The Third Billion - Why Women Are the Next Emerging Market

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This article in Strategy + Business (click above to visit) makes a strong case for considering the impact that the growing economic clout and empowerment of women around the world will have on your business over the next 10 to 20 years. So much of the "growth market" focus has been on China and India that this shift has gone largely unnoticed. Interestingly, this is not strictly an "emerging market" (geographically speaking) phenomenon, as there are millions of women in developed economies who will also see greater opportunities by 2020.

One point the article makes is that the growing economic activity of women should help to ameliorate future recessions. That is because this evolution is more widespread than typical "emerging market" conditions, making the benefits easier for a wider range of companies to enjoy. Additionally, the reduced number of children combined with more aggressive tendency of women to share the benefits of economic gains with their children mean that future generations can be lifted through this trend.

So how do you capitalize on this in your business? A few ideas:
* Consider the impact on your workforce planning - how can you make your company more attractive to women, especially in developing economies?
* Can you offer products aimed both at educating and enabling women and serving them as new consumers?
* What impact will the broader social and legal / regulatory changes that may result from the growing clout of women have on your business?

Filed under  //  demographics   economics   organization   strategy  
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Why Demographics Matter More than Anything to the Future of the World - and Your Business

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This article in strategy+business covers an important, yet still highly underappreciated, trend whose ramifications will shape the world for the next half-century, and that is the shift in demographics, driving an aging population in the developed world and continued rapid population growth in the developing world. Far more than global warming, this trend has the potential to destabilize existing economies and upset the "world order," with all the potential chaos and, far too likely, violence that such change portends.

You can't fight demographics, and the figures that will shape the next 50 years have already been established. Japan, Europe, and (to a lesser extent - only because of higher immigration) the US will see an aging population, creating huge burdens on government coffers and the younger workers who will be expected to provide the tax revenue. This has been discussed for years but, since the consequences are still many years out and the elderly form such a powerful consumption and voting block, it is difficult to formulate a strategy to respond.

The interviewees discuss a range of ideas but only a few touch on the need to provide incentives to change behaviors. It is only through firm incentives that people, businesses, and government will change their everyday choices. Some practical (if admittedly difficult) ideas offered include:

• Delaying benefits from social insurance to encourage people to work later in life
• Encouraging retirees to move to lower cost-of-living regions to stretch the impact of their retirement benefits (though encouraging them to leave the country sounds a bit harsh)
• Using tax incentives to encourage larger families (to increase the future working population)
• Loosening up immigration policies
• Improving (perhaps subsidizing) child care coverage to encourage women to remain in the workforce
• Providing credits to encourage the hiring of older workers (where the alternative may be offshoring, where there are insufficient younger workers fill the necessary jobs)

And if you think that sounds challenging for the developed world, consider the challenges of developing economies, whose resources are, in many cases, insufficient to support their existing population. Some of the statistics shared are frightening:

• The population of Yemen will more than double from 17M to 39M people by 2020.
• Pakistan will add one-half the current population of Germany, or 38M people, over the next decade.

In such countries that already fight to maintain stability (and, in Yemen's case, lose), the potential for unrest is enormous. It is only by eventually moving beyond China and India and finding opportunities in Africa and the Middle East (which will represent over 20% of global population by 2050) that we can hope to provide an environment in which such countries can grow without violent disruption. This is not an altruistic wish, and it is my hope that the necessity of finding new markets will drive businesses and governments to focus their future efforts on Africa.

Filed under  //  business   demographics   economics   government   politics   strategy  
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A Peek Into Netflix Queues - top movie rentals by neighborhood for 10 major cities

This is a fascinating mash-up of Netflix movie rental rankings by neighborhood for 10 major US cities; you can see the position of each of the top 100 total flicks for 2009. It would be interesting to dwell on the site a bit and compare tastes among neighborhoods and between cities and then theorize on what is driving these preferences, but its getting late.

Filed under  //  demographics   geography   infographic   movies  
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Average Commutes to Work by Country. Makes one appreciate living in North America.

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If you think you have it bad in the US or Canada, take a look at this chart displaying the average commute lengths (one way) by country. It will only get worse for China and India as car ownership increases and roads become more crowded.

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Is the Future of Detroit in Farming? Interesting Proposal to Shrink the City

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This is a fascinating look at what the future might hold for Detroit, as well as some very interesting "then vs. now" photographs supporting the author's belief that Detroit must, and can, shrink and free up green space for alternative uses. The idea of an "urban core" combined with "urban villages" filled in with green space between holds merit, but mostly because it's driven by necessity and not idealism.

Filed under  //  demographics   economics   environment  
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