This paper will focus on the new opportunities and prospects for the international companies and the current change in the market scenario can be leveraged by them (Czinkota and Ronkainen, 2012). It will also include some real life corporate cases to justify the statements discussed in the paper.
It has been evidenced that the global population has been constantly increasing. The rate of increase has varied over the past year and is sometimes dependent on a particular nation. However, along with the rise in the population figures, it has also been noticed that the people are gradually changing their social lifestyle and mode of living.
Ghauri and Cateora, (2014) have also mentioned in their study that at least 26 cities will bear a population of more than 10 million and most of these cities will belong to the developing countries. This change in patterns are mostly because the people of rural areas are seeking out for better lifestyle, better education and better income prospects. This as a result compels them to shift into bigger urbanized cities (Abu-Lughod and Hay, 2013).
More recent studies by the United Nations (2014) have revealed that the overall global population growth along with the increasing urbanization will increase the overall population of the urbanites by 2.5 billion by the year 2050. The year 2050 may be a farfetched projection, but the current trend of urbanization has increased the population of some of the major cities in the world. Tokyo holds the first rank of being the most populous city in the world with a population of 38 million. ‘Tokyo is followed by Delhi, Shanghai, Mexico City, Sao Palo and Mumbai. In between 1950 and 2014, the urban population of the world has increased from 746 million and 3.9 billion’ (United Nations, 2014).
The gradual shift in the urbanized population is also changing the global market scenario. The international firms which once only focused on a narrow and ...