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The case, set in December 2020, narrates the journey of Imbue Natural, a start-up that produces feminine intimate hygiene products. It was a digital-first brand and had made some inroads among middle- and upper-middle-class urban women consumers. The company's founders were contemplating market entry into the lower-income segments in urban and rural areas. However, being a small player, Imbue could not afford the awareness and distribution campaigns required to break into this segment. Therefore, it made sense for it to focus on the urban markets, improve the top line, and generate a surplus. The surplus could subsequently be used to expand its footprint in rural markets. Expanding in both urban and rural market segments was an expensive proposition. It did not have first-hand experience in dealing with rural markets or the urban Base of the Pyramid (BoP) segment. Can the company penetrate the urban BoP segments and, if it proves successful there, replicate these efforts to enter rural India gradually? The dilemma was whether Imbue should focus on one market (and if so, which market) or multiple markets simultaneously?
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