With the expanding global middle class and large foreign investments, the emerging markets have experienced a lot of growth. 65% of manufacturing and industrial companies expect that by 2017 the emerging markets will be responsible for over 30% of global revenues. Infosys explains the market model, challenges for growth, and recipe for profitable growth in the emerging markets in the infographic below.
In the emerging markets, the distribution model looks quite different from that of the developed markets, leaving companies to rely on multiple independent distributors to reach their customers. This presents the following challenges: lack of visibility across the demand chain, poor sales execution, and the inability to reach customers quickly. To turn these challenges into profitable growth in the emerging markets, it’s crucial for brands to maximize market visibility across the demand chain, expand customer reach by getting distributors and retailers on board, and reduce costs as much as possible to intensify sales force performance.
[Originally Published on Infosys]