Consumer Behaviour in BOP Markets Differs Greatly to Developed Markets

Question

Examlex · Accepted Answer

The Answer is The basic concern for consumers in emerging markets is to satisfy physiological needs in the best way possible. This may not just be a matter of price as is often assumed, but concern for fairness, product quality and right price were important influencers for these consumers. Social networks at the BOP form the basis of how people relate to each other and how they relate to the environment outside their communities. Trust and the creation and retention of long-term relationships are part of the social fabric of communities in BOP markets. The concept of an extended family made up of the nuclear family plus other relatives is likely to be dominant. A firm that distributes clothing needs to understand how the social networks' preference for a brand is influenced by opinion leaders and community leaders advising about new products. A firm can mimic how Unilever used social networks to penetrate BOP markets by using women's self-help groups to sell and distribute the company's products and to emphasise values in its appeal.

Consumer Behaviour in BOP Markets Differs Greatly to Developed Markets

Definitions: