The Knowledge to Decide

As ASEAN trade grows rapidly, so does its economic clout – the combined Gross Domestic Product (GDP) of the region is set to reach USD3 trillion by 2024, making it among the top ten economies in the world were it a single country. What key trends will emerge as ASEAN trade forges ahead? Leon Perera, Chief Executive Officer, of Spire Research and Consulting shared his insights in China Daily – Asia Weekly. The share of intra-ASEAN trade out of the region’s total trade has grown to over 27% in 2014 from 17% in 1990. The ASEAN region continues to be an export-oriented global manufacturing and services hub for thousands of multinationals. Economic growth has led to the rise of the upper and middle classes and an increase in the consumption of luxury goods. Perera noted that Southeast Asia still imports aircraft and industrial equipment from Europe and the U.S. Moreover, toys and consumer electronics continue to be heavily imported from China. So there is no question of ASEAN beco

As Korea races to lead the global robotics industry, the Korean robotics market continues to grow at an annual average of 22% a year. Is Korea ready to rub shoulders with global players? Spire Research and Consulting shared its insights, published on the Korea IT Times news portal. The global industrial robot market is expected to grow to USD40 billion by 2020, at an average annual growth rate of 5.2% from 2014. However, Korea’s robot manufacturing market is expected to grow much faster, by 21.5% a year, to reach USD19.4 billion by 2020. Interestingly, Korea’s first humanoid robot – HUBO – developed by the Korea Advanced Institute of Science and Technology (KAIST) recently won the 2015 DARPA Robotics Challenge, beating tough competitors from Hong Kong, Italy, Germany, Japan and the U.S. This prestigious competition is funded by the U.S. Defence Advanced Research Projects Agency (DARPA). The competition aims to develop semi-autonomous (ground) robots that can work under risk-p

Service standards in Singapore are still not at par with some Asian counterparts. Can Singapore build a strong service culture? Leon Perera, Chief Executive Officer of Spire Research and Consulting shared his insights in The Business Times – Views from the Top section on how Singapore can inculcate higher standards of service. Service standards begin with a strong foundation right from school. Ample opportunities to practice good service in school through role-playing games and competitions will help inculcate this culture. Perera opined that it is crucial that older students undergo at least one internship that involves a front-facing role. The objective of this should be to instil an ethic in humility – to serve customers with pride and not view it as humiliation. This standard should be reinforced in the workplace by business leaders who set a personal example. Business leaders should set aside time to serve customers directly, underscoring the importance of good servi

Shanghai is set to become the next hub for quality healthcare services as new hospitals collaborate with established industry players. Will Chinese medical tourists check in at home for medical treatment? Leon Perera, Chief Executive Officer of Spire Research and Consulting, shared his insights in the Asian version of Japan’s Nikkei newspaper. Home to a population of 23 million – where 53% of the population is middle class and above – the city of Shanghai continues to lure more foreign investors in the healthcare segment for the affluent. Raffles Medical Group, Singapore’s premium private healthcare provider, has set foot in Shanghai with its first overseas hospital, part of a wider trend of premium healthcare service providers setting up shop in the city. Perera highlighted that the growth in healthcare services has been fuelled by the government’s policy shift to allow more foreign ownership of hospitals. The intent behind this is perhaps to retain some of the 60,000 me

The Social Impact Innovation Challenge by Berbudi Berganda – driven by Agensi Inovasi Malaysia (National Innovation Agency) – brought together individuals across Malaysia to scout for innovative solutions for Malaysia’s social development. Carried out over a period of 10 weeks, 12 finalists were shortlisted out of 300 entries using selection criteria that spanned three parameters – innovation, cost-effectiveness and sustainability. Yap Far Loon, Business Development Director, Telecommunication of Spire Research and Consulting, was among the Challenge panelists interviewed on BFM 89.9 (The Business Radio Station) for the Live and Learn show. He shared his views on how to measure impact of social innovation. This Social Impact Innovation Challenge strives to turn innovative ideas into realities. To explain the impact of social innovation, Far Loon uses a simple demand-supply model. Supply here refers to the finalists. Demand refers to the beneficiaries, such as people with low-inco

Nepal – one of the poorest countries in the world – had a rude awakening when a 7.8 magnitude earthquake struck on 25 April 2015. The impact was tragic. Casualties continue to rise, with immense damage to infrastructure. Will the nation be able to pick up the shattered pieces of its economy? Leon Perera, Chief Executive Officer of Spire Research and Consulting shared his insights in China Daily – Asia Weekly. With the estimated cost of rehabilitation set to hit USD5 billion – a quarter of the nation’s Gross Domestic Product (GDP) of USD20 billion in 2014 – the economic impact of the earthquake is massive. According to United Nation’s data, 8 million people are directly in the line of fire. Both agriculture – with well over 70% of the population employed in this sector – and tourism have been badly afflicted. Perera opined that the disaster will also impact the nation’s ability to grow and transport fresh food – the agricultural sector alone accounts for 38% of GDP. Moreover,

With Automotive Aftermarket demand expected to soar at 13% from 2010 to 2018, how can industry players cash in on this market opportunity? Japnit Singh, Senior Director, Singapore and India of Spire Research and Consulting shared his insights in the Lube Report Asia magazine. Original Equipment Manufacturers (OEMs) in the automotive industry are operating in highly competitive markets. In most countries, they are fighting for market share via promotions and heavy price discounts. OEMs are always on the look-out for new income streams. It is in this context that industry players and manufacturers in Indonesia and Malaysia have been zeroing in on the lubricant oil market. Singh highlighted that post-sales services – inclusive of oil change and regular maintenance check – generate higher profit margins than vehicle sales. The current low oil prices have encouraged motorists to use their cars more often – raising demand for aftermarket services and parts, including lubricant oil.

Japanese women are increasingly pursuing professional aspirations but are being held back by rigid social norms that discourage mothers from working. However, as Japan realizes the important contribution that women can make to employment and innovation, social norms may be slowly changing. Is there a pathway to gender parity in Japan’s workplace? Leon Perera, Chief Executive Officer of Spire Research and Consulting, shared his thoughts on Huffington Post, Japan – a globally acclaimed news portal. Only 10% of senior managerial positions are occupied by women, which is low when compared to comparable figures for the United States (42%) and France (38%). As in many other countries, women in Japan are often made to choose between their professional and personal lives in a way that men are not. Work-life balance is hard to sustain when they single-handedly take care of household responsibilities. Perera opined that Japan needs to overcome its societal norms about gender so as to b

Singapore’s online retail market grew from SGD717 million in 2010 to about SGD1.08 billion in 2014, and is projected to reach SGD2.06 billion by 2019. Will traditional retailers change their business strategies in response? Japnit Singh, Senior Director of Spire Research and Consulting, Singapore and India, shared his insights on Channel News Asia – Today Online. As online retail continues to record increasing sales in Singapore, traditional retailers are struggling to keep up with the fierce competition. As the retail sector is a major component of Singapore’s Gross Domestic Product (GDP), this results in money and tax revenue flowing out of the Republic, since e-commerce is dominated by overseas merchants. Many Singaporeans now prefer online shopping. Singh highlighted that out of the estimated SGD4.5 billion generated in the e-commerce space, 55% involves cross-border transactions. The obvious benefits include Goods and Services Tax (GST) savings as well as lower prices, b

The San Francisco Bay area has set the global benchmark as a successful tech innovation and start-up epicenter. Drawing inspiration from this, the Asia-Pacific region wants to foster its own tech hubs. Will it succeed? Spire Research and Consulting shared its insights, published on the US Consumer Electronics Association’s blog. The formula for success for San Francisco’s Bay area, more commonly known as ‘Silicon Valley’, includes strong backing from a pro-business government, a pool of highly talented and educated workers as well as ample access to venture capitalists – all in the context of a risk-taking culture. Other Asian countries are working towards developing a similar culture and business eco-system in order to clone this technology hub. Some of the up and coming innovation centers across the Asia Pacific region are Cyberport in Hong Kong, Daedeok Innopolis in Daejeon, Korea, Fusionopolis in Singapore, Macquarie Park in Sydney, Australia and Yokosuka Research Park in

Satellite technology is gaining ground in Asia. Asia-Pacific satellite telecommunications revenues hit USD 2.9 billion in 2014 – a quarter of global revenue. Japnit Singh, Senior Director for Singapore and India of Spire Research and Consulting, shared his insights on this growing industry with China Daily – Asia Weekly. Whether it is commuters in Hong Kong’s subway reading their daily news on smartphones or farmers across rural regions in Asia using mobile phones for banking, ordering fertilizer or selling crops, satellite-based data transmission has penetrated everyday life. With the rise of the middle-class in Southeast Asia (SEA), demand for more digital content on phones, home TV screens and at offices is skyrocketing. The demand for satellites is coming both from emerging markets such as Myanmar and Cambodia as well as more mature markets such as Malaysia and Indonesia. Singh highlighted that Direct-to-Home (DTH) satellite broadcasting is set to drive growth for Asi

The demand for digital technology is on the rise. How are industry players catering to changing technology needs? Jeffrey Bahar, Deputy Chief Executive Officer of Spire Research and Consulting, shared his insights in Kompas – Mega Bazaar – a leading newspaper in Indonesia. Digital technology enhances the way we work. In the digital realm, productivity takes precedence – especially in the corporate segment. Technology and features that accompany a device are always changing, encouraging innovations along the way. Bahar opined that IT spending worldwide is about 2-3% of the total revenue of all of the companies in the world. The banking and financial industry in Indonesia has a higher level of IT spending when compared to the average in other industries. This is where Lenovo – the number one PC manufacturer globally – seems to understand the changing demands from society. It constantly innovates – with its latest edition in the multimode devices under the business segment.

With the implementation of the ASEAN Economic Community (AEC) due this year, competition in the IT industry is set to intensify. Will Indonesia’s IT sector thrive under these conditions? Jeffrey Bahar, Deputy Chief Executive Officer of Spire Research and Consulting, shared his insights in Kompas News – a leading newspaper in Indonesia. Personal computer (PC) shipments, tablet computers, ultra-mobile and mobile phones are expected to reach global sales of 2.5 billion units in 2015 – a rise of 3.9% in comparison to 2014. While PCs are still growing in developed markets such as the US, weak growth of PC’s in developing markets is attributed to strong demand for smartphones and table computers. Nonetheless, the IT industry in Indonesia will continue to charge ahead. Bahar highlighted that the highest sales in Indonesia are seen in tablet computers and smart phones. Within ASEAN, Indonesia offers the greatest market opportunities for consumer IT. The nation is expected to reac