Ian Coleman: when people talk to me emerging markets one of the things I find most common as a misconception that they’re all the same, that the fact that they’re emerging defines in some way their status and their institutions and their sort of profiles are some how homogenous, and they’re not.
Chris Runckel: Increasingly we’re seeing companies that are coming to us that are fed up or really wanting to find a country place to produce where they don’t have the problems that they’ve experienced in China.
A lot of these companies, at least in our experience right now are picking Vietnam as a location. It’s about one half the cost in terms of labour so for projects that have a lot of labour content and these would be like textile companies, toys often times plastic companies etc for these types of items Vietnam can be a very good choice.
In China there’s been really lots of difficulty in developing the internal market there. The people save in a much higher rate than say in India where in India the consumers are much more willing to expand so you have both the opportunity of using India as your export base back to the US or Europe and you also have the other base a developing, a faster developing internal market.
Ian Coleman: We did a study recently to look at just that of the less well talked about markets Vietnam came out top. Higher than China, but that was on the back of a very high risk environment, even higher than potential returns so you know big difference. But that answer changes completely depending on what industry you’re in.
There the United Arab Emirates and the Gulf region seemed to be probably the most attractive. High spending power, …