Abstract
This study explores the influence of cross-national distance on the
expansion of MNEs into the base of the pyramid (BoP) markets. I argue
that different dimensions of distance have differential impact on BoP
market development. I contend that distance related to the degree
to which countries are connected to the external world has a positive
influence on the overall awareness of the populace in the home country
about the BoP populace, creating conditions supporting MNE efforts
required for BoP market development, but firms develop knowledge gaps
due to different dimensions of administrative distance, impacting their
entry timing. I conduct this study using a unique hand-collected dataset
comprising of the BoP market entry choices made by 214 Fortune 500
Global firms in the period 2000-2014.
expansion of MNEs into the base of the pyramid (BoP) markets. I argue
that different dimensions of distance have differential impact on BoP
market development. I contend that distance related to the degree
to which countries are connected to the external world has a positive
influence on the overall awareness of the populace in the home country
about the BoP populace, creating conditions supporting MNE efforts
required for BoP market development, but firms develop knowledge gaps
due to different dimensions of administrative distance, impacting their
entry timing. I conduct this study using a unique hand-collected dataset
comprising of the BoP market entry choices made by 214 Fortune 500
Global firms in the period 2000-2014.
Original language | English |
---|---|
Title of host publication | SMS Special Conference |
Place of Publication | Hyderabad |
Pages | 39 |
Number of pages | 1 |
Publication status | Published - 2019 |