Attribute ratings often contain a holistic or global impression of the brand, commonly referred to as “halo.” A halo response can occur when perceptions of a brand's performance on an attribute are influenced by performance perceptions on another attribute or by a global impression of the brand. Using cross-national survey data from consumers in Argentina, China, Spain, and the United States, the authors examine the extent to which a halo response introduces bias to product quality and corporate social responsibility perceptions of competing brands. The findings show that halo is more pervasive for product quality than for corporate social responsibility associations, varies across brands and markets, and is strongly related to brand recommendations. Examining cross-national brand performance and halo perceptions can help international marketing managers understand key perceptual similarities and differences between and across markets, which can inform strategic considerations such as whether to ...

Global Product Quality and Corporate Social Responsibility Perceptions: A Cross-National Study of Halo Effects

As emerging markets gain significance in the global economy, understanding the middle-class customers within these dynamic economies becomes even more critical for international marketers. This article contributes to the limited but growing literature on this topic. International marketing scholars and practitioners should be better informed about this megatrend. What does the “middle class” really mean? What are the theoretical underpinnings for the middle-class phenomenon? What are the implications for international marketing? To address these pressing questions, the authors explore the middle-class phenomenon in emerging markets. Through an examination of conceptual underpinnings and empirical observations, they present a conceptualization and several theoretical propositions. Finally, they provide managerial and scholarly implications of the middle-class phenomenon and offer suggestions for further research.

Middle-Class Consumers in Emerging Markets: Conceptualization, Propositions, and Implications for International Marketers

Understanding and Managing International Product Launch: A Comparison between Developed and Emerging Markets

Success Factors of New Product Development for Emerging Markets

Purpose




Western business-to-business firms are under increasing competition from firms in emerging nations. As examples, Mindray in medical devices, LiuGong in earth moving equipment, Tata motors in Buses and Suzlon in Wind turbines are emerging as strong competitors in their industries. Yet despite increased competition from emerging nation firms, insufficient research has examined the growth of these firms, specifically in the areas of technology and innovation development processes. The purpose of this study is to examine how emerging nation business-to-business firms that have global ambitions achieve technology competence.




Design/methodology/approach




The authors examined several case studies on emerging market business-to-business firms that have moved to global markets and highlight the following five: LiuGong China (excavating products), Mindray China (medical equipment), Suzlon Energy India (wind generators), Tata Motors Buses India and BYD Auto China (batteries to electric cars). The firms are in business-to-business markets, except for BYD China that emerged as a business-to-business battery supplier but is currently in both business-to-business and business-to-consumer markets.




Findings




The authors find that firms in emerging markets that have global ambitions follow different approaches to innovation development processes from conventional theories and assumptions held by scholars and practitioners in Western developed countries. Our cases suggest that firms follow the proposed progression: domestic markets – internally developed technology; domestic markets –acquired technology; and finally to, global markets – acquired technology.




Researchlimitations/implications




The authors contribute to research in three areas. First, they suggest that the innovation development process for emerging market firms is different from the Western world. Second, they provide a framework of innovation development process that can be tested in multiple environments. Third, this study suggests a deeper examination of the longitudinal development of business-to-business firms, an area that has received less attention.




Practicalimplications




The authors suggest that firms need to better track their competition from emerging nations because emerging nation firms can quickly acquire technology to become strong competitors.




Originality/value




Extant research has not examined these issues.

Innovation from emerging market firms: what happens when market ambitions meet technology challenges?

Emerging markets in Asia, Latin America and Eastern Europe are delivering some of the strongest revenue and profit growth for global makers of fast-moving consumer goods, despite concerns that lower prices might translate into lower profits. Emerging-market leaders like Coca-Cola, Unilever, Colgate-Palmolive, Groupe Danone and PepsiCo earn 5% to 15% of their total revenues from the three largest emerging markets in Asia ? China, India and Indonesia. The story is similar in Russia and Eastern Europe, where these companies often dominate their target categories and routinely exceed internal corporate benchmarks for profitability. And the trend is likely to continue. The gross domestic product of emerging markets equaled the GDP of advanced nations for the first time in 2006, with much of the growth coming from the ?BRICET? nations ? Brazil, Russia, India, China, Eastern Europe and Turkey.

Until the past few years, emerging markets were a relatively low priority for the leading consumer products companies with few exceptions, even though these markets are home to about 85% of the world?s population. The obstacles are still real ? in emerging markets, multinationals compete on unfamiliar terrain dominated by local players, sell at price points below those in their home countries and wrestle with deep-seated social and cultural customs. But with growth slowing in the mature markets of North America, Japan and Western Europe, some consumer goods companies have figured out how to tap into the purchasing power of a new and growing middle class in these emerging markets.

The authors provide case studies that show six keys to successfully navigating the uncertain economic environments in developing economies: Enter the mass market to achieve scale in distribution, brand building and operations; localize at every level; develop a ?good enough? cost mentality; think globally but hire locally; make sure local acquisitions have a strong business fit; and organize for emerging markets.

Satish Shankar

Papers

How to Win in Emerging Markets