Emerging Markets During Crisis: Business Strategy in Times of Uncertainty

This white paper supports companies operating in emerging markets during economic uncertainty. From convenient and indulgent purchases to transparency, nostalgia and status, this document explores key trends to watch that offer organizations growth opportunities.

In times of economic crisis, consumers buy products or experiences to disrupt the present and pretend they are in another context than the one causing hardships. Status triggers a set of emotions, such as pride and satisfaction, and consumers frequently buy objects to reflect these emotions and communicate them to their peers. When consumers face economic uncertainty they want to keep small pleasures despite their economic situation demanding prudence in spending. In 2009, during the subprime crisis, full service restaurant sales grew 9.2 percent in Peru, a much faster rate than in previous years while the country´s GDP grew by only 1.0 percent.