Emerging Market Trade Strategies: Adaptability Comparison of DDP and COD in Southeast Asia/Middle East Markets

 Emerging Market Trade Strategies: Adaptability Comparison of DDP and COD in Southeast Asia/Middle East Markets

The adaptability of DDP and COD in emerging markets varies by regional characteristics. Southeast Asia has strong consumer demand but weak logistics infrastructure and low clearance efficiency. COD is popular there, aligning with local habits of cash-on-delivery, low mobile payment penetration, and low trust in online shopping. Cross-border e-commerce using COD reduces consumer barriers and enhances market penetration.

In the Middle East, complex trade regulations, changing duty policies, and high buyer service requirements make DDP more advantageous. Sellers using DDP provide end-to-end services including clearance and delivery, addressing buyer import pain points. For example, a Chinese home appliance enterprise entered the Saudi market via DDP, assuming clearance and delivery to rapidly expand. Enterprises should study emerging markets’ trade environments, consumer habits, and policies to select suitable terms and strategies.