IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this article

Exploration- and Exploitation-Oriented Marketing Strategies and Sales Growth in Emerging Markets

Listed author(s):
  • Omar Vila
  • Sundar Bharadwaj

    ()

  • S. Bahadir
Registered author(s):

    Extant marketing literature recognizes unique and varied aspects of marketing in emerging markets (EMs), and in this study, we also argue that significant market-structure changes within many EMs are creating new challenges and opportunities for managers. In particular, we propose that managers must simultaneously implement exploitation and exploration strategies to confront a high degree of dynamism in EMs reflected via changes in retail structures, competitive intensities, and category characteristics. The results from a panel dataset of 15 EMs across Africa, Asia, Europe, and South America find evidence for the critical nature of exploitation strategies aimed at expanding the affordability and availability of existing products. We also find support for the importance of exploration strategies, in the form of innovative product portfolio, as a way to mitigate the effects of changes in market conditions. The results indicate that marketing managers must emphasize ambidextrous marketing strategy in EMs instead of viewing EMs strictly as sources of horizontal growth for established products in developed markets. Copyright Springer Science+Business Media New York 2015

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: http://hdl.handle.net/10.1007/s40547-015-0053-0
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Article provided by Springer & Institute for Sustainable Innovation and Growth (iSIG) in its journal Customer Needs and Solutions.

    Volume (Year): 2 (2015)
    Issue (Month): 4 (December)
    Pages: 277-289

    as
    in new window

    Handle: RePEc:spr:custns:v:2:y:2015:i:4:p:277-289
    DOI: 10.1007/s40547-015-0053-0
    Contact details of provider: Web page: http://www.springer.com

    Web page: http://www.planetding.org/service/isig.php

    Order Information: Web: http://www.springer.com/economics/journal/40547

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

    as
    in new window


    1. Sanjay K. Dhar & Stephen J. Hoch, 1997. "Why Store Brand Penetration Varies by Retailer," Marketing Science, INFORMS, vol. 16(3), pages 208-227.
    2. Tülin Erdem & Michael P. Keane & Baohong Sun, 2008. "A Dynamic Model of Brand Choice When Price and Advertising Signal Product Quality," Marketing Science, INFORMS, vol. 27(6), pages 1111-1125, 11-12.
    3. Jean-Pierre Dubé & Günter J. Hitsch & Peter E. Rossi & Maria Ana Vitorino, 2008. "Category Pricing with State-Dependent Utility," Marketing Science, INFORMS, vol. 27(3), pages 417-429, 05-06.
    4. Mike Wright & Robert E. Hoskisson & Mike W. Peng, 2005. "Strategy Research in Emerging Economies: Challenging the Conventional Wisdom," Journal of Management Studies, Wiley Blackwell, vol. 42(1), pages 1-33, January.
    5. John U. Farley & Donald R. Lehmann, 1994. "Cross-National "Laws" and Differences in Market Response," Management Science, INFORMS, vol. 40(1), pages 111-122, January.
    6. Jan-Benedict E M Steenkamp & Rajeev Batra & Dana L Alden, 2003. "How perceived brand globalness creates brand value," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 34(1), pages 53-65, January.
    7. Paul R. Messinger & Chakravarthi Narasimhan, 1995. "Has Power Shifted in the Grocery Channel?," Marketing Science, INFORMS, vol. 14(2), pages 189-223.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:spr:custns:v:2:y:2015:i:4:p:277-289. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Sonal Shukla)

    or (Rebekah McClure)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.