Good Practices in Marketing for Micro and Small Enterprise Products: Cases from Latin-America

By Lene Hojmark Mikkelsen (12/99, En, Es)

Documents Good Practices in Marketing-Lene Mikkelsen (PDF, 89 Kb, En)

It has been established that access to profitable markets is a key factor which determines the long-term success for all businesses. For small and microenterprises, however, various constraints limit this access, such as inadequate technology, geographic isolation, lack of raw materials and inefficient production. By providing ways to overcome these constraints, marketing service providers play an essential role in developing the businesses of small and micro producers. Marketing service providers are specialized intermediaries that facilitate access to profitable markets, whether through direct sales or via brokering or sub-contracting. In addition these intermediaries offer a variety of ancillary services, and although the demand for these services may vary depending on the targeted sector and market, this study will show that ancillary services often prove just as essential as market access.

Based on three case studies of marketing service providers dealing with handicrafts, non-traditional agricultural products, and household goods, this study will focus on the possibility for short and long-term sustainability of marketing services. The study will discuss the impact ancillary services have on the ability for partial or full cost-recovery and for institutional sustainability, and the business strategies adopted by each marketing service provider.

The study will further draw from a survey that was distributed to more than 500 marketing service providers in Latin America and the Caribbean. The survey results are presented in annex I, and will offer a picture of the current market for marketing services, types of services, and the manner in which they are provided

Last updated: 06/13/07