Business in Context (N) Essay Example | Topics and Well Written Essays - 2000 words

Business in Context (N) - Essay Example The reason that matters underneath is the economic power shift from the leading western countries to the emerging eastern countries. The BRIC received its name from Goldman chief Jim O’Neil in 2001 and since then it has continuously been in the bull’s-eye category of economists in predicting future changes and suggesting remedies to the suffering economies. Most of the economists and analysts have already stated that by 2050, the BRIC economy especially China is going to be the biggest economy in the world (Economy Watch. 2010). This makes the reason for UK economy to consider the growth of BRIC economies and rethink its future perspective to face this global challenge. To work as a fuel to the matter, the GDP rate of UK was recorded to be $1.5, while on the context the GDP ratings for BRIC economies were standing at a height of $5.2, $4.3, $8.5 and $6.8 respectively in 2007 and is estimated to be $2.0 for UK, $3.1 for Brazil, $3.2 for Russia, $5.0 for India and $4.6 for China. Therefore it can be seen, in both the period’s figures are in favour of BRIC nations and certainly at a high volume compared to UK. As such, the concern regarding BRIC economies are quite justified (Hawksworth & Cookson, 2008). The world economic power for a long period of time had been concentrated upon three powerful economic regions i.e. USA, Japan and European Union. These three are recognised as Triad Region. The power of economy has with time been spread across the world and has transpired in the hands of the BRIC countries. The power shift of economies to be noted is not only affecting UK economy but it is also changing the prospects of other developed western economies like USA, Canada, and Australia. But the reason why only UK economy is under so much pressure is because of the fact that at the initial stage when all the other economies were on a mindset to enjoy the mounting opportunities served by these