Senior Partner & Managing Director, Global Leader, Public Sector Practice
Singapore
Local Dynamos: A New Breed of Competitor in Emerging Markets
There’s a new competitive threat in emerging markets. “Local dynamos” manage to succeed in promising but challenging environments, and they constitute the largest threat across multiple industries in emerging markets.
When global companies seek to expand, they discover that it’s the local dynamo that’s the most intense competitor....[They represent] a range of industries, but one common theme is their focus on the rising middle classes and meeting their needs.
We all know that emerging markets are generating significant growth. What is less publicized is the fact that this growth is being captured more by local dynamos from within these markets than by globalizing MNCs. These local dynamos are proving to be a real force to be reckoned with.
How are local dynamos thriving when other, larger companies struggle to gain traction? There are six factors that set local dynamos apart:
- They address the unique needs of local customers in a highly customized manner.
- They exploit the latest technology effectively. They are not hampered by outdated legacy systems.
- They have a nimble business plan and development processes that allow them to respond and operate at warp speed.
- They have the agility needed to navigate through uncertainties and trying circumstances.
- They have an effective people advantage that is tailored to the human capital realities of their markets.
- They do all of the above while building strong functional capabilities that rival those of multinational companies.
