Bridging the Emerging Markets Internet Divide

By Brandman, James | Global Finance, April 2000 | Go to article overview

Bridging the Emerging Markets Internet Divide


Brandman, James, Global Finance


Western venture capitalists are promoting the growth of the Internet market worldwide.

There are plenty of doom merchants who claim that, far from promoting economic and social development, the Internet is yet another tool for widening the gap between developed and developing countries. The new economy's self perpetuating cycle, where investment generates efficiency that frees more capital for investment, is not taking root in the developing world as quickly as many would like, and the rapid growth of wealth in the West is exaggerating the differences.

But there are signs that capital is beginning to flow into newer markets with the aim of developing the Internet worldwide. Ironically, it is because the developed markets are so saturated with capital that this is taking place. Venture funds are looking ever further afield to find the next home run.

In February this year, for example, the International Finance Corporation and Japan's Softbank announced a joint venture designed to initiate start-ups in more than 100 developing countries. Together, they are investing $500 million in Softbank Emerging Markets (SBEM) and Softbank's Latin America and Chinese Internet investment funds to incubate Internet-related businesses in developing nations.

SBEM will invest seed money and provide technological, legal, and management support to turn ideas into businesses. In doing so, it will enter partnerships with various industry leaders and local partners and provide risk capital and support for entrepreneurs. By transferring Internet technologies and business models from developed to emerging markets, the project hopes to generate investor interest in emerging market Internet companies, which should help lower the price of Internet access and so boost subscriber levels.

This is not the only attempt to preempt or propagate an Internet explosion in emerging markets. Media investment groups CMGI and Hicks Muse Tate & Furst of the United States and Hong Kong's Pacific Century CyberWorks are jointly investing up to $1.5 billion in a new venture capital partnership to support the development of Internet firms based in Asia, Europe, and LatinAmerica. The joint venture, @Ventures Global Partners, will make investments in Web businesses spanning four core disciplines: content, community, commerce, and the software and services necessary to link Web businesses to their users and customers. …

The rest of this article is only available to active members of Questia

Sign up now for a free, 1-day trial and receive full access to:

  • Questia's entire collection
  • Automatic bibliography creation
  • More helpful research tools like notes, citations, and highlights
  • Ad-free environment

Already a member? Log in now.

Notes for this article

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
One moment ...
Default project is now your active project.
Project items

Items saved from this article

This article has been saved
Highlights (0)
Some of your highlights are legacy items.

Highlights saved before July 30, 2012 will not be displayed on their respective source pages.

You can easily re-create the highlights by opening the book page or article, selecting the text, and clicking “Highlight.”

Citations (0)
Some of your citations are legacy items.

Any citation created before July 30, 2012 will labeled as a “Cited page.” New citations will be saved as cited passages, pages or articles.

We also added the ability to view new citations from your projects or the book or article where you created them.

Notes (0)
Bookmarks (0)

You have no saved items from this article

Project items include:
  • Saved book/article
  • Highlights
  • Quotes/citations
  • Notes
  • Bookmarks
Notes
Cite this article

Cited article

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

(Einhorn, 1992, p. 25)

(Einhorn 25)

1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited article

Bridging the Emerging Markets Internet Divide
Settings

Settings

Typeface
Text size Smaller Larger Reset View mode
Search within

Search within this article

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

Full screen

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn, 1992, p. 25).

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences." (Einhorn 25)

"Portraying himself as an honest, ordinary person helped Lincoln identify with his audiences."1

1. Lois J. Einhorn, Abraham Lincoln, the Orator: Penetrating the Lincoln Legend (Westport, CT: Greenwood Press, 1992), 25, http://www.questia.com/read/27419298.

Cited passage

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.