Market access for developing economies: Branding in Africa

2006 ◽  
Vol 2 (2) ◽  
pp. 108-117 ◽  
Author(s):  
Temi Abimbola
Keyword(s):  
Market Access ◽  
Developing Economies

Informal sellers and formal markets: a habitus gap

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Jaqueline Pels ◽  
Luis Araujo ◽  
Tomas Andres Kidd
Keyword(s):  
Informal Economy ◽  
Social Innovation ◽  
Market Access ◽  
Developing Economies ◽  
Theory Development ◽  
Market Transition ◽  
Future Research ◽  
Informal Markets ◽  
Content Type ◽  
Market Transitions

Purpose In developing economies, 30% of the gross domestic product on average is undertaken by unregistered businesses. The informal economy leads to high opportunity costs by preventing gains from trade with strangers. To overcome this obstacle, sellers who usually operate in the informal economy should strive to move to formal markets. Current theories are drawn from a view of markets as institutions governed by formal and informal rules. In a nutshell, informal-formal market transitions must be met with a regulative solution. However, the overall results have been disappointing. This failure invites a re-diagnosis of the problem that informal sellers face to act in formal markets and suggesting novel solutions. This paper aims to address this gap. Design/methodology/approach This is a conceptual paper. The authors adopt MacInnis’s (2011) framework to characterize the approach to theory development. Findings The authors argue that extant views of formal/informal markets differences address only one of Scott’s (2014) three pillars (regulative, normative and cultural-cognitive). By drawing on Bourdieu’s legacy, the authors propose a cultural-cognitive reading of institutions and suggest it offers a lens to understand the problem as an access challenge, and thus a marketing problem. This perspective allows us to conceptualize informal/formal markets as two distinct institutional fields and argues that all individuals inhabit a particular habitus and contend that moving between markets requires a habitus shift. Thus, acting in formal markets involves bridging a habitus gap. Finally, the authors argue the need for a market-facing intermediary that takes on a market habitus bridging role. Research limitations/implications The authors suggest future research efforts could benefit from this new conceptual lens as a means of re-diagnosing other forms of market access that have produced disappointing results. Practical implications By looking at differences between formal and informal markets as a habitus gap, the allocation of public funds to support transitions can be better targeted and spent. Social implications The concept of market-facing intermediaries suggests that the beneficiary (e.g. informal seller) and target populations can be different. This insight could catalyze social innovation and trigger novel perspectives to design systemic solutions. Originality/value Conceptualizing the formal-informal market transition as a habitus gap suggests new directions to resolve access challenges and a new mediator solution.

scholarly journals The Economics of Speed: The Electrification of the Streetcar System and the Decline of Mom-and-Pop Stores in Boston, 1885–1905

2021 ◽  
Vol 13 (4) ◽  
pp. 285-324
Author(s):  
Wei You
Keyword(s):  
Nineteenth Century ◽  
Market Segmentation ◽  
Small Firms ◽  
Natural Experiment ◽  
Market Access ◽  
Developing Economies ◽  
Sharp Decline ◽  
Food Retail ◽  
American Economy

Small firms dominated the American economy in the nineteenth century, and they still dominate in many developing economies today. This paper tests whether geographic market segmentation due to underdeveloped intracity transportation technology precludes the emergence of large retail/wholesale stores. I exploit the natural experiment of Boston’s rapid electrification from its previous horse-drawn streetcar system, which occurred between 1889 and 1896. Analyzing newly digitized data, I find that rail-connected locations experienced a sharp decline in the share of sole proprietorships among food retail/wholesale establishments after the electrification relative to off-rail locations. Changes in market access due to streetcar electrification can explain this effect. (JEL L25, L81, L92, N71, N91, R41)

Local industry technological capability development using outsourcing opportunities

2016 ◽  
Vol 9 (3) ◽  
pp. 287-302
Author(s):  
Ameha Mulugeta Gewe ◽  
Birhanu Beshah Abebe ◽  
Daniel Kitaw Azene ◽  
Fitsum Getachew Bayu
Keyword(s):  
Low Income ◽  
New Technologies ◽  
Market Access ◽  
Developing Economies ◽  
Small And Medium Enterprises ◽  
Machine Building ◽  
Technological Capability ◽  
Parent Company ◽  
Research Approach ◽  
Content Type

Purpose Technological outsourcing requires possessing the technological capability level by enterprises taking the outsourced activity and further mandates build-up capabilities. Small and medium enterprises (SMEs) in developing nations such as Ethiopia are usually equipped with low level of technological capability and could benefit from government-supported or government-initiated outsourcing networks. The current study aims to preliminarily assess performance of outsourcing initiative taken by the Hibret Manufacturing and Machine Building Industry, a subsidiary of a national corporation, in developing technological capability of SMEs in Ethiopia. Design/methodology/approach The study used a qualitative research approach through interviews with the parent company officials and owners of SMEs and site visit to these SMEs. Findings are organized in a way to draw lessons to be learned from technological outsourcing examined. Findings Technological learning, acquisition of new technologies, market access and process innovation are few capabilities achieved by the involved SMEs. To facilitate and harness these opportunities and further assist in policy ratification, a conceptual framework has been presented and elaborated. Research limitations/implications Further investigation into outsourcing procedure and biases are expected to shed further light onto the outsourcing initiative by the parent company. This study drew results from investigation of the SMEs involved. Additional investigation of other SMEs is expected to reveal additional insights. Originality/value There is a dearth of literature focusing on exploration of technological outsourcing in low-income developing countries, such as Ethiopia, to build SMEs’ technological capabilities. This research presents insightful contribution to strategic outsourcing to build local technological capability in developing economies.

Emerging Trade-Related Threats to Food Security

2020 ◽  
pp. 319-336
Author(s):  
Vasilii Erokhin
Keyword(s):  
Food Security ◽  
Trade Liberalization ◽  
Agricultural Sector ◽  
Market Access ◽  
Developing Economies ◽  
Agricultural Trade ◽  
Vital Role ◽  
Food Prices ◽  
Agricultural Products ◽  
China Trade

It is generally believed that free trade plays a vital role in stabilizing food supplies and food prices since abundant foods stocks in some countries coexist with shortages in some others. Contemporary global trade system, however, is becoming increasingly distorted by unfair and inefficient policies in many countries, creating both winners and losers among not only small developing economies, but also largest producers of food and agricultural products. One of the recent examples of such distortion is US-China trade tensions and potential tariff escalations where the agricultural sector is the most vulnerable. By raising import tariffs on food and agricultural products in response to protectionist policies, the countries may face a situation of rising prices for consumers, limited market access for producers, and increasing pressures on food security. In this chapter, the author develops the theme of the effects of globalized agricultural trade on food security with a critical focus on the importance of balancing trade liberalization and protectionism.

scholarly journals Do Financial Markets Value Quality of Fiscal Governance?

2019 ◽  
Vol 19 (218) ◽  
Author(s):  
Kady Keita ◽  
Gene Leon ◽  
Frederico Lima
Keyword(s):  
Financial Management ◽  
Management Practices ◽  
Credit Rating ◽  
Market Access ◽  
Developing Economies ◽  
Debt Management ◽  
External Finance ◽  
Sovereign Bonds ◽  
Public Financial Management

We examine the link between the quality of fiscal governance and access to market-based external finance. Stronger fiscal governance is associated with improvements in several indicators of market access, including a higher likelihood of issuing sovereign bonds and having a sovereign credit rating, receiving stronger ratings, and obtaining lower spreads. Using the more granular information on quality of fiscal governance from Public Expenditure and Financial Accountability (PEFA) assessments for 89 emerging and developing economies, we find that similar indicators of market access are correlated with sound public financial management practices, especially those that improve budget transparency and reporting, debt management, and fiscal strategy.

Strategic Complexity of Impactful Innovation in Automotive Component Manufacturing in an Emerging Economy

2018 ◽  
Vol 15 (05) ◽  
pp. 1850047
Author(s):  
P. Alexander van den Blink ◽  
Jasper L. Steyn
Keyword(s):  
Market Access ◽  
Developing Economies ◽  
Innovation Strategy ◽  
Equation Modeling ◽  
Innovation Activity ◽  
Data Set ◽  
Automotive Component ◽  
Strategic Complexity ◽  
Component Manufacturing ◽  
The Impact

This research was directed at the impact of innovation strategy complexity on the breadth of innovation strategy objectives achievement. The context is automotive component manufacturing in developing economies. Given the risk associated with innovation activity, the question is whether firms can improve their success by adopting a complex market access strategy. The methodology was survey based, utilizing data on the innovation activities of some 530 automotive component manufacturing firms obtained by a questionnaire applied in the Pune region in India, Beijing region in China and in South Africa. Path analysis by structural equation modeling was applied to analyze the data for the hypothesized relationships. It was found that strategic complexity in the larger combined country data set is positively and significantly related to a greater breadth of impact of innovation in terms of the market access strategies implemented. It was also observed that diversity of technology and knowledge sources, and innovation types, play a fundamental role in this relationship. The results for individual countries are different from those of all countries combined and yielded varying conclusions. The SA data set was unfortunately too small to meet the requirements for reliable results on its own, but served to support understanding of the influence of its different environment. The findings support the proposition that a diverse innovation strategy should be developed and executed in a business strategy directed at innovation.

When oilfield service companies enter developing economies: a new model for efficiency

2020 ◽  
Vol 41 (5) ◽  
pp. 57-66
Author(s):  
Vladimir Leonidovich Ulanov ◽  
Kirill Simonov
Keyword(s):  
Service Industry ◽  
Market Access ◽  
Developing Economies ◽  
Operational Model ◽  
Russian Market ◽  
Content Type ◽  
Service Companies ◽  
Operational Risks ◽  
Developing Markets ◽  
Operational Models

Purpose The purpose of this paper is to identify the most effective operational model for oilfield service companies in developing markets (e.g. Russian market). It proposes the comparative analysis of oilfield service industry regulation in several developed and developing markets, specifies industry and interaction between energy and service companies and advises the effective operation model applicable to the Russian market. Design/methodology/approach This paper’s methodology is based on collecting information and generalizing the experience of international oilfield service companies in developed and developing markets, thus identifying types of service company’s operational models and factors that determine the choice of strategy and operational model in different countries and markets, as well as identifying the most effective model for the developing market (e.g. Russian market). Findings The paper provides the case study for operational models implementation and calculation of their financial effect. It suggests that the integrated operational model is the most effective solution in developing markets in the case of operational risks and financial effect. Research limitations/implications Because of the great number of segments, types of works and projects in international oilfield service industry, only the drilling segment was chosen as the analysis object. This segment is the key segment in oilfield sector with 35% global share of total oilfield works. Originality/value This paper fulfils an identified need to study how oilfield service companies are able to increase profitability and decrease market access barriers using correct operational models that reflect different market specifics.

Is inflation targeting useful for economic growth?

2017 ◽  
pp. 62-74 ◽  
Author(s):  
P. Kartaev
Keyword(s):  
Economic Growth ◽  
Monetary Policy ◽  
Test Performance ◽  
Inflation Targeting ◽  
Developing Economies ◽  
Empirical Studies ◽  
Growth Regime ◽  
Potential Channels

The paper presents an overview of studies of the effects of inflation targeting on long-term economic growth. We analyze the potential channels of influence, as well as modern empirical studies that test performance of these channels. We compare the effects of different variants of inflation targeting (strict and mixed). Based on the analysis recommendations on the choice of optimal (in terms of stimulating long-term growth) regime of monetary policy in developed and developing economies are formulated.

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