So in my last post I made two bold predictions on the
economy in the coming century, that emerging markets in Asia and Africa will be
the driving force of many of the changes we see in the world.
East Timor
Is a war torn nation that no one knows much
about, or has even heard of. The currency of choice here is single American
dollars. The country is extremely poor and lacks almost any infrastructure of
any kind. Will any entrepreneurs step up and make a difference in this country?
Where there are problems, there is opportunity.
Sri Lanka
I have a friend who recently raised 30 million
from the largest telecom in the country after being in the country for just 3
months. They now have the ENTIRE e-commerce marketplace to themselves. They are
quite literally; they are the only company doing e-commerce at scale in the
entire country. After a few weeks of operation, they eclipsed 101 employees
today. Their headliner is a daily deals site / group-on clone: anything.lk
Burma
I’ll report back from Myanmar next week, as I’ll
be jumping on a plane to head there shortly. For those who are interested in
visiting, the visa situation is a pain! I decided to go last minute to attend a
conference, and although I qualify for a “visa on arrival” the process is
anything but clear. You need a letter from a Burmese business with address IN
Myanmar (as well as permission from a ministry). Full details are available at
this site. It is much, much easier to arrange a visa in advance at a local
embassy.
Indonesia
From what I’ve seen so far from Indonesia, I
enjoy this country. However, corruption at the lowest levels, as dealing with
police (or the local banjar) can be burdensome for entrepreneurs. As for most
places around the world, it’s best to enjoy your time here, follow the rules
and don’t make too much noise. Although it is one of the largest emerging
markets, if you are going to start a business here, you better have a great
understanding of the culture, a well-connected local partner and deep pockets.
I’ve written about starting a business in Bali in this post. If you are able to
start a business, you’ll find incredible local talent for an inexpensive rate.
The workforce is (by and large) more technically skilled than many other
countries in the region, and there are great developers and designers.
South
Korea
Korea is a place I don’t know much about. From
an outsiders perspective, it’s not an emerging market, it seems expensive and
difficult to penetrate as a foreigner without extensive time and effort.
Although I have Korean friends who I know and love, it doesn’t attract me from
an a macro-economic perspective and I can’t see this economy having the growth
potential of others in the region. It is very well developed, and in many ways
the polar opposite of its neighbor to the north…
North
Korea
North Korea is the last frontier of Asia –
hidden behind a communist veil, much of the society is kept in secrecy. I do
know some people who have been able to visit and do business in the country.
Believe it or not, they run a consultancy that teaches social skills. I guess
that proves that maybe there is a market in NK? Recently it came out that
Google is trying to penetrate into the economy here, and bring peace to the
people. This is an admirable goal in my mind, and displays how the free market
and private business can accomplish something that bureaucracy and governments
could never accomplish in the country – freedom, peace and profitability.
China
China is intimidating. A huge market full of
opportunities. Learn more on how to incorporate a company and do business in
China.
Hong Kong
Hong Kong is amazing, I love spending time in
this country and it is just so damn entertaining to go out for a night on the
town in this city. Hong Kong has a great culture – its not overbearing with
centuries of tradition, but its deep enough to have caught its voice and be
able to proudly proclaim: this is what it’s like to be Hongkongnese.
Hong Kong simultaneously both IS and IS NOT
China. Technically, it is a “special administrative republic” and Hong Kong
S.A.R. is an exemplar for an efficient free market economy, yet for all intents
and purposes, is subservient to the centrally controlled Mainland. Although the
quality of life, language, way of doing business, food, travel documents, and a
lot of other things are completely different – Hong Kong IS china.
The food and the people are great, the city is
so much fun, and Hong Kong is the best place to open
a bank account. Scratch that, it is the 2nd best place in the world for banking and starting a business,
right behind…
Singapore
Singapore is THE best place in the world to
start a business. I’ve written about Singapore city here and also here. I have
a deep respect for the ability of the government to spur entrepreneurship and
innovation, and raise the quality of life for a society. Living here is a joy,
and I love being here for that reason, now if I could only find some interests
outside of my work…
Thailand
I write too much about this country already. I’m
redacting my previous statements on the LOS. There is “nothing” to see in
Thailand, please move along… My advice to backpacking tourists looking to “find
themselves” and “see elephants” and “ladyboys” is to stay for a day, visit
Phuket and then get out. We never wanted you here anyway.
For those of you who want to see the real
Thailand… I recommend at least a year on the ground. Learning the language,
starting a business, getting a multiple entry visa in Thailand through a Thai
Company, and living in Bangkok city.
Cambodia
Cambodia is the future rice bowl of SE Asia.
Along with Thailand and Vietnam, this is where the bulk of food will be
produced in the 21st century. it’s also a very young society, and its
developing quickly. I’ve seen ventures fail here (premium beer, commerce) and
other succeed (citizenship by investment, property investment, fund management,
rice, micro lending) the business field is wide open. Read more about Cambodia
here. Read more about Cambodia’s Flag Theory and How to Get Cambodian
Citizenship | Frontier Investing | Private Equity
Vietnam
Vietnam has an emerging tech community. You
would not believe the talent that comes out of this country in terms of
technical ability. The currency is a dong, and the government makes it near
impossible to start a business unless you know the right people. Even the locals
have to go and stand in a room and be read a number in order to start a company
here. I spoke to a young girl that did it herself (instead of pay a company
rough $200). From the beginning, you should only pick a venture that the
government will LIKE – because if they don’t like you – bye bye. Take for
instance Facebook – which saw a countrywide ban when groups starting popping up
opposing the incumbent party. Check this article on How to set up a Vietnam LLC
for further information.
Philippines
Ahhh the Philippines. The friendliest people on
earth. Despite having one of the lowest GDP per capita, they have one of the
highest happiness ratings. The women here are very intelligent. If you want to
set up a business here, make sure you have strong females on your side, and
great government connections. They are open to foreigners doing business, but
all of the guys I know here that have had success know when to show their
palms, and when to show their teeth. REAL power rules.
If you are interested in setting up a company in
the Philippines, or learning more, check out this post on why it’s more fun in
the Philippines…
There is a lot of opportunity here; partially
displayed by the fact that Google is setting up a HQ in the Philippines. As a
societal whole, you really want to root for them. They have the potential, they
could do better, and they even know it themselves (see this commentary called
“get real Philippines” or just look at the town slogans “aim high!”