A few weeks ago, I promised I’d dig into my copy of The World Is Flat when I got back from Hawaii. Ready? Here we go — first, from p. 29:
“Although the United States has lost some service jobs to India in recent years, total exports from American-based companies—merchandise and services—to India have grown from $2.5 billion in 1990 to $5 billion in 2003. So even with the outsourcing of some service jobs from the United States to India, India’s growing economy is creating a demand for many more American goods and services.”
Now keep that one in your head and check this one out (p. 38):
“In 1997, 11.6 million employees of U.S. companies worked from home at least part of the time. Today [this is quoted from a 2004 LA Times story] that number has soared to 23.5 million—16% of the American labor force. [Note: that’s more than double in just seven years.] Meanwhile, the ranks of the self-employed, who often work from home, have swelled during the same period—to 23.4 million from 18 million [grown by nearly one-third].”
Translation: The number of Americans working out of our homes is mushrooming—and in only the first three years of this century, the market in India for the “merchandise and services” we all produce doubled.
And that’s just India. My friend Dan Burrus (author of TechnoTrends) tells me that during 2004 in India 350,000 engineers graduated from institutions of higher education. (India has more honors students than America has kids.) But in China, that figure was 600,000. (In America, btw, it was 70,000.)
Here are some more of Dan’s figures on China:
• In 2005 alone, China built 137 brand new world-class universities.
• China will soon be the #1 English-speaking country in the world.
• If you took all the jobs in the U.S. and shipped them to China, even if they still kept all the jobs they currently have, there would still be a labor shortage in China.
On p. 15 of The World Is Flat, Friedman quotes Jaithirth Rao, a native of Mumbai (formerly Bombay) who runs an Indian outsourced-accounting firm named MphasiS:
“In ten years we are going to be doing a lot of the stuff that is being done in America today. . . You are defining the future. America is always on the edge of the next creative wave.”
Ladie and gentlemen, they’re singing our song.
Today, Japan is the world’s second-largest market (after the U.S.) for network marketing. In the next ten years, as their middle-class population grows enormous, India and China will become a huge market for what we do. And if you’ve read Paul Pilzer’s The Next Millionaires, you know what that means:
My point? Grow a strong network marketing organization in America today, and you’ll have a global empire tomorrow.