Fin-a Company Named Grupo Bimbo,

Summary

This essay starts with a company named Grupo Bimbo, which is the world’s largest baking company, with brands in the Americas, Asia, and Europe. Grupo Bimbo’s products are sold in 19 countries worldwide. Also, it has the most extensive distribution network in Mexico and one of the largest in the American continent. According to this essay, emerging-markets are nations with social or business activity in the process of rapid growth and industrialization. The economies of the four BRIC countries-Brazil, Russia, China and India, are used to be considered to be the largest. Now it looks more consumer-oriented. To qualify as a top 100 “global challengers” from emerging markets, the Boston Consulting Group claims that challengers must have a broad global footprint besides having revenues above $1 billion. Moreover, the challengers are not only competing on price. They are investing in innovation, producing new business models, gobbling up foreign firms to acquire new skills or enter into new market. However, such emerging giants represent opportunities and growth as well as competition and disruption. But still these giants will keep growing in the future.

In my opinion, emerging-markets are sought by investors for the prospect of high returns, as they often experience faster economic growth as measured by GDP. Investments in emerging markets come with much greater risk due to political instability, domestic infrastructure problems, currency volatility and limited equity opportunities. By rich-world standards, the emerging markets are still doing exceedingly well. When the global financial crisis struck, emerging economies responded energetically: China launched a huge stimulus, Brazil’s state-owned banks lavished credit, interest rates were slashed. Also, emerging-markets will still be growing faster than they did before 2003. But getting back up to the speed of the past decade will mean maintaining the macroeconomic discipline and returning to...