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Their popularity with low-income buyers may not be the only reason single-serve packages sell so well says professor Oded Koenigsberg. Single-serve packages are a hit in India and other poor nations, where shoppers buy sachets of shampoo for just pennies per day. Such purchases are popular because they allow low-income consumers to meet their immediate household and hygiene needs. But because per unit profit margins for single-serve packages are higher than those for larger packages, critics complain that these products impose a poverty penalty.
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