China and South Korea are very attractive producers of consumer products. The wages are low here but the production technology is getting pretty competitive. You may think Korea is an old emerging market story but that is not true. It also takes brains and good marketing to get there. And many Korean companies are active in China. If you like tech you could look at Taiwan to. Taiwan owns many high tech factories in China. So it combines a good price with high technology.
If you are into commodities Brazil is a good bet. Brazil is full of metal ore and there has been found a lot of oil in the sea there. There is even talk of Brazil joining OPEC. An other region full of natural resources is Australia. It is also not far from China which is a cost advantage. When thinking about commodities don't forget the softs. The globe is not only consuming more ore and fuel but also food. More and more people are eating meat, it takes a lot of soft commodities to make meat.
Service providers to the commodity industry will also have a bright future. You can think of oil drillers and fertilizer companies. A well known theory: when there is gold to be found the sellers of the tools to find it and extract it will certainly get rich.
No comments:
Post a Comment