Financial Statement Analysis

Business Strategy & Management: Winning in Asia and Beyond

As a Business student, naturally I am more inclined to this topic.

My neo-conservative attitude casts a shadow of doubt over the claim that the financial epicenter has/will shift to the East. My opinions, influenced by recent global economic crisis which have created uncertainty in world markets, could be rebutted, as Asia’s sustained robust economic growth over the years could portend a new growth paradigm for the region. Asia, rapidly developing to be one of the fastest growing regions in the world, with its share of the world's GDP projected to reach 45% by 2020 is definitely a force to reckon with. With analysts noting an upward trend in consumption in Asia, an Asian boom, could lead to a global boom. With over half the world’s population, the power of the consumer market in Asia is not to be undermined. However, Asia’s heterogeneous nature such as its differences in developmental statuses, system of governments, demographics and needless to say, culture, needs to be factored in a firm’s value chain in order to cater to Asia’s diversity. Globalization has transformed our economies into one that is inter-dependent, one where co-operation and competition will co-exist, which is why there simply is no place for protectionist models in today’s society.

While the US is aware that a good Sino-US relationship is in the best of its interests, it has been also been rumored to have been cautious of China, on its part, by passing the nuclear cooperation agreement with India. Also, bilateral relations between these two Asian heavyweights have said to be improving, with China becoming India’s biggest trading partner. This is undeniably an era of cooperation, despite social tensions in Kashmir and Thailand and Myanmar.

It is also imperative for governments in Asia to invest in educating, healthcare and other social amenities of the workforce. With governments trying to push up employment and growth, perhaps...