Most consumers will still be short of cash, so firms that make cheap stuff well will thrive. Luxury-goods firms will flounder. Purveyors of basic necessities, such as Wal-Mart and Procter & Gamble, will do well. People don't stop brushing their teeth just because there is a recession, notes John Quelch of Harvard Business School. Asian firms that make cheap cars and washing machines for Asia's emerging middle class, such as Tata, Hyundai and Haier, will make inroads into Western markets.
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