MANAGING in the

NEW WORLD

In a number of developing economies, last mile connectivity becomes a major challenge. To even import simple goods into rural areas in Asian countries, levels of sales margins need to be added up to the final price which customers pay. Thus e-commerce can solve several existing problems and players have emerged to bridge this gap. There is Kudo in Indonesia that has forged a business innovation by leveraging a traditional Asian model which is the mom-and-pop store. These stores known as warung in Indonesia, sari-sari in the Philippines or kiranain India connect brands with final consumers and have built up sense of trust in the local areas where they operate. Kudo has developed a tablet with already installed software that helps keep track of inventory. Each time there is requirement for certain products, the shopkeepers use the tablet to place the order and get paid in cash thus averting the need to keep large piles of inventory. Similar to kudo, there is iPay in India and Sari in the Philippines. These models are connecting brands with the final customers in places where there is limited or no internet connectivity.

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