Reflection on Impact of Emerging Markets on Marketing: Rethinking Existing Perspectives and Practices

1858 WordsFeb 2, 20138 Pages
The world of business has changed in recent years. Usually, the firms of developed countries dominated the globe and developed countries’ markets were the most attractive. However, new attractive markets and new players have emerged from areas outside the developed world. These new markets such as the BRICs and the MISTs have large populations, high economic growth and increasing demands for goods. Also, they are expected to surpass the developed economies by 2050 (Goldman Sachs, 2003). According to Jagdish N. Sheth, the emerging markets have impacted both the theory and the practice of marketing. The reason is very simple; marketing is a discipline that was developed in the concept of industrialized (developed) markets meaning that most…show more content…
In the financial services part, Coppel offers credit to buy goods in the store and cash loans up 1,000 EUR (loyal customers who have been Coppel’s clients for more than a year). Coppel is not as strict as many of the different financial institutions in Mexico which would never lend a single peso to any of Coppel’s customers. In other words, Coppel has a marketing policy of inclusive growth which means including in their policies those markets that marketers would have left out. In addition, Coppel extends its marketing to its stakeholders such as the community, employees, channel partners and suppliers. For the employees and their children, Coppel offers to pay half of their school tuition up to the master degree level as well as provide school supplies for them. Also, Coppel encourages its employees to get married by giving employees up to two months’ salary as a wedding present. Marriage is seen as a very important tradition in a conservative country such as Mexico. As a result, Coppel does improve the life of its customers as well as their stakeholders. It focuses on creating a lasting value to position itself as a company that offers more than just quality products and services. For this reason, Coppel has better financial performance than its competitors. Resource improvisation. “If necessity is the mother of invention, then resource shortage is the father of innovation” (Sheth 2011). For that reason, firms operating in emerging markets gain advantage by

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