Global firms need to play to their strengths. This typically means bringing their larger fund sizes to bear in auctions where they can withstand the upward pressure on prices better than their local peers. 

“Local GPs may have better networks, but if the deal goes to the auction process it’s quite challenging for them to win without lowering their expectations on IRR,” says Wonpyo Choi, a partner with Bain & Company. “If they have the right connections with the owners and the conglomerates want to have a quiet and fast process, they may be able to make some deals happen. But that’s not usually the case.”