How should companies and investors measure success in emerging markets?

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Expert Solution

It is not possible to understand clearly the success rate of the emergent market which is not a problem for the developed market. There are some ways by which big companies and investors can measure the success rate in the emergent market. Some measures are :

The infrastructure which has been set up by the market controllers.
The knowledge which can be gained about the market and its different factors.
The ways by which the customers are getting influenced.

As emergent markets lack proper infrastructure, so big companies need to establish an infrastructure from scratch. It needs a lot of planning and research as not every country responds in the same way. Establishing proper infrastructure can be very beneficial as this initial investment can be an advantage when the market develops.

Another way to measure success is by understanding the amount of knowledge a firm has gained about the market. A company needs to have insight regarding the operational model which can give success.

Lastly, success can be measured byways to get the customers influenced. Emerging markets have the capability and potential of becoming a huge market after development.

Hope this helps :)

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keosha answered 1 year ago

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