Apply what you have read in Chapter 8 regarding colonialism and the expansion of capitalism in
modern industrial societies to the article, “Marketers Pursue the Shallow Pocketed.”
Is the information being discussed in this article another example of colonialism? Why or why
negatives direct marketing of the poor has on
people and their economies. What theory of development is most applicable to the expansion of
global markets to poor, low income, and indigenous communities?
ECONOMY AND COLONIALISM
Colonialism is the domination of one society by another, so yes this is a clear example of
a company from a rich society capitalizing on a poor society (Nowak & Laird, 2010). Most
indigenous countries like Brazil were forced to switch to capitalist mode of production in order
to control the economy. This switch was more than likely a collaboration between the
government of Brazil and predatory merchant MNC’s like McCann World Group that targeted
the low-income consumers.
There are obvious negative effects direct marketing has on poor people and their
economy. For example, the homemakers may have found a way to supplement their low income
by making some of the products themselves and selling them or trading them for a fair price. But
by the bigger companies mass producing cheaper products and putting them in visible markets
this would cut their supplemental income. Another negative is the poor quality the product will
now have as a result of the new cheaper price, causing them to have to repurchase the product
multiple times because of its low quality.
However, there is a positive side to direct marketing it treats the low income consumer as
a valued customer giving them a chance to buy similar products as upper class consumers at a
price they can afford. Secondly, the retailer can restock the shelves with brands and products the
low income consumer can identify with. This allows the low income merchant and consumer a
better shopping experience that fits their income bracket.
The theory that explains this at best is the
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