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Serving low-income markets: Rethinking Multinational Corporations’ Strategies

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Author Info

  • SadreGhazi, Shuan

    ()
    (UNU-MERIT)

  • Duysters, Geert

    ()
    (UNU-MERIT)

Abstract

In recent years a new debate is emerging about market-based approaches to serve lowincome communities, opportunities in such markets and the role of multinational corporations. This paper aims at providing an overview of low-income markets thereby analyzing challenges that multinational corporations face in addressing such markets. Various examples of low-income market approaches are examined and different firm strategies regarding R&D, production and distribution in such markets have been illustrated and discussed. It is argued why specific strategies, many of them new to multinationals, are to be devised when it comes to serving low-income communities.

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File URL: http://www.merit.unu.edu/publications/wppdf/2008/wp2008-024.pdf
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Bibliographic Info

Paper provided by United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT) in its series MERIT Working Papers with number 024.

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Date of creation: 2008
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Handle: RePEc:unm:unumer:2008024

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Related research

Keywords: Multinational corporations; Low-income markets; Bottom of the Pyramid; Business strategy;

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  1. Ravi Ramamurti, 2004. "Developing countries and MNEs: extending and enriching the research agenda," Journal of International Business Studies, Palgrave Macmillan, vol. 35(4), pages 277-283, July.
  2. Ted London & Stuart L Hart, 2004. "Reinventing strategies for emerging markets: beyond the transnational model," Journal of International Business Studies, Palgrave Macmillan, vol. 35(5), pages 350-370, September.
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Cited by:
  1. Ramani, Shyama V. & Thutupalli, Ajay & Medovarski, Tamas & Chattopadhyay, Sutapa & Ravichandran, Veena, 2013. "Women entrepreneurs in the informal economy: Is formalization the only solution for business sustainability?," MERIT Working Papers 018, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).

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