“Emerging markets were once seen primarily as a place for sourcing products, based on a low-cost labor play. That paradigm has changed. Emerging markets are fast becoming engines of demand, a trend that carries tremendous implications for technology sector supply chains.” (1)
‘The greater the unknown, the greater the risk’. It’s a statement that perfectly encapsulates the dynamics of the technology sector in emerging markets. Ever-shortening product lifecycles, the rise of the middle class and increased regionalization place both companies and consumers in flux.
Even as technology companies evaluate growth strategies in these markets, they do so recognizing that they are entering uncharted waters. By combining varying levels of infrastructure and unpredictable demand growth with the pressures of the sector – including expectations for effective service, product innovation, competitive price and personalization – you have the definition of uncertainty.
As a result, capitalizing on growing consumer demand for technology products requires a supply chain designed specifically to meet the inherent challenges of new rapid-growth markets.
This white paper takes a closer look at the current state of the technology sector in emerging markets. It explores supply chain challenges and offers a solution portfolio to address these issues.
(1) Jose Nava, President of DHL Supply Chain Latin America and Technology & Service Logistics, Americas