If you want to identify the most promising opportunities for firms from developing markets, put yourself in their shoes and ask, "How can I bring my product or service to my chosen market in the most cost effective, potentially profitable way?" Consider that in light of your concern with market...
If you want to identify the most promising opportunities for firms from developing markets, put yourself in their shoes and ask, "How can I bring my product or service to my chosen market in the most cost effective, potentially profitable way?" Consider that in light of your concern with market dynamism and your focus on value chains, and you could answer, "By disrupting the market with a low-cost innovation or by adding value to existing products and services."
Developing markets are, by their nature, under-resourced when compared to developed ones. This means the firms originating there will on average have stricter financial constraints and higher-risk supply chains, even if they are world-beaters or very large. Those are disadvantages of market dynamism, because they slow down the firm's whole business model. But they don't have to suffer a disadvantage of human capital. That means they can take advantage of their market conditions by doing things established firms can't or won't do. That's their opportunity arising from dynamism. If a firm can leverage the constraints and the opportunities consistently, they can break into global markets and, in a sense, leave their developing market behind. The assumption here is that you're interested in firms which haven't done that yet, which have to work with the market they're given instead of making new ones beyond the scope of their home country.
Your study of value chains should start there. The "when, where and why" will come from an analysis of the costs and benefits of a particular market. That will point you to a set of decisions involving the firm's product or service, the target market, profitable price points, and entry and scale strategies. An excellent book about this problem, containing cases of big and small companies trying to survive in developing markets, is C.K. Prahalad's book, The Fortune at the Bottom of the Pyramid. See the article about it in the link below.