Innovations in emerging markets

I found this blog "Innovations in emerging markets" and have been browsing through it. It’s from The World Bank Group’s International Finance Corporation and is pretty good from what I can see. Here is a taste of it,

"Emerging markets are generating a wave of
disruptive product and process innovations that are helping established
companies and a new generation of entrepreneurs to achieve new
price-performance levels for a range of globally traded goods and
services."

As wake-up calls go, the tone of the
McKinsey article is slightly strident but perhaps that’s what it takes
to shake things up. The article is behind a subscription wall, so
unable to post a link. But the discussion of the reasons for the lead
acquired by companies in China and India on product and process
innovation is valuable. Spending behavior and the peculiarities of huge
but discerning consumer bases account for much of that lead. The
authors acknowledge that obstacles remain daunting for most emerging
market companies but argue that Western companies must adapt old
business models and build distinctive capabilities in the low-income
segments of emerging economies.

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This entry was posted in Business, India/China/Asia. Bookmark the permalink.

One Response to Innovations in emerging markets

  1. Dr. M.Grafing says:

    In my personal opinion,we can describes the unexpected consequences of the investments that Western companies have made in emerging markets. For instance, the presence of foreign businesses and the competition they bring often forces local businesses to take their game up a level. In doing so, they become more competitive on a global scale, threatening the foreign companies’ home markets.
    More to the point, that companies can gain key capabilities by serving low-income customers. In a market characterized by a lack of infrastructure, low education, and little disposable income, businesses must innovate to survive. These cost and management innovations become strong competitive advantages for a company, regardless of what market they are serving. Thank you very much for all your info. I am doing now research for my dissertation on E-Commerce for one of my customers,( http://www.coursework4you.co.uk)for sure will use some of that information

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