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Why Business Schools Should Focus on Emerging Markets Too many B-schools are preparing students for the last century. To ready them for this one, they should focus on China, India, and the rest of the developing world By Jonathan Doh Many business students study or work in another country as part of their overall academic programs. Often these experiences stimulate a curiosity and lifelong interest in global business. At the Villanova School of Business (Villanova Undergraduate Business Profile), more than half of our undergraduate business students engage in a study abroad or an international internship experience during the course of their time with us. This is something we are proud of. Yet too few of our students—and those of other B-schools in North America and Europe—take advantage of opportunities to experience the emerging markets of the world, markets that are already important components of the global economy and whose role and influence will continue to grow in the decades to come. As we near the second decade of the 21st century, the balance of global economic power is shifting toward the developing and emerging regions of the world. By one measure, the developing and emerging world is already producing nearly 50% of global economic output. The BRIC countries—Brazil, Russia, India, and China—along with the rapidly growing economies of Mexico, Malaysia, Indonesia, and others, are now driving global growth. China is predicted to become the largest economy in the world by 2040, if not sooner. India's economy will soon eclipse that of Japan's. Brazil is a global leader in commodities but also a major contributor in more advanced industries, including regional passenger aircraft (Embraer). Even African countries are becoming more attractive locations for trade and investment, despite continued underdevelopment and social challenges.
The Emerging Markets Century Along with the growing economic power comes a commensurate shift in political influence for large emerging markets, with dramatic consequences for traditional military and strategic alliances. For these reasons, Antoine van Agtmael, who first coined the term "emerging markets," argues the coming century will be "the Emerging Markets Century." Villanova School of Business 2009 Media Report