Hidden Heroes: Emerging Retail Markets Beyond China
When it comes to the promise of a rising middle class in emerging markets, the lion's share of attention has been visited upon China - and not without reason. When measured on the basis of purchasing power, China is now the world's second largest economy. For the past two decades, it has been among the world's fastest growing economies. In the process, literally hundreds of millions of Chinese people have moved from poverty into the middle class. This shift is the greatest expansion of human well-being that has ever taken place. Moreover, it offers the promise of great riches for the world's leading retailers and their suppliers. Thus, China deserves all the attention that it attracts. Yet China does not deserve all the attention in the world. There are other big, emerging markets that offer great promise, and not only the other BRICs (Brazil, Russia, and India). While China deserves continued accolades, several other markets deserve a second look. In this report, Deloitte Touche Tohmatsu (Deloitte) and Planet Retail provide an overview of the outlook and opportunity regarding eight key emerging markets. They are Brazil, Egypt, India, Indonesia, Mexico, Russia, Turkey, and Vietnam. These otherwise disparate countries have one thing in common: they are all on the radar screen of some of the world's leading retailers. Some of these countries have already attracted substantial foreign investment into their retail sectors (Brazil, Mexico and Turkey) while others are only beginning to see serious activity (Egypt, India and Vietnam).Yet all of these countries are likely to play an important role in the further globalization of retailing in the years ahead.