and what revenue opportunities this represents for multinationals.”
Gordon Perchthold
Associate Professor of Strategic Management
“The Singaporean cultural trait of ‘kiasuism’, which is exemplified by the fear of losing out or being left behind, may explain Singaporeans’ motivation to project an image of being ‘trailblazers’ (vis-a-vis other nationalities) by expressing a higher acceptance of novel foods such as lab-grown meat.”
“The Singaporean cultural trait of ‘kiasuism’, which is exemplified by the fear of losing out or being left behind, may explain Singaporeans’ motivation to project an image of being ‘trailblazers’ (vis-a-vis other nationalities) by expressing a higher acceptance of novel foods such as lab-grown meat.”
Mark Chong
Associate Professor of Communication Management (Practice)
“Singapore’s forward linkages are likely to face more challenges from the trade war than its backward linkages. Meanwhile, the fallout from its neighbouring Asian exporters through the Global Value Chain (GVC) connections is likely to cause significant threats.”
“Singapore’s forward linkages are likely to face more challenges from the trade war than its backward linkages. Meanwhile, the fallout from its neighbouring Asian exporters through the Global Value Chain (GVC) connections is likely to cause significant threats.”
Pao Li Chang
Associate Professor of Economics
Tomorrow, Today
Over to You
Here are 5 key recommendations that can help boost post-pandemic Asia
1. Restore demand for travel.
2. Strengthen the local agro-processing ecosystem.
3. Pursue sustainable manufacturing of textile, apparel, and footwear garments.
4. Foster collaboration between firms in key sectors by promoting industry-specific export in relevant trade agreements (e.g., electronics industry).
5. Nurture the growth of the digital trade industry.