“South to South trade: One size doesn’t fit all”

Ben Verwaayen, Chief Executive Officer of Alcatel-Lucent and a member of the World Economic Forum’s Foundation Board, is blogging from the India Economic Summit, held in New Delhi 14-16 November 2010.  He will be speaking at the India Economic Summit’s Plenary Session on Monday 15 November on the topic “Innovating Rural Entrepreneurship towards Employment”.

by Ben Verwaayen

Ben Verwaayen The most interesting revelation came at one of the last WEF sessions here in Delhi.  5 out of 6 diamonds in the world end up around an Indian finger. Wow, that was a shock! 
 
Away goes the concept of the division of luxury between North and South. At least at the level of sparkling luxury. The debate was about the South to South trade. Trade between more than half of the world population, with Africa as a new participant.
 
A confident Africa , represented by the Prime Minister of Kenya.
The trade between India and Africa has rocketed to 50bio dollars, with private investments being the bulk.
 
The Indian mantra of 'more for less for more' seems to work.  Sunil Mittal, the iconic chief of Bharti gave an account of their plans for the coming 2 years.  Serving 40 million customers for mobile services right now, they foresee to go to 100 million in 2 years.  By cutting tariffs they see volume as the way to increase revenues.
 
New models, new realities, the world will see quickly a translation of a diversity in market approaches.  Stays central in whatever concept: a more choosy consumer, wanting to chose, wherever they may live.
 
The message from the Indian WEF is clear: one size doesn't fit all.  And preconceptions?  Forget about them.

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