McKinsey Global Institute director updates global council members
Jonathan Woetzel, director of McKinsey's Global Institute, addressed members of the Global Initiatives Council in late August, as he presented the implications of a major shift in global economic trends. Woetzel discussed what he foresees as the four, fundamental, disruptive forces that are at the heart of epic global economic changes, the major emerging trends that are evolving as a result of them and how leaders across all sectors can reset their intuition and prepare for the challenges of the future. Woetzel noted, "In order to become more productive, one simply must have urbanization. There will be about 3 billion people joining the consuming class by 2025." The Chamber's Global Initiatives Council keeps members informed of the most current trends in the global market through expert speakers. Learn more.

The Chamber, a member of the Chile-California Council, participated in the bi-national Board meeting held in Santa Monica in August. The Council, made up of 27 executives representing both Chile and California, is a non-profit organization that identifies opportunities for collaboration, facilitates strategic connections and incubates ideas in a wide range of areas. Opportunities are identified particularly in education, environment, science, technology and innovation. Chile is one of the Los Angeles region's important trading partners, and a member of the Chamber's Diplomatic & Commercial Officers Group (formerly known as the Trade Commissioners Networking Group). 

As China's economy shifts gear from a high speed of decades' long to a medium-high range and its stock market experiences wide swings, there are concerns if the world No. 2 economy can sustain the momentum of growth. China's economic new normal means slower, but steadier growth, as the country has created over 50 million new urban jobs since 2011 and accomplished 72 percent of its job creation target in the first half of 2015, and the country's health care system now covers 95 percent of its population. The new normal also means a structural adjustment and changes in driving forces of the economy. Service industry now accounts for 49.5 percent of the economy and consumption has been growing faster than GDP and contributed 60 percent of the H1 growth. Deepening of reform, further opening up, and Initiatives of Going Global (to encourage investment overseas), Belt & Road, and popular entrepreneurship will all help to maintain the Chinese economic growth within a reasonable range. E-commerce in China has been developing very fast in recent years and the government is encouraging further development of the sector through facilitating policy measures. China's online retail sales grew by 49.7 percent in 2014 and 39.1 percent in H1 2015 and it now already ranks No.1 among major e-commerce markets. California, with its geographical, historical, cultural advantages in doing business with China, is best positioned to benefit from China's incoming e-commerce boom.

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