What are Bottom of the Pyramid markets and how does a company need to adjust its products and services in these countries?

Bottom of the pyramid model refers to one of the modes of buisness used by corporations that serve in an underdeveloped country.

They aim to remove poverty as well as get adequate profits for their own buisnesses in these markets.'

The companies face a chalenge of having to change customer preferences .

Customers would want to buy products that cost less than their market value, it may lead to loss for the firm.

The company needs to do the following.

1. It needs to restructure and redesign its product-

The same products that are offered to the western world may not necessarily apply here. The company needs to research what needs to be changed and hence provide products that are specially for them.

2. Need to extend their way of distribution,

The company may not be accesible to all, hence they need to partner with small local firms to sell their product.

3. Need to establish a place in the market.

The larger firms have an advantage of economies of scale. Hence they need to expand such that they conquer the competitors market.

4. They shoud search for a new market.

There may be sections of the society that are not yet touched. Hence they should search for this and expand their company.