Entering new markets

Ninety-two percent of KPMG's GMO survey respondents are stepping up their focus on entering new markets over the next two years. Forty-three percent say their primary motivation for foreign investment is to capitalize on lower cost manufacturing opportunities and 34 percent say it is to gain access to new markets.

Ironically, while many Western manufacturers are talking about a ‘sell to China' strategy, it is actually respondents from the emerging markets (India and China in particular) that are most likely to be investing in order to gain access to new markets. Forty-four percent of respondents from China and 47 percent of those from India said that gaining access to new markets was the primary reason behind their foreign investments.

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