Market shaping triad: how BOP producer firms manage market shaping in resource-constrained environments

Abstract

This qualitative article explores market shaping by base-of-pyramid producers (BoPP) firms in resource-constrained environments based on in-depth interviews at four BoPP organizations in India. The findings reveal a novel “market shaping triad” framework consisting of interconnected activities, resources, and capabilities that BoPP firms leverage to shape their markets. Through six propositions, we demonstrate that transaction transparency enhances trustworthiness, power restructuring influences market dynamics, network effects increase market influence, nurturing local ecosystems facilitates market redevelopment, resource reconfigurations enable market norms alterations, and adaptive capabilities help BoPP firms to shape their markets. The study has several implications for BoPP organizations, and policymakers.

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