Aug. 19 - Times are getting tough for European firms in emerging markets, with many now seeing the economic slowdown and all it entails as 'the new normal'.
From banking to whiskey from food to pharmaceuticals. European companies say revenue growth in emerging markets installing. HSBC talks of a cyclical slowdown di Maggio -- choppy conditions and Unilever views the slowdown as the new normal. Others describe emerging markets is challenging and volatile and uncertain. Adding to the pain as the weakening of a number of currencies such as the Brazilian and Ray Allen Indian rupee. Which Unilever says has been a big -- and deeper than anybody anticipated. Making life difficult for western companies. But easier for local ones. It does mean with the weakness of the present in Korea now and particularly in the Indian rupees that these local exporters -- clearly much more competitive say. It's good for them. But many foreign companies continue to do well and emerging markets McDonald's and KFC do well in China where they have adapted to local tastes. Others have found it much tougher. Britain's Tesco is weighing a pullout talk to disappointing sales France's top four is also having second thoughts. It's very difficult to get a new meaning to really concentrate on like analyzing and embracing. I'm pondering with a local organizations. Politics can be tricky suit in China ethnicity and Davos are on the government pressure to cut prices. And a leadership crackdown on conspicuous living by officials it's using luxury good makers such as -- GO not caring and LVMH. It does seems -- still a loss of right site. And that -- around the political process in dealing with emerging economies such as China and and and India as well but these. These can also be difficult Marcus to tap into. Well growth in the big emerging markets so you've corporate profits during the depth of the downtime things look different from now on. But that does not -- the emerging markets story wolf clip from boom to bust. HSBC chief Steward government points out that China's economy is still growing more each year than its original GDP eighteen years ago. And many other emerging markets is seeing rates of growth western countries could only dream off. For companies pressing on emerging markets still seems a cute idea but the days of stellar profits growth may have cost. And as the US and Europe begin to recover some companies may just decide whom his past.