It's not really "third world" IMO, income is far less, but cultural development is not so far behind.
Some important differences for a startup (these only apply to Uruguay and to a lesser extent Argentina and Paraguay):
- a lot of people don't have a credit card, and those who do won't use it for online transactions (there's a market for intermediation services, and several already thrive).
as a corollary, selling anything via subscription is a no-go.
e-commerce is basically Groupon and its clones, and the ebay-owned MercadoLibre.
- everyone recognizes the need for internet access, cell phones, etc... Cell phones are status symbols - almost nobody can afford an iPhone, but many spend way beyond their means to acquire the best cell phone they can buy.
- there's a high demand for US made content, games, etc.., and basically no legal or economical way to acquire them, so piracy is rampant.
- import goods are extremely heavily taxed (and in Argentina, outright banned), so there's a high incentive for smuggling.
It's not really "third world" IMO, income is far less, but cultural development is not so far behind.
Some important differences for a startup (these only apply to Uruguay and to a lesser extent Argentina and Paraguay):
- a lot of people don't have a credit card, and those who do won't use it for online transactions (there's a market for intermediation services, and several already thrive).
as a corollary, selling anything via subscription is a no-go.
e-commerce is basically Groupon and its clones, and the ebay-owned MercadoLibre.
- everyone recognizes the need for internet access, cell phones, etc... Cell phones are status symbols - almost nobody can afford an iPhone, but many spend way beyond their means to acquire the best cell phone they can buy.
- there's a high demand for US made content, games, etc.., and basically no legal or economical way to acquire them, so piracy is rampant.
- import goods are extremely heavily taxed (and in Argentina, outright banned), so there's a high incentive for smuggling.