As the crisis of 2008 continues to effect the growth of developed countries like USA, European Union and Japan, it seems like the key to boost business all over the world is knowing how to approach emerging markets.
However, this step requires a special strategy. Since there are clearly differences between developed and developing economies, one must take into consideration these facts when deciding to formulate a strategy. One frequently mentioned advice is not to approach emerging markets alone. Local partnership is recommended because the national partner has the know-how of the market, key-suppliers, regulatory environment, etc.
Another advice concerns to pricing. Local firms are used to lower labor cost so the final price is low. Pricing the product properly is essential to successful sales in these kinds of markets.
“ (…)it's imperative for device firms to recognize that cheaper does not mean lower quality.”
By Arundhati Parmar, Senior Editor, MD+DI