WPP Group Plc Chief Executive Officer Martin Sorrell said the world's second-biggest advertising company aims to have a third of its business in "faster-growing" markets in the next five to 10 years.

Advertising is increasing at about twice the rate of the gross national product in faster-growing economies as the industry catches up with economic expansion, Sorrell said.

WPP expects China to become its third-largest market by the Beijing Olympics in 2008. China is already WPP's fourth-largest market after the United States, the UK and Spain.

"The important thing is for us to focus on those faster-growing markets and that's where our clients are putting their weight of investment spending at the moment and I think in the future," Sorrell said. "After all, two-thirds of the world's population will be in Asia Pacific by 2014." The acquisitions that can be made in faster-growing markets are "relatively small," with exceptions including Japan and South Korea, Sorrell said.

China's economy will probably expand at a 10 percent pace next year, compared with 2.9 percent in the United States and 2 percent among the 12 countries sharing the euro.

WPP said last month that it made four acquisitions in India, China and South Korea in an effort to expand in faster-growing regions.

WPP's Ogilvy & Mather Worldwide bought 70 percent of Beijing Century Harmony Advertising Co Ltd in China. The company took a majority stake in Bangalore, India-based Ray & Keshavan Design Associates Private Ltd, a brand identity and design agency. In South Korea, WPP's Wunderman agreed to buy SRP Corporation Ltd and ComHaus Korea Ltd.

"Organic growth is going to be more and more important," Sorrell said. The faster-growing markets are "higher growth, higher risk and I think you have to be prepared for bumps," he said.

Source:佚名