1. Americans in theNew Century The Opportunities andChallenges of Diversity Henry Cisneros Association to Advance Collegiate Schools of Business December 6 th , 2004

2. Demographic Changein America 3. African-Americans

2000:34.65 million

1990-2000:16% growth

4. Profound Influence on U.S. Culture National Icons: Oprah Winfrey Bill Cosby Michael Jordan Cultural Pacesetters: Denzel Washington Toni Morrison Halle Berry 5. Profound Influence on U.S. Culture Athletic Heroes:Kobe Bryant Barry Bonds Tiger Woods Classical Grace: Wynton Marsalis James Earl Jones Leontyne Price Marshall Faulk Jessye Norman 6. Profound Influence on U.S. Culture Moral Philosophy: Cornel West Public Leadership: Jesse Jackson Colin Powell John Lewis Condoleezza Rice Martin Luther King Andrew Young 7. Asian-Americans

2000:10.2 million

1990-2000:41% growth

Highest Median Household Income

8. Growing Influence on U.S. Culture Arts and Literature: I.M. Pei Maya Lin Amy Tan Deepak Chopra Yo Yo Ma Vera Wang Entertainment and Fashion: Bruce Lee Jackie Chan 9. Growing Influence on U.S. Culture Media and Business Connie Chung Ann Curry Charles Wang Michelle Kwan Michael Chang Sports: Kristi Yamaguchi 10. Hispanic-Americans

2000:35.3 million

1990-2000:58% growth

Source:April 1998, Standard & Poors DRI 11. Movies: Music: Increasing Influence on U.S. Culture Andy Garcia Jimmy Smits Salma Hayek Cameron Diaz Gloria Estefan Christina Aguilera Marc Anthony Ricky Martin Enrique Iglesias 12. Increasing Influence on U.S. Culture Isabel Allende Gabriel Garcia Marquez Literature: Sandra Cisneros Carlos Fuentes Sports: Luis Gonzales Sergio Garcia Oscar de la Hoya Arantxa Sanchez-Vicario 13. Increasing Influence on U.S. Culture Mel MartinezPublic Leadership: Fashion: Paloma Picasso Oscar de la Renta Carolina Herrera Bill Richardson Cruz Bustamante Robert Menendez 14. Population Distribution Source: U.S. 2000 Census & U.S. Census Bureau Population Division, Population Projections of the U.S., Total Population by Race, Hispanic Origin, & Nativity 37,589 4,405 59,239 98,228 212,990 403,686 2050 E 19,589 3,207 44,735 55,156 207,145 324,926 2020 E 10,243 2,476 34,658 35,306 194,553 281,422 2000 8,788 1,931 31,598 26,936 193,566 262,820 1995 Asian-American American Indian African American Latino White /Non-Latino Total Year 15. Population Distribution Source: U.S. 2000 Census & U.S. Census Bureau Population Division, Population Projections of the U.S., Total Population by Race, Hispanic Origin, & Nativity 37,589 4,405 59,239 98,228 212,990 403,686 2050 E 19,589 3,207 44,735 55,156 207,145 324,926 2020 E 10,243 2,476 34,658 35,306 194,553 281,422 2000 8,788 1,931 31,598 26,936 193,566 262,820 1995 Asian-American American Indian African American Latino White /Non-Latino Total Year 16. California Population byRace / Ethnic Distribution Source: Public Policy Institute of California 17. Minority Populations Are Young % of population under 20 Source:Market Segment Research; Population Report, Middle Series, 1996 18. Population Pyramids for Anglo and Hispanic Ethnic Groups in Texas, 2000 Anglo Hispanic 19. Minority Households Are Larger

• Whites Blacks Hispanics

• Household

• Size 2.58 2.75 3.54

Source:1998 Current Population Survey 20. Source:U.S. Dept of Justice, Immigration and Naturalization Service, Annual Report, Jan 99 21. Source:U.S. Dept of Justice, Immigration and Naturalization Service, Annual Report, Jan 99 22. Source:U.S. Dept of Justice, Immigration and Naturalization Service, Annual Report, Jan 99 23. Source:U.S. Dept of Justice, Immigration and Naturalization Service, Annual Report, Jan 99 24. Source:U.S. Dept of Justice, Immigration and Naturalization Service, Annual Report, Jan 99 25. Myth: It Will Be a Long TimeBefore Minorities Will Be a Viable Middle Class. 26. Growth of the Middle Class:1989-1999 Source:U.S. Census Bureau TotalHouseholds African AmericanHouseholds HispanicHouseholds AsianHouseholds Middle Class Defined: 1989:$23,663 - $36,201 1999:$33,001 - $52,174 27. Fact: Minority Families Have More Workers Per Household Households with Three or More Workers, 1990 The Middle Class - 5 County Area Source:Pepperdine University Institute for Public Policy The Emerging Latino Middle Class1997 28. U.S. Hispanic-Owned Companies, 1982-2010E Source:2000 U.S. Census Bureau and Ramirez & Co., Research estimates. $1,800,000 $1,600,000 $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 Firms (thousands)Revenues (millions) 234 422 772 1,200 1,837 5,324 1982 1987 1992 1997 2001 2010E 29. Myth: The Minority MarketIs Smalland Hence Is Not a Significant Factor for Business to Consider. 30. Projected Owner Occupied Household Growth in Millions 2000 - 2010

• African Asian/ Total

• Total American Hispanic Other Minority

• 10.9 m.1.8 m.2.2 m.1.0 m.5.0 m.

Source:1998 Current Population Survey 31. There Is Still a Significant Gap in the Rate of Home Ownership Home Ownership Rate: 4 thQuarter - 2001 Source:Department of Housing and Urban Development Office of Policy Development & Research,US Housing Market Conditions , 4 thQuarter 2001 32. Americas Leadership Institutions Must Recognize The Importance Of Minority Growth 33.

It is a Growth Imperative

Organizational Attitudes Must Reflect That Recognition

Practices & Procedures Must Support It

Institutions Must Decide as Policyand Practice That They Will Creatively Address Diversity 34.

Bilingual Staffing

Training and Orientation on Attitudes and Procedures

Efforts at Cultural Understanding

Entrepreneurial Outreach

Staffing and Training 35.

Calibrate Products to the Market

Refine the Message

Locations:Community Accessibility

Develop Appropriate Products and Accessible Services 36.

Refine and Target the Message

Choose the Most Appropriate Communication Mediums

Address Language

Emphasize Aspirational Content

Communicate With Phases of Life in Mind