Traditionally, most companies look to the western countries for new innovations.
However, this trend is about to change.
There are compelling reasons to believe that Asia is set to be the next big growth engine in the next decade and beyond.
The COVID-19 pandemic has further accelerated this shift, as evidenced by the problems many countries have faced in taming the coronavirus.
According to the World Economic Forum, China is believed to be the only country in the world to post positive GDP growth last year, as it has tackled the pandemic and resurgence in cases much better than many of its western counterparts.
There are other clear signs of great potential in Asia if investors cared to dig deeper.
We explore some of these to understand how this potential can translate into great investment ideas.
Rising affluence
According to Kent Wertime, co-CEO of Ogilvy Asia-Pacific, a marketing and public relations agency, South Asia is set to become the epicentre of middle-class growth in the next decade.
His projections predict that countries such as India, Pakistan, Southeast Asia, Indonesia and Vietnam are central to this growth.
One of the key drivers is the increase in higher education for women, an important cohort that will drive these economies forward and bring about more social change.
Rising incomes and more affluent customers also translates into higher levels of consumption.
