From MSCI Carbon Conference “5 Global Trends to Focus On”
Earlier this week I discussed some of the general themes and take aways from last week’s MSCI Carbon Conference. Below is a deeper look at one presentation in particular:
Jeff Garten, former dean of Yale School of Management and expert on Global Business Strategy, gave a great presentation. While gloomy at parts, he provided an insightful view of the current global economy. I’d like to recap the part of his presentation that I found most interesting, that is “5 Global Trends to Focus On.”
Having a global view is more essential now than ever to all businesses and hopefully these trends will continue to drive insight and discussion:
- The Rise of Emerging Markets
- The BRIC countries (Brazil, Russia, India, China) are growing at extreme rates, particularly in the middle class.
- These countries currently account for more than 50% of the global GDP, with that percentage increasing every quarter.
- Demand from these countries, both for raw material and finished goods will continue to increase.
- Deleveraging in the U.S., Europe and Japan
- Large increases in debt will lead to a painful 10-year process to work through.
- Slow growth should be expected from these regions.
- Slowdown of government investments.
- Global Resource Nationalization
- Countries will become more protective of their own resources.
- Brazil has gone all in on Chinese growth; the majority of Brazil’s resources are tied to China.
- The Growth of Economic/Political Communication Technology
- A global view of information at the same time has never been possible, getting closer to obtaining that scenario.
- We’re only 2% into communication revolution.
- Greater communication technology will lead to more events like the Arab Spring movements of the last year.
- A More Strategic Insight to Recognizing Trends
- Increased development of planning processes.
- Leaning to more strategy-focused business plans.
Did you attend the conference? What did you think of this presentation and his insights on developing business trends?