) has secured a big job order from the Tokyo Metropolitan
Government ("TMG"). As per the new task order, Accenture has been
entrusted by TMG with the responsibility of recruiting 10 or more
foreign companies to establish their Asian regional headquarters
or research and development (R&D) centers in Tokyo's Special
Zone by the end of Mar 2014.
By using its management consulting skills and capabilities,
Accenture would be drawing up a list of foreign companies fit to
set up their bases in Tokyo's regional business district, which
would in turn make Tokyo an ideal destination for business
Accenture will persuade and help companies to set up their
bases in this region. Apart from this, Accenture will assist TMG
in improving the business, governance and living environment so
as to further improve the attractiveness of the business
This is a new area of activity for the technology company.
Previously, Accenture was not directly involved in developing a
business district for any government. This exposure will improve
Accenture's experience and if successful, will enable it to
contract such business in the future as well.
The emerging markets are the key growth area for Accenture's
global delivery capabilities, which includes countries such as
India, Philippines, China, LATAM, among others. The company is
also intensifying its focus on working with local clients.
Geographic diversification of revenues is a key step in
decreasing risk from slower performance of some developed
The firm has been on a winning streak, as far as clients in
emerging high-growth markets are concerned. The company continues
to make investments to enhance growth as far as emerging markets
are concerned. Moreover, Accenture is strengthening its foothold
in other under-penetrated economies, such as the Middle East.
Accenture has been able to maintain a steady pace of deal wins
over the last few years. This will provide the much-needed
support to the company's revenue base. The consulting and
outsourcing business has made a meaningful contribution to the
company's revenues over the years.
On the other hand, sensing the opportunity in the Asian and
other such emerging markets,
) are also winning business deals and offering services at
competitive rates. The stiff competition in Asia and persistent
weakness in Europe are telling on Accenture's results.
Accenture currently has a Zacks Rank #3 (Hold). Another
Information Services Group Inc.
), carries a Zacks Rank #1 (Strong Buy), and is therefore worth
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