Newly affluent consumers will expand in Asia and across emerging markets.
The emergence of a sizeable, aspirational middle class—particularly in China—has made Asia an important destination for global companies and a force behind this megatrend.
China is a rising global superpower
Less than two decades ago, China’s economy was one-tenth the size of the US economy. If it continues to grow as predicted, it should be bigger than the US economy by the late 2020s—and could be as much as 70% larger by 2050.1
Historical data based on GDP World Bank Data. 2050 GDP projection based on PricewaterhouseCoopers, The Long View 2017.
This rapid growth has been fueled by significant infrastructure investments, support for an export-focused manufacturing base and increased spending on innovation. This has ensured persistent growth in household incomes—the World Bank notes that China alone is set to add one billion people to the global middle class between 2005-2030.2
Projected population growth in Asia: 1950-2055
Source: United Nations, Department of Economic and Social Affairs, Population Division (2017). World Population Prospects: The 2017 Revision, custom data acquired via website