Discussion related to the analysis and selection of emerging markets for investment

1. (A division of Pythhos Technology (P) Ltd.)
A perspective from Boston Analytics
Emerging Markets: Pathways to Selection
February 2016

2. Agenda
Definition and Key Characteristics of Emerging Markets
Top 10 Fastest Growing Emerging Markets 2005 vs 2014
Conclusion
1
Appendix
Executive Summary

3. Agenda
Definition and Key Characteristics of Emerging Markets
Top 10 Fastest Growing Emerging Markets 2005 vs 2014
Conclusion
2
Appendix
Executive Summary

4. ExecutiveSummary
Executive Summary
■ Emerging markets, due to their rapid economic growth and expansion, offer a wealth of opportunities in
trade and foreign direct investment
■ These markets are dynamic however. While the largest markets as measured by their GDP has
remained almost the same over the last decade, the list of the fastest growing markets has changed
dramatically. The three fastest growing markets in 2005 were China, Kuwait and Kazakhstan, whereas in
2015 they were India, China and Nigeria
■ The specific opportunity which exists within any given emerging market differs however by industry and
product type. While India, China and Nigeria may currently be the fastest growing markets, they may not
be the most attractive for promoting a luxury product, or the easiest in which to work as an importer or
foreign direct investor
■ BA believes when prioritizing countries, it is vital to study a wide variety of factors, from macro-economic,
to industry, business, and product category specific factors. The value and importance of each factor
also needs to be considered and applied as weights to the overall assessment. Finally, a balance needs
to be established between a short-term and long–term view, as short term opportunities are often
overestimated, while long term opportunities are often underestimated
3

5. Agenda
Definition and Key Characteristics of Emerging Markets
Top 10 Fastest Growing Emerging Markets 2005 vs 2014
Conclusion
4
Appendix
Executive Summary

6. The term ‘emerging markets’ is associated with progress, growth, and
opportunity
5
DefinitionandKeyCharacteristicsofEmergingMarkets
An emerging market is a country in the process of rapid growth and development
with lower per capita incomes and less mature capital markets than developed
countries. Emerging markets are countries that are restructuring their economies
along market-oriented lines and offer a wealth of opportunities in trade, technology
transfers, and foreign direct investment
A frontier market is a subset or category of emerging markets. A frontier market is
one with little or less market liquidity, marginally developed capital markets, and
lower per capita incomes vis à vis other emerging markets. However, as frontier
markets have yet to undergo as much meaningful economic development, the
potential for rapid growth and outsized returns make these markets interesting as
they boast even greater long-term growth potential
Definition of Emerging Markets
Typical Characteristics of Emerging Markets
 Rapid economic growth
 Large population base
 Transitional societies that are undertaking domestic
economic and political reforms
 Regional economic powerhouses
 Increasing local and foreign investment
Typical Characteristics of Frontier Markets
 Rapid economic growth owing to early stage of
economic development
 Higher growth potential than other emerging markets
due to faster rates of urbanization
 The youth represent a majority of population
 Low labor cost
 Low debt-to-GDP
Note:
(1) For more detail on definition and the countries selected for this analysis, please refer to appendix
Sources:
(A) IMF
(B) MSCI
(C) Forbes
(D) International Banker
(E) Wall Street Journal
(F) BA Analysis

7. Notes:
(A) Includes 32 countries; out of 32 countries listed as ‘Advanced’ as per IMF based on multiple parameters such as per-capita income level, export diversification, degree of
integration into the global financial system, human development index , etc. It includes the USA and Canada in North America, most nations in Western Europe, Japan,
Australia, New Zealand, etc.
(B) Set of 38 countries used for the purposes of this analysis. Please see the appendix for the methodology used to arrive at these 38
(C) 132 countries including other emerging markets and the rest of the world
(D) GDP Market Prices (Constant 2005 US$). 2014 data or latest available (where 2014 data is not available)
(E) 2014 GDP Per Capita PPP (Constant 2011 US $) or latest available; PPP = Purchasing Power Parity
(F) Growth has been considered for GDP (constant prices at National currency)
Source:
(1) IMF World Economic Outlook Database, April 2015
(2) World Bank Data
13.5
As a group, their collective GDP is small, but their projected growth
rate is higher
6
DefinitionandKeyCharacteristicsofEmergingMarkets
GDP CAGR Growth (%)GDP – 2014(D)
($ T)(D) 2009‒2014(1) 2015‒2020(1)
37.5
17.6
1.5 2.3
4.0 3.7
3.9
GDP Per Capita
PPP 2014(E)
41,009
22,554
11,809
Advanced
Markets(A)
Key Emerging
Markets(B)
Other Markets(C)
Demographic Dynamics of Different Countries
4.4

8. Agenda
7
Definition and Key Characteristics of Emerging Markets
Top 10 Emerging Markets 2005 vs 2014
Conclusion
 Macroeconomic Indicators
 Demographic Indicators
 Business Indicators
Appendix

9. Top10EmergingMarkets2005vs2015
In terms of size, the largest emerging markets in 2014 were the same
as those in 2005 with only slight changes in their ranking
Top 10 Countries by GDP(1) - 2014
2,269
898
892
866
834
764
483
328
304
286
China
South Korea
Brazil
Mexico
India
Russia
Turkey
Saudi Arabia
Poland
Indonesia
5,270
1,598
1,239
1,206
1,069
1,000
673
523
472
428
China
India
South Korea
Brazil
Mexico
Russia
Turkey
Saudi Arabia
Indonesia
Poland
Top 10 Countries by GDP(1) - 2005
■ The most dramatic change in ranking is India, which moved from fifth position to second from 2005 to 2014
GDP in $ bn GDP in $ bn
Note:
(1) GDP at Market Prices (Constant 2005 US$)
(2) Please see the appendix for the list of countries considered for this analysis
Sources:
(A) IMF
(B) World Bank 8

10. Top10EmergingMarkets2005vs2015
However, when considering growth rates, 6 out of the 10 fastest
growing emerging markets in 2005 were not among the top 10 in 2014
Top 10 Fastest Growing(1) Countries - 2014
11.35%
10.08%
9.70%
9.28%
9.20%
8.40%
7.67%
7.55%
7.49%
7.26%
China
Kuwait
Kazakhstan
India
Argentina
Turkey
Pakistan
Vietnam
Qatar
Saudi Arabia
7.29%
7.27%
6.31%
6.13%
6.06%
5.99%
5.98%
5.02%
4.74%
4.57%
India
China
Nigeria
Philippines
Bangladesh
Malaysia
Vietnam
Indonesia
Pakistan
United Arab Emirates
Top 10 Fastest Growing(1) Countries - 2005
■ The average growth of the top 10 in 2005 was 8.8%. However, in 2014 for the same set of countries the average growth
was only 3.9%
■ Globally, countries grew at an average growth rate of approximately 3.1% in 2014 while the average growth of the top
10 markets in 2014 was 5.9%
Note:
(1) Y-o-Y GDP Parentage Change; GDP at Market Prices (Constant 2005 US$)
Sources:
(A) World Bank Data
(B) IMF Data
Y-o-Y % change Y-o-Y % change
Markets that did not
make top ten in 2014
Markets that were not in
top ten in 2005
9

11. Top10EmergingMarkets2005vs2015
In terms of growth, not only have the rankings changed, the change
has been dramatic for some
Top 10 Fastest Growing(1) Countries - 2014
11.4%
10.1%
9.7%
9.3%
9.2%
8.4%
7.7%
7.5%
7.5%
7.3%
China
Kuwait
Kazakhstan
India
Argentina
Turkey
Pakistan
Vietnam
Qatar
Saudi Arabia
7.3%
7.3%
6.3%
6.1%
6.1%
6.0%
6.0%
5.0%
4.7%
4.6%
India
China
Nigeria
Philippines
Bangladesh
Malaysia
Vietnam
Indonesia
Pakistan
UAE
Top 10 Fastest Growing(1) Countries - 2005
2005 Y-o-Y % change Rank (2)
2005 2014
1
2
3
4
5
6
7
8
9
10
4
1
32
22
11
18
8
16
7
21
2014 Y-o-Y % change
2
38
13
1
34
20
9
7
14
17
Rank (2)
2005 2014
1
2
3
4
5
6
7
8
9
10
■ Such dramatic changes overtime contribute to the perception of emerging markets being volatile and for some,
therefore too risky for investment
Note:
(1) Y-o-Y GDP Parentage Change; GDP at Market Prices (Constant 2005 US$)
(2) Rank among emerging markets
Sources:
(A) World Bank Data
(B) IMF Data 10

12. The reasons countries dropped in their rankings in terms of economic
growth from 2004 to 2015 vary by country…
Kazakhstan
■ Kazakhstan is experiencing slower
economic growth in 2014 due to negative
supply- and demand-side effects, caused
primarily by lower output in the oil industry,
weaker external demand for Kazakhstan’s
metal products by China and Russia, and
weaker domestic demand
Argentina
■ The country’s economy
contracted as consumer
spending and exports
fell, both in part to high
inflation
Turkey
■ Turkey’s economic activity has
slowed mainly due to political
uncertainty and geopolitical
tensions
Kuwait, Qatar, Saudi Arabia
■ As a whole, GCC
economies, including
Kuwait, Qatar, and Saudi
Arabia are suffering from
low oil prices and high fiscal
spending
Sources:
(A) World Bank
(B) Wall Street Journal
(C) Reuters
Drop Outs: Countries in top ten fastest growing in 2005, but not on list in 2014
Top10EmergingMarkets2005vs2015
11

13. Sources:
(A) African Economic Outlook
(B) Wall Street Journal
(C) Reuters
(D) News articles
Indonesia
■ Economic growth is
attributed to exports
of primary
commodities such
as coal and rubber
to large markets,
notably China, apart
from oil and gas
exports
Malaysia
■ Malaysia’s economic growth is
attributed to resilient domestic
demand and private-sector
investments that have helped
cushion slowing exports of the
trade-reliant country
…while economic diversification has helped accelerate growth for
most of the new entrants to the top 10 fastest growing list in 2014
Bangladesh
■ Bangladesh’s GDP growth is a result of
deregulation of the economy, trade
openness, and development of the
financial sector
Nigeria
■ Nigeria GDP growth
accelerated over the
decade with the non-
oil sector being the
main driver of growth
■ Services contributed
~57%, mainly retail
and wholesale trade,
real estate,
information and
communication
Vietnam
■ Vietnam’s economic growth is primarily
supported by exports mainly by foreign
companies, which increased 15 percent in
2014, as disbursed foreign direct
investment rose 7 percent
UAE
■ Economic growth in
UAE is attributed to
diversification of
income sources, and
reduction of oil-
reliance
■ Sectors such as
financial services,
logistics and tourism
helped in stabilizing
and growing the
economy
Accelerators: Countries not in top ten fastest growing in 2005, but on 2014 list
Philippines
■ Growth in the Philippines’ GDP has been
driven in part by the growing business
process outsourcing and overseas
remittances
Top10EmergingMarkets2005vs2015
12

14. 0%
1%
2%
3%
4%
5%
6%
7%
8%
9%
10%
CAGR 2009-11 CAGR 2012-14 CAGR 2015-17 Average CAGR for the
period 2009-2017
Top10EmergingMarkets2005vs2015
While short term growth rates can be volatile, longer term growth
rates are still generally higher than the global average
Change in CAGR of GDP(1) over time for 15 fastest growing emerging markets (2)
Note:
(1) CAGR of GDP at Constant Prices National Currency
(2) Top 15 countries basis 2012-2014 CAGR, with the exception of Ecuador which we have excluded because of drastic reduction in its GDP growth rate in future years. We have
considered Pakistan instead, as it is also amongst the Top 10 fastest growing economies in 2015-2017
Sources:
(1) IMF Data
(2) News Publications, such as The Guardian etc.
4.3%5.2% 3.6%5.9% 5.3% 3.8%5.5%7.9% 6.1%6.2%7.3% 7.7% 5.6%6.4%
13
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
8.4%
1.6 0.7 0.6 0.4 0.3 1.2 0.3 0.7 0.5 1.8 1.0 0.6 1.5 0.6
Standard Deviation
5.7
3.4% Global CAGR 2009-2017
■ The growth of oil exporting countries such as, Nigeria, UAE, Kazakhstan, Colombia and Malaysia are expected to
decline due to lower oil prices. Markets highly dependent on oil revenue, such as Nigeria and UAE are projected to
experience the maximum impact

15. Agenda
14
Definition and Key Characteristics of Emerging Markets
Top 10 Emerging Markets 2005 vs 2014
Conclusion
 Macroeconomic Indicators
 Demographic Indicators
 Business Indicators
Appendix

16. 14%
11%
46%
32%
37%
59%
4%
-2% -100
900
1900
2900
3900
4900
BillionUSD
China India
10%
8% 13% 7% 10% 11% 5% 6%
35%
24% 25%
16% 21% 15% 29% 27%
57%
48% 52%
71% 72%
81%
73%
64%
-1%
20%
9%
6%
-4% -6% -7%
3%
-50
50
150
250
350
450
550
Indonesia UAE Malaysia Nigeria Philippines Pakistan Bangladesh Vietnam
BillionUSD
Top10EmergingMarkets2005vs2015
A look at private consumption can provide yet another perspective.
Other countries may emerge as more attractive when private
consumption as a % of GDP is better understood
Note:
(1) The scale for India and China is different from the scale for rest of the top 10 countries
(2) GDP at Market Prices (Constant 2005 US$)
Sources:
(A) World Bank
GDP(2) composition by Private Consumption, Government Expenditure and Investments -2014
15
■ In China, private consumption as a % of GDP is ~37% as compared to 50% or higher in most other emerging markets
Government Expenditure Investment Private Consumption Net Exports

17. Top10EmergingMarkets2005vs2015
Note:
(1) Household final consumption expenditure per capita(1) (constant 2005 US$)
(2) GDP Per Capita, PPP-2014 (Constant 2011 at US$)
(3) Qatar, Kuwait, Saudi Arabia, Argentina are not included owing to lack of data available
(4) Sri Lanka data is as per latest available
Sources:
(A) World Bank
Consumption patterns change with increase in income
16
Bangladesh
Brazil
Chile
China
Colombia Croatia
Czech Republic
Ecuador
Egypt
Hungary
India
Indonesia
Kazakhstan Malaysia
Mexico
Morocco
Nigeria
Oman
Pakistan
Peru
Philippines
Poland
Romania
Russia
South Africa
South Korea
Sri Lanka Thailand
Turkey
Ukraine
UAE
Vietnam
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
-1,000 1,000 3,000 5,000 7,000 9,000 11,000 13,000
Householdfinalconsumptionexpenditurepercapita(1)-
2014
GDP Per Capita, PPP-2014(2)
Spending on Basic
necessity (e.g., Food)
Spending on Durables Spending on Luxury items
■ As wealth increases, so does the ability and propensity to buy certain products grows
Countries in green are the top 10 fastest growing in 2014 (y/y growth)
Similarly, GDP per capita or consumption per household can be a
better indicator of a market opportunity than the size of the economy

18. Top10EmergingMarkets2005vs2015
Note: Household final consumption expenditure per capita (constant 2005 US$) - 2014
Source: (1) World Bank
Household final consumption expenditure per capita (constant 2005 US$)
17
In some cases, household or personal consumption has grown over
the past nine years, while in others, it has declined or been volatile
300
500
700
900
1,100
1,300
1,500
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
11,000
21,000
31,000
2,000
3,000
4,000
UAE
Malaysia
China
Philippines
Indonesia
Bangladesh
Nigeria
Pakistan
Vietnam
India
■ For all the countries listed above, apart from Malaysia, the growth rate of household consumption has been higher than
the GDP growth rate for the past 5 years
■ However, household consumption growth rate has just been marginally higher in the last year in China and Indonesia
■ Only UAE’s per capita household expenditure has dipped, for rest of the countries it has increased over the decade
■ China, Malaysia have shown a rapid increase in their household consumption, while others have shown a gradual
increase, apart from Nigeria and Pakistan which have been unstable

19. Sector India China Nigeria Philippines Bangladesh Vietnam Indonesia Pakistan
Clothing & Footwear 6% 9% 4% 3% 5% 4% 4% 5%
Education 4% 7% 2% 4% 4% 4% 3% 2%
Energy 8% 5% 2% 7% 6% 6% 6% 8%
Financial Services 0% 1% 0% 2% 0% 1% 0% 0%
Food and Beverages 45% 36% 57% 47% 55% 53% 49% 50%
Health 5% 7% 11% 2% 3% 3% 2% 2%
Housing 12% 6% 13% 15% 10% 5% 12% 14%
ICT(2) 3% 9% 1% 3% 2% 4% 3% 2%
Personal Care 2% 0% 0% 3% 2% 2% 2% 2%
Transport 5% 6% 6% 8% 4% 7% 9% 7%
Water Utility 0% 1% 0% 1% 0% 0% 0% 0%
Others 10% 13% 4% 6% 9% 10% 11% 8%
Top10EmergingMarkets2005vs2015
Amongst the top ten fastest growing emerging markets(3), most of the
consumption has been concentrated on food and beverages
Share of Household Consumption by sector(1)
■ Nigeria ranks highest among its peers in household consumption of Food & Beverages and Healthcare, while China
ranks highest in household consumption of Clothing & Footwear, Education
Note: (1) Percentage of Annual Household Consumption 2010 by Sector and Consumption Segment in $PPP
(2) Information Communication Technology (ICT)
(3) 2014: Malaysia and UAE are not included in the list of countries owing to lack of available information on share of household consumption by Sector
(4) The color coding in the above heat map is vis-à-vis peers countries for the particular sector
Sources: (A) Global Consumption Database World Bank
9% 6% 6% 5% 4% 4% 4% 3%High Low
18

20. Agenda
19
Definition and Key Characteristics of Emerging Markets
Top 10 Emerging Markets 2005 vs 2014
Conclusion
 Macroeconomic Indicators
 Demographic Indicators
 Business Indicators
Appendix

21. To further complicate matters, when it comes to “ease of doing
business”, the top 10 fastest growing emerging markets(1) range widely
“Ease of Doing Business” amongst selected emerging markets (2)(3)(4)
■ Out of the top 10 fastest growing emerging economies in 2014, only Malaysia and UAE rank in the top 30 countries
globally in terms of ease of doing business, the others rank lower than 83
Note:
(1) As measured in 2014
(2) Economy Rankings of Ease of Doing Business (June 2015)
(3) The total number of countries ranked by World Bank for Ease of Doing Business include 189 countries
(4) See appendix for rationale for list of countries included
Sources:
(A) World Bank
Ease of Doing
Business
Global
Ranking
Ranking -
Selected
Emerging
Economies
Ease of Doing
Business
Global
Ranking
Ranking -
Selected
Emerging
Economies
Ease of Doing
Business
Global
Ranking
Ranking -
Selected
Emerging
Economies
South Korea 4 1 Russia 51 14 Kuwait 101 27
Malaysia 18 2 Colombia 54 15 Philippines 103 28
Poland 25 3 Turkey 55 16 Sri Lanka 107 29
UAE 31 4 Greece 60 17 Indonesia 109 30
Czech Republic 36 5 Qatar 68 18 Brazil 116 31
Romania 37 6 Oman 70 19 Ecuador 117 32
Mexico 38 7 South Africa 73 20 Argentina 121 33
Croatia 40 8 Tunisia 74 21 India 130 34
Kazakhstan 41 9 Morocco 75 22 Egypt 131 35
Hungary 42 10 Saudi Arabia 82 23 Pakistan 138 36
Chile 48 11 Ukraine 83 24 Nigeria 169 37
Thailand 49 12 China 84 25 Bangladesh 174 38
Peru 50 13 Vietnam 90 26
Extremely Easy Moderately Easy Somewhat Easy Somewhat Difficult Moderately Difficult Extremely Difficult
Top10EmergingMarkets2005vs2015
Top 10 fastest growing
economy 2014
20

22. Agenda
Definition and Key Characteristics of Emerging Markets
Top 10 Emerging Markets 2005 vs 2014
Conclusion
21
Appendix
Executive Summary

23. Given the number of variables which need to be considered to prioritize and
track emerging markets, BA recommends firms develop an indexed approach
based on their specific interests and then track markets overtime
22
1
2
Conduct Preliminary Assessment
 Define the basic criteria which need to be met to be considered as a
potential market
 Develop a list of countries which meet the basic criteria
 Identify any other countries to be included in the final list based on other
specific hypotheses or for unique strategic reasons
Shortlist Attractive Countries
 Determine prioritization criteria considering macroeconomic, business related,
industry related (e.g., demographic if a consumer facing company) and product
specific variables
 Determine availability of data, develop proxies if necessary and standardize to
enable comparison
 Weight criteria in terms of importance
 Apply weights and score each country using a prioritization model
 Identify shortlist of attractive countries
Profile Countries
 Profile short-listed countries, detailing market environment for concerned products
 Incorporate data which could not be included in prioritization model, e.g., due to lack of standardization, inability to quantify, etc.
 Study the entry and expansion strategies of others to learn from them and better set expectations
 Confirm or revise findings from Prioritization Model
3
Track Countries
 Identify means to automate analysis, e.g., via real-time streams of data into model and/or periodic meaningful updates
 Identify changes in ranking overtime and why, being careful to distinguish between trends and blips
 Conduct scenario analysis so that you can quickly and easily alter of change your course of action, if need be
4
Recommended steps to prioritization and monitoring emerging market opportunities
Prioritization Model Example
Conclusion

24. Agenda
Definition and Key Characteristics of Emerging Markets
Top 10 Emerging Markets 2005 vs 2014
Conclusion
23
Appendix
Executive Summary

25. The definition of emerging vs. frontier markets differs according to
the source
Sources:
(A) FTSE Emerging Markets
(B) MSCI Emerging Markets Indices
(C) Dow Jones Indexes
(D) S&P Emerging Market Indices
Emerging and frontier/pre-emerging markets as identified by various sources
FTSE MSCI Dow Jones S&P
Emerging
Pre-emerging/
Frontier
Emerging Pre-emerging/ Frontier Emerging Pre-emerging/ Frontier Emerging Pre-emerging/ Frontier
Brazil Bahrain Brazil Argentina Mauritius Brazil Argentina Romania Brazil Argentina Nigeria
Chile Bangladesh Chile Bahrain Morocco Chile Bahrain Serbia Chile Bahrain Oman
China Botswana China Bangladesh Niger China Bangladesh Slovakia China Bangladesh Pakistan
Colombia Bulgaria Colombia Benin Nigeria Colombia Bulgaria Slovenia Colombia Botswana Panama
Czech Republic Côte d’Ivoire Czech Republic Botswana Oman Czech Republic Croatia Sri Lanka Czech Republic Bulgaria Qatar
Egypt Croatia Egypt Bulgaria Pakistan Egypt Cyprus Tunisia Egypt Côte d'Ivoire Romania
Hungary Cyprus Greece Burkina Faso Palestine Hungary Estonia Ukraine Hungary Croatia Slovakia
India Estonia Hungary Croatia Romania India
FYR
Macedonia
UAE India Cyprus Slovenia
Indonesia Ghana India Estonia Saudi Arabia Indonesia Jordan Vietnam Indonesia Ecuador Sri Lanka
Malaysia Jordan Indonesia Ghana Senegal Malaysia Kazakhstan Malaysia Estonia
Trinidad and
Tobago
Mexico Kenya Malaysia Guinea-Bissau Serbia Mexico Kenya Mexico Ghana Tunisia
Pakistan Lithuania Mexico Ivory Coast Slovenia Morocco Kuwait Morocco Jamaica Ukraine
Peru Macedonia Peru Jamaica Sri Lanka Peru Latvia Peru Jordan UAE
Philippines Malta Philippines Jordan Togo Philippines Lebanon Philippines Kazakhstan Vietnam
Poland Mauritius Poland Kazakhstan Togo Poland Lithuania Poland Kenya Zambia
Russia Morocco Qatar Kenya
Trinidad and
Tobago
Russia Malta Russia Kuwait
South Africa Nigeria Russia Kuwait Tunisia South Africa Mauritius South Africa Latvia
Taiwan Oman Saudi Arabia Lebanon Ukraine South Korea Nigeria Taiwan Lebanon
Thailand Qatar South Africa Lithuania Vietnam Taiwan Oman Thailand Lithuania
Turkey Romania South Korea Mali Zimbabwe Thailand Pakistan Turkey Mauritius
UAE Serbia Taiwan Bosnia and
Herzegovina
Turkey Qatar Namibia
Thailand
Turkey
UAE
54 Countries are listed as frontier or pre-emerging markets by the four
sources. However, the total number of emerging and frontier/pre-emerging
markets is 75 countries
Appendix
24

26. For the purposes of this paper, BA has considered only those
emerging or frontier markets with a GDP >$40 Billion in 2014
Sources:
(1) FTSE Emerging Markets
(2) MSCI Emerging Markets Indices
(3) Dow Jones Indexes
(4) S&P Emerging Market Indices
BA’s Methodology for identifying markets for this paper
Country included in analysis: 38 countries
Argentina Indonesia Romania
Bangladesh Kazakhstan Russia
Brazil Kuwait Saudi Arabia
Chile Malaysia South Africa
China Mexico South Korea
Colombia Morocco Sri Lanka
Croatia Nigeria Thailand
Czech Republic Oman Tunisia
Ecuador Pakistan Turkey
Egypt Peru Ukraine
Greece Philippines United Arab Emirates
Hungary Poland Vietnam
India Qatar
■ BA used the following approach to determine the list of countries to be included in this analysis
− The universe was comprised of emerging or frontier markets by FTSE, MSCI, Dow Jones and S&P Emerging Market
Indices
− Only those markets with GDP greater than $40 Billion where included (Countries with GDP below $40 billion ehere
excluded as these are small markets and do not have similar opportunity as the bigger markets)
■ As a result 38 countries were considered for our analysis
Appendix
25

27. -20
-10
0
10
20
30
40
50
-4
-2
0
2
4
6
8
10
12
0
1
2
3
4
5
6
7
0
2
4
6
8
10
12
0
2
4
6
8
10
12
14
16
-25
-20
-15
-10
-5
0
5
10
15
20
GDP growth rate vs. private consumption growth rate for top 10
emerging economies (1/2)
Note:
GDP Growth Rate Private Consumption Growth Rate
Sources:
(1) World Bank Data
China India Indonesia
Malaysia Nigeria UAE
. .
Appendix
26

28. 0
1
2
3
4
5
6
7
8
9
GDP Private Consumption
-2
0
2
4
6
8
10
12
14
GDP Private Consumption
0
1
2
3
4
5
6
7
8
GDP Private Consumption
GDP growth rate vs. private consumption growth rate for top 10
emerging economies (2/2)
Bangladesh Pakistan Philippines
Vietnam
0
2
4
6
8
10
12
GDP Private Consumption
Note:
GDP Growth Rate Private Consumption Growth Rate
Sources:
(1) World Bank Data
. .
Appendix
27

29. To learn more about Boston Analytics’ expertise in emerging markets, please contact us.
Contact: Kimberlee Luce
Designation: Senior Vice President
Email ID: kluce@bostonanalytics.com