In this new race, economic competition among nations will be less on physical assets and more on knowledge assets. Pakistan must take urgent and substantive steps to build its ecosystem and knowledge culture to leapfrog ahead. What needs to be done? In my course on Marketing Strategies for Emerging Economies, Summer 2019 students of the Institute of Business Management, Karachi, Pakistan were asked to come up with recommendations. This is an example of some of the best work submitted.

1. PAKISTAN’S ECONOMY
AND INNOVATION
Analysis of Pakistan’s Market VS Global Knowledge Based Economies
Name :Yuhibullah Habeel
Instructor : Moazzam Hussain
Course : Marketing Strategies in Emerging Economies
Institute : Institute of Business Management
Year : 2019

2. Let’s get to know each other first.
Shall we?
■ Name:Yuhibullah Habeel
■ Occupation : Currently working in Marketing Department of a reputable firm.
■ Qualifications:
MBA Graduate - Institute of Business Management (IoBM) – Marketing & Brand Management
2018 – to date
BBA Graduate - Institute of Business Management (IoBM) – Marketing & Brand Management
2014-2018
■ Majors:
– Brand Management;
– Advertising;
– Distribution & Channel Management;
– Marketing Strategies &Value innovation;
– Marketing Analytics;
– Personal Selling;
– Merchandizing & Sales Promotion;
– Marketing Strategies in Emerging Economies

3. AT
A
GLANCEA run-through of the following slides
What’s currently happening in the World?
How are they doing it differently?
How they did it?
Current Situation of Pakistan
Solutions
i) South Korea
ii) China
iii) India
i) China
ii) South Korea
i) Haier
ii) Samsung
iii) Tata

4. What’s happening in the World?
■ South Korea:
 Involved in civil war in 1980’s and early 1990’s;
 Political instability in the region;
 Today their transition from Developing to Developed countries is
almost done.
 Highest GDP growth countries today.
 Dominating the World in electronic consumer market (LG, Samsung.
Whirlpool)
Examples are taken of countries that are EMERGING MARKETS.
Image Source:Google

5. ■ India:
 Independence achieved in 1947 (Same as Pakistan);
 Transportation system inadequate after independence;
 No standardized financial institutions;
 Cultural and Ethnical disparity high;
 Today: Transitioning towards Consumer goods export country;
 GDP contributing local brands include:
 Bharti Airtel;
 Tata;
 Spice Mobile.
 Expanding businesses to other countries in Africa;
 High strategic and economical importance in the World
What’s happening in the World?
Image Source:Google

6. How are they doing it differently?
■ China:
 Highest populated Country in the World.
 Transitioned from Agriculture based economy to
consumer goods based economy.
 Extensive researches and World class Research &
Development Centers.
 Promotion of locally manufactured brands. High taxes
imposed in imports.
 Expansion to other countries; changing the context
according to the country.
 Third party contracts for Goods manufacturing:
Number 1 in the World.
 Incorporating local people values, interests in the host
country.
 Tapping into developed markets first instead of
developing markets.
Image Source:Google

7. ■ South Korea:
 World Class Research Center;
 Research in Technology and innovative solutions;
 Introduced CDMA Technology in mobile phones;
 Introduced 3G Technology to the World. (Samsung)
 Incorporating university students into technology centers;
 Despite Civil war, focused on economic stability rather than security.
(Spending on defense budgets)
 Dominating in Research and Development centers.
How are they doing it differently?
Image Source:Google

8. How they did it?
■ China (Haier, Huawei):
 China’s white goods company is currently the biggest manufacture of
Refrigerators, Air conditioners etc.;
 Tapped into developed markets first;
 Intensive R&D;
 Hiring of local staff;
 Took on AAA brands heads on;
 Customized products (Deep drawer Refrigerators);
 Identified market needs (small Fridge for students);
 High quality and less features for price sensitive consumers (No
compromise on quality);
 Huawei had futuristic approach, began work on 5G Technology a decade
ago;
 Captured middle class flagship consumers;
 Beautifully communicated value proposition to consumers;
 Six Sigma certification in Manufacturing.
Image Source:Google

9. ■ South Korea: (Samsung, Whirlpool)
 Focused on white goods and black goods products;
 World Class Research Centers;
 Technology invention like CDMA, 3G Technology. Samsung
penetrated into global markets;
 Captured American Markets through Samsung;
 Display edge cutting Technology (LED Screens) innovations,
World’s Biggest TV Exporter;
 Building new consumer habits instead of researching on
existing ones. (Samsung Health).
How they did it?
Image Source:Google

10. How they did it?
■ India: (TATA)
 Locally manufactured vehicles (60% of Indian market captured);
 Entry barriers for global competition;
 Associating local products with patriotism;
 High R&D;
 Identifying customer needs, preferences and territory;
 Introduction of 3 wheel trucks; Huge Success;
 Targeting middle and lower class. (SEC B, SEC C, SEC D)
Image Source:Google

11. Current
Situation of
Pakistan
No local manufactured Technology white goods and vehicle products, (Highest contributor to other
country’s GDP);
Consumer goods products have minimal exports;
High imports against exports;
Agriculture based country, weather dependent;
No World class quality Research Centers;
Poor infrastructure and Logistics;
No openness to global investment;

12. High corruption in government (Global companies tend to stay away);
Not purely democratic ( Army’s involvement in politics);
Few high standard universities;
Poor quality PhDs produced;
High religious tensions;
Ethnical and Linguistic Disparity is high.
Unsecure borders.
Current
Situation of
Pakistan

13. Research Centers & their Quality
■ Pakistan has few Research Centers;
■ The agriculture Research center in Faisalabad has contributed
constructively to agriculture industry;
■ Though nothing record breaking;
■ No adequate, global standard research center for Technology;
■ Good IT & Programming Centers, however workforce migrate to foreign
countries;
■ No step taken by government in improving current situation;
■ Minimal budget for Research centers.
Image Source:Google

14. How can Pakistan become a
Knowledge based Economy?
■ The Solutions:
1. RESEARCH CENTERS:
 Pakistan needs to urgently build Research Centers;
 Research centers should be separate for every sector;
 Research should be of global quality & standards;
 Government should assign heavy budgets to Research Centers;
 Hire global professionals to help set up centers;
 Government should not privatize these centers and ownership
should retain. Eg: South Korea, Japan.
 Plans for research centers should be for long run and must not be
affected with new government appointed;
 Research centers are the need of the hour as identified from all
previous examples.
Image Source:Google

15. 2. JOINT VENTURE WITH OTHER RESEARCH CENTERS:
 Pakistan should make a joint venture with other Research Centers like AIST JAPAN;
 Gain standard practice knowledge;
 Learn and adopt required skill set and tools;
 Credibility enhancers;
 Shared knowledge to be used to manufacture goods locally.
Image Source:Google

16. ■ 3. APPOINT UNIVERSITY GRADUATES:
 Majority of the world class Research Centers work with Universities;
 Appoint student on project basis;
 More motivated workforce;
 Future of the country;
 Highly optimistic, better idea generation;
 Increases jobs in the market.
Image Source:Google

17. 4. EDUCATION BUDGET:
 Assign high budget to Education sector and Research Centers;
 Promote Centers;
 Promote students for Graduation;
 Offer Scholarships and MT Programs for Research students.
Image Source:Google

18. To Conclude…
Emerging markets are emerging because they are focusing more towards Technology, white goods and
Innovation.
The above goods turned to exports are high contributors to GDP;
Emerging countries & Developed countries both have something common: RESEARCH & DEVELOPMENT;
Pakistan should immediately focus on building Research centers of global standards;
Without Research centers, innovation in Technology, Manufacturing of electronic goods locally and low
imports; Pakistan will stay in an economic crisi.

19. THANK YOU!