Insights

The Rise of Multipolarity and Geoeconomics' Rivalry

For decades, globalization and liberal trade frameworks dominated decision-making: companies built extended supply-chains, capital flowed freely, and geographic boundaries blurred. That model is now under stress. A rising tide of economic nationalism, technological competition and strategic trade friction is redefining the global business landscape.

Take trade: goods-flows surpassed US$32 trillion in 2022 despite these pressures, yet businesses are increasingly confronted with policy fragmentation and shifting alliances.

From the board’s vantage point, this means that geopolitical risk is no longer external - it touches operations, investment, talent, reputation and growth.

Four Strategic Imperatives for Business Leaders

Embed geopolitical awareness upstream: Don’t wait for a headline or crisis to react. Successful organisations now build a “geopolitical radar” that monitors emerging power shifts, supply-chain vulnerability, regulatory blocs and strategic dependencies.

Re-think supply-chains and investment geo-maps: Rather than purely cost-driven structuring, businesses must factor strategic resilience, national policy constraints and bilateral relations into decisions on sourcing, production and trade.

Elevate stakeholder engagement and policy alignment: In a world of growing state-influence, firms must align with government priorities, anticipate regulation and forge relationships beyond traditional markets.

Build internal agility and scenario capability: Boards and executives must be comfortable with ambiguity, scenario planning and rapid pivoting. Functions like government affairs and risk management must be integrated, not siloed.

Why This Matters for Organisations Based in India

From our vantage point in India, the shift holds unique opportunity. India’s own role as a strategic manufacturing hub, its growing regional influence and ambition to bridge global value-chains mean that companies here have a front-row seat. Yet this position also brings heightened scrutiny: geopolitics in Asia, technology access, and regulatory divergence all carry amplified significance.

In this context, firms that combine global insight with local execution — those that understand policy dynamics in India and how they link to global shifts — will outperform those treating India as just another market.

Conclusion

In today's world, geopolitics is business. The question is not whether your organisation must deal with it - the question is how proactively and strategically you embed it into your core. Firms that elevate it from the risk agenda to the growth agenda will build resilience, unlock opportunity and lead with clarity in an uncertain landscape.

“Geopolitics is no longer a hallway conversation - it belongs at the board-table.”