Amdocs Ltd. (NYSE: DOX) CEO Dov Baharav emphasized the major role played by emerging markets in the current global economic climate. Baharav spoke at the "Globes" Israel Business Conference this morning.
Baharav said, "The transfer of work to emerging markets is a trend which changes the global status quo, in my opinion. That is why I say that no job which is transferred to China or India will return. No product whose production is moved to China or India will ever return." Baharav added "That is why companies like Amdocs need to focus on innovation."
The executive cited the mobile Internet as another major change. He said that while there are currently 4 billion mobile phones, by 2017 there will be 7 trillion connected devices. Example he gave are refrigerators, TVs, cars, books not just phones. Baharav sees global life expectancy rising as a result of the mobile Internet, as people in remote villages can access quality healthcare and receive a diagnosis and possibly emergency treatment, despite being hundreds of kilometers from a hospital.
Baharav pointed as well to specific Israeli advantages that have helped Amdocs, and that he claims help the entire economy meet the challenges of the future. The melting pot of different cultures found in Israel resulted in its citizens being able to deal with people from different backgrounds, which is a necessary quality today. A second aspect is the security threat of being surrounded on all sides by enemies, which has given Israelis a strong commitment to a goal, and the drive to persevere, which also lead to business success. Baharav called these qualities the backbone of Amdocs.
Published by Globes [online], Israel business news - www.globes-online.com - on December 13, 2009
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