An investigation into how individual and organisational consumption is affected when dealing with SME organisations from emerging economies

Abstract

Purpose

The present study seeks to investigate how individual and organisational consumption is affected when dealing with small and medium‐sized enterprise (SME) organisations from emerging economies.

Design/methodology/approach

Using ethnographic in‐depth interviews, data were collected from 20 Indian UK‐based “buyers” who have either previously bought or are currently buying from organisations based in India. Investigates the perceptions surrounding challenges and/or benefits held by these 20 SMEs. Identified areas such as inter‐cultural blending, community support, country‐of‐origin effects, generational shifts and finally, attitudes towards quality, price, consistency, and branding.

Findings

Findings indicate that the respondents did not vary at all on their collective perceptions about buying from emerging economies, specifically, India. The over‐riding issue that was highlighted many times over was one of “trust in the relationship” between buyer and seller. Findings also suggest the need to take a holistic view on the whole arena of “marketing paradigms for emerging economies”. Despite a climate of increased globalization, an intensification of international contact of businesses, increased travel of executives, and an enlarged overseas education by Indians, there still seems to be a vast gap between the perceptions that are held by India‐based executives and their UK counterparts (high cultural distance).

Research limitations/implications

Conclusions outline information that may potentially be useful to Indian suppliers for use as a reference guideline when entering relationships with UK‐based customers, of either a similar or indeed dissimilar cultural background.

Originality/value

Adds to existing knowledge of how individual and organisational consumption is affected when dealing with SME organisations from emerging economies.

Citation

Sethna, Z. (2006), "An investigation into how individual and organisational consumption is affected when dealing with SME organisations from emerging economies", Asia Pacific Journal of Marketing and Logistics, Vol. 18 No. 4, pp. 266-282. https://doi.org/10.1108/13555850610703245