Global versus Localized Positioning Strategies in Base of the Pyramid Markets: The Roles of Admiration and Animosity

Abstract

This article explores two contrasting psychological constructs unique to base of the pyramid consumers (admiration for economically developed countries and animosity toward developed countries), and how MNEs could use insight on these two constructs effectively when faced with the decision to elect either global or local brand positioning strategies. A three-step model is proposed for MNEs faced with such tasks. This article not only advances the importance of understanding the complexities of base of the pyramid consumers, dispelling the notion that such consumer groups are a monolith, but also provides guidance for expansion into such markets.