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    RAISINGTHE BASE OFTHE PYRAMID

    THROUGHENTERPRISEInnovative Case Studies of BoPVentures and Initiatives

    UN Photo / Albert Gonzlez Farran

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    THANKS TO

    COOrdiNATed by GlObAl CAd

    MAiN ediTOrS

    Stua t Ha t, F nan o Casa o Ca qu , An a Shpak, P a dasgupta.

    ediTiON ANd reviSiON

    H ath To o o

    GrAPHiC deSiGN

    Ma ta Gua t o So ano

    Pu sh n ba c ona, No m 2013Cop ght 2013 boP G o a N two k. A ghts s .Photog aphs : Th Wo bank Photo Co ct on

    RAISINGTHE BASE OFTHE PYRAMIDTHROUGHENTERPRISEInnovative Case Studies of BoPVentures and Initiatives

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    4 | BoB Global Network 5

    ENHANCING PRODUCT DESIGN1. boP inno at on C nt(Th N th an s):U o a wa dawa t st s st m foqua t of m c n

    12-15

    2. Aa to G o a impact, Aa toUn s t (F n an ):W conom Sta t inno at on p og am

    16-19

    VALUE CHAIN BUSINESS MODELS3. eAFiT (Co om a): Const u

    22-23

    4. Nomu a r s a ch inst tut(Japan) Mass cu t at on of mung

    ans n u a a as an a as ofh gh sa n t

    24-27

    INDEX OFRAISING THE BASEOF THE PYRAMIDTHROUGHENTERPRISE

    EMPLOYMENT GENERATION5. Fun ao G tu o va gas(b az ) - P oj to Co t o

    30-33

    6. iNCAe (Costa r ca):G upo vangua a

    34-37

    7. G o a CAd (Spa n) Pa tn sh p fo nc us

    mp o m nt n Tun s anin ust a A as

    38-41

    1 2 3IMPROVING DISTRIBUTION CHANNELSFOR THE BOP8. r c p oc t (South Af ca):S ku u a Spaza exp ss

    44-47

    9. As an Soc a ent p sincu ato inc (Th Ph pp n s):Hap no bot ka

    48-51

    10. inc us bus n ss Sw n.Th bump roa to th boP:A ss ng th Cha ng s ofd st ut on to th bas of thP am

    52-55

    11. dan sh bOP l a n ng la(d nma k): Mo t so ut onsfo fa m s

    56-59

    4GENERATING ACCESS TO BASIC(ENERGY, HEALTH, HOUSING, IN12. en a (G man ): So a -K osk Gm H

    62-65

    13. Schoo of econom cs an Ma-nag m nt, Ts nghua Un s t(Ch na): Ts nghua So a

    66-69

    14. em g nt inst tut (in a) -A ss ng th G o a low CostHous ng C s s

    70-7315. GibS inc us Ma k ts P o-g amm (South Af ca) - insu-

    anc fo Jua Ka , UAP K n a

    74-77

    16. d la (ita ) - FTP Soc aHous ng b az w thout Fa as

    78-81

    5

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    6 | BoB Global Network 7

    Kenya: U o a wa dawa.boP nc, Th N th an s

    Sri Lanka and India: W conomSta t. Th F nn sh la

    Brazil: P oj to Co t o.Fun ao G tu o va gas, b az

    Colombia: Const u .eAFiT, Co om a

    Bangladesh: yuk gun Ma tak .Nri, Japan

    Honduras: G upo vangua a.iNCAe, Costa r ca

    Tunisia: emp o m nt n n us-t a a as. G o a CAd, Spa n

    South Africa: S ku u a Spaza exp ss.r c p oc t , South Af ca

    INDEX OF CASESTUDY REPORT

    02

    01

    05

    1006

    08

    0412

    14

    09

    13

    15

    0316

    07

    11

    The Philippines : Hap no bot kaUn a , Th Ph pp n s

    Ghana: d st ut on cha ng sinc us bus n ss Sw n

    Mozambique: Mo t so ut onsfo fa m s. dan sh bOP lAb

    Ethiopia an K n a: So a K osken a, G man

    China: Ts nghua So aTs nghua Un s t , Ch na

    Kenya: insu anc fo Jua Ka .GibSbas of P am Hu , South Af ca

    India: Wo Hausem g nt inst tut , in a

    Brazil: W thout Fa asd la , ita

    01

    02

    03

    04

    05

    06

    07

    08

    09

    10

    11

    12

    13

    14

    15

    16

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    INTRODUCTION

    Th has n much p og ss n p omot ng bas of th P am (boP) us n ssan a g ow ng num of ntu s an n t at s ha com fo wa that ct th

    ff nt phas s of th us n ss a u cha n. in th past ca , wo k on nc usus n ss opm nt has nc as s gn cant an o gan zat ons wo k ng to a onnno at mo s ang f om mu t nat ona co po at ons, co-op at s, sma an

    m um-s z nt p s s, go nm nts, pu c nst tut ons an nt nat ona o gan -zat ons, an n not-fo -p o t o gan zat ons that us us n ss p nc p so soc a

    us n ss app oach sto ach th m ss on.

    How , n w th th s nc as of p act t on s an p oj cts ng mp m nt , ths st a sho tag of cas stu s ocum nt ng boP p oj cts that ha ha a pos tmpact ach ng nanc a su ts an na ng mo nc us an susta na ma k ts,

    wh a so mpow ng oca commun t s. Thus, th s a n to nt f an ocu-m nt succ ssfu cas s n o to nsp th g ow ng commun t of p act t on s anmak su succ ssfu p oj cts g t p cat an max m z pot nt a mpact.

    Th boP G o a N two k, as a p atfo m of act on fo m a ant commun t ofaca m cs an p act t on s n mo than 18 count s, ngag s n know g c at onan ss m nat on a out c at ng susta na us n ss s at th as of th conom cp am . A k compon nt of th N two ks ma n o j ct s to p omot know gt ansf that nsp s act on an nhanc s mpact. W th th s co m ss on n m n ,w a p as to p s nt th s po t: ra s ng th bas of th P am Th ough ent -p s - inno at Cas Stu s of boP v ntu s an in t at s.

    Th po t sc s a s s of s xt n (16) cas stu s mp m nt th boPG o a N two k l a n ng la s (a so known as inno at on C nt s) f om a oun thwo . Th cas stu s ha n o gan z a oun sp c c a as of focus anact on:

    I - Enhancing Product DesignII - Value Chain Business ModelsIII - Employment GenerationIV - Improving Distribution Channels for the BoP V - Generating Access to Basic Needs (Energy, Health, Housing, Insurance)

    W ook fo wa to ou comm nts an hop th s po t h ps to nsp an p omotchang towa s ach ng th mo susta na an nc us soc t w a want. To-g th , t s poss . eSW an th boP G o a N two k a comm tt to th succ ssof ou co ct s on to mak th wo a tt p ac fo a .

    S nc ,

    Stua t Ha tP s nt, ent p s fo a Susta na WoFoun , Th boP G o a N two k

    EMPLOYMENTGENERATION

    Projeto Coletivo, BrazilFundao Geutlio Vargas (Brazil)

    Grupo Vanguardia, HondurasINCAE (Costa Rica)

    Partnership for inclusive employment inIndustrial Areas, Tunisia (GlobalCAD, Spain)

    PRODUCT DESIGN

    Ubora wa Dawa, Kenya(Bopinc, The Netherlands)

    Weconomy Start, Sri Lanka and India(Aalto Global Impact, Finland)

    ACCESS TO BASIC RIGHTS

    SolarKiosk GmbH, Ethiopia andKenyaEndeva (Germany)

    WorldHaus, India(Emergent Institute, India)

    Tsinghua Solar, ChinaTsinghua University (China)

    Insurance for Jua Kali, KenyaGIBS Inclusive Markets Programme(South Africa)

    VALUE CHAINConstruy , ColombiaEAFIT (Colombia)

    Mass cultivation of mung bean in ruralareas and salinity area, Bangladesh

    Nomura Research Institute (Japan)

    DISTRIBUTION

    Sekulula Spaza Express, South AfricaReciprocity (South Africa)

    Hapinoy Botika, The PhilippinesAsian Social Enterprise Incubator Inc (ThePhilippines)

    The Bumpy Road to the BoP, GhanaInclusive Business Sweden (Sweden)

    Mobility solutions for farmers, MozambiqueDanish BOP Learning Lab (Denmark)

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    0IENHANCING PRODProcess of creating a new product or adapting acurrent product for customers in low-incomecommunities. This process relies upon the efcientand effective generation and development of newideas that lead to new products considering theneeds and contributions of low-income communitiesin a co-creative and innovative way.

    Kenya: Ubora wa DawaBoP Innovation Center (The Netherlands)

    Sri Lanka and India: Weconomy StartAalto Global Impact, Aalto University(Finland)

    P h o t o : R a y W i t l i n / W o r l d B a n k

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    UBORA WA DAWA.TEST SYSTEM FOR QUALITYOF MEDICINEBOP INNOVATION CENTER,THE NETHERLANDS.

    Country | region of implementationKenya. Africa Year of implementation2011 2013

    Partners engagedDSM, EPN, ICCO Cooperation, BoPInc,Dutch Ministry of Foreign Affairs

    OBJECTIVESdSM, ePN an iCCO Coop at on, a dutch - K n an conso t um ca U o a wadawa (qua t of m c n n Swah ) n t at th opm nt of an nno atm ca t st k t to mp o th qua t of m c n fo th Af can ma k t. Th p o-pos t on was a comm c a t st s st m to t ct ow s of act pha mac ut ca

    ng nts (APis) n ant ot c an ant ma a a m c n s. Th a u p opos t on waa a , s mp to us , fa p c an us ng sma -s z qu pm nt. Th ta g tg oup wou oca staff n th h a th s cto : ugsto s, pha mac s, an h a thc nt s. Th nt n mpact was to assu thos n th t st ma k t that th a

    c ng ff ct m c n an to fost nc as t ust n th oca h a th s st m.

    DESCRIPTION

    dSM (www. sm.com) s a dutch mu t nat ona compan that p o uc s ant ot cs foa bus n ss-to-bus n ss (b2b) ma k t. Th a so ha a succ ssfu ongstan ng p o-uct, th d ot st. Fam s us th d ot st to ch ck th ant ot c s n m k,

    as th p s nc of ant ot cs s t m nta to pu c h a th an th a us n ss.Th ough a pa tn sh p w th iCCO Coop at on, a dutch nt nat ona opm ntag nc (www. cco- nt nat ona .com), an ts South n pa tn , th ecum n caPha mac ut ca N two k (www. pn two k.o g) o ePN, dSM nt th scop to

    op a t st s st m to ch ck th APi n human m c n s. Th s wou ason th a aptat on of d ot st t chno og .

    Th pu pos fo th t st s st m s th h gh s of su stan a m c n n th ma k tn op ng count s. A though acc ss to saf m c n s mpo tant to human

    ng, ow- ncom g oups a most u n a to th sks of consum ng poo qua t p o-ucts. A t ona , th us of su stan a ugs nc as s act a s stanc to ant o-

    t cs, j opa z ng th pha mac ut ca s cto wo w .

    b th n of 2010, th c c-p at pa tn sh p among dSM, iCCO, an ePN csuppo t f om th boP inno at on C nt an th dutch M n st of Fo gn Affa s fofu th t chn ca opm nt, xp o ng th ma k t pot nt a an n t at ng th ma k t

    aunch n K n a an a s con Af can count . Th cha ng was to op a n w p o-uct, fo a n w ma k t, th ough a n w us n ss mo .

    in a 2013, th conso t um c to phas out an fu th opm nt of th t st s s-t m. Th s was ma n u to a com nat on of two facto s: th na t to p o uc a p o-tot p n acco anc w th th a u p opos t on an th conc us on that th cu nt h a than pha mac ut ca cos st m was not suppo t of a pu ma k t- as p o uct.

    LESSONS LEARNEDA aptat on of th n w app cat on of th d ot st t chno og took p ac n th N -th an s. Th p oof of p nc p was a -t st n K n a w th oca m ca s a chan m ca supp ag nc s to t m n wh th th p oof of conc pt, wh ch was

    op un h gh-t ch con t ons, wou stan th a t t st n K n a. Fo ow ngtwo oun s of t st ng, t st- o unt s foun th Uwd p nc p at s mp . On

    sson a n th ough th t st ng p oc ss was that th p oj ct cou ha n ttf om oca xp t s much a . ins ghts on a ag sk an qu pm nt uson th oca , wh ch a ss nt a fo th s gn of th p oc u to fo ow, canth n tak n nto account n th a stag s of p o uct opm nt. Th conso - P

    h o t o : A r n e H o e l / W o r l d B a n k

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    t um cou not so a mma, wh ch app a nh nt to th p nc p : ach ngs mp c t wou mp mo qu pm nt an ss qu pm nt wou m an mo com-p x t . Th s mp a su tcas ath than a sma ox an two a s of t a n ng nst aof a s mp s st m. As such, th pa am t s of th a u p opos t on cou not m t.

    F om th g nn ng, th conso t um was awa that th Uwd t st s st m as an n t asc n ng c shou pa t of an nat ona qua t s st m on m c n s. inc n-t s to actua ch ck m c n s an a p op f a s st m a qu . in thcont xt of op ng count s, such s st ms, nc u ng a ca s st m (pha maco-

    g nc stat ag nc s), a at w ak. it was ant c pat that an nno atp o uct k th Uwd t st s st m cou off an nc nt fo comm tt acto s n thh a th s cto , an as such cont ut to th opm nt of a nat ona qua t s st m.in th cou s of ma k t n st gat ons an un stan ng oth c s an s st ms,

    t was a n that a at p o ucts a su s z ono s an that f a su s -z t st s st m w ma a a a , ts ut zat on wou qu nc nt ffo ts.

    Fo a comm c a p o uct to stan a chanc n th ma k t, n mo soc ta com-m tm nt wou qu , wh ch th conso t um was not n a pos t on to n u nc .

    UPSCALE AND REPLICATIONFo p cat on of th Uwd n t at , t s mpo tant to cons that a aptat on of an

    x st ng t chno og qu s att nt on fo a apta t of th t chn ca sp c cs, as was th p oc u of app cat on (th us qu m nts).

    in a t on, t s mpo tant to pa a quat att nt on to th cos st m an nt fstak ho s who n to tak n on oa fo matt s that a outs th sph of

    n u nc of th p oj ct, ut pa t of th sph of nt st. e n f th s s outs thscop of th p oj ct, t s mpo tant to know who can a s on th s oth asp cts.As th conso t um c to phas out th n t at , th a no cons at onsfo upsca ng.

    RESULTS ACHIEVEDdu to th phas ng out of th nno at on p oj ct, th su ts ach a ss atto th a u p opos t on as such, an mo p oc ss- an cont xt- at . As a su tof th s p oj ct, dSM ga n p ns ght nto th Af can pha mac ut ca ma k t,wh ch ha p ous n a ath unknown a a fo th m. ePN ga n tt ns ght

    nto th s of conc n of th a ous acto s n th pha mac ut ca s cto f omm c n p o uc to st uto to m c n p o an a u cha n suppo t s( .g., c soc t ag nc s) an n u nc s, sp c a go nm nt ag nc s. Th sk ns ghts ha p o n xt m a ua an w na dSM to s oth act -

    t s fo th co- opm nt of m chan sms to mp o th mpact m c n has nth qua t of f of commun t s.

    NETHERLANDSBoP Innovation Center - http://www.BoPinc.orgP.O. Box 19219 -3501 DE UtrechtContact: Myrtille [email protected]

    LAB PROFILE:The BoP Innovation Center (BoP Inc.) is an indepen-dent foundation using a multi-stakeholder approach to facilitate sustainable innovations in Base of thePyramid (BoP) markets. These market-based inno-vations aim to co-create a positive impact on thewellbeing of low-income people. We rmly believe

    that creating market-based sustainable innovationsfor the BoP can create a win-win-win situation for allorganizations and the people at the BoP.

    LEADER BIO:Myrtille Danse is the Executive Director of the BoPInnovation Center. She has over 15 years of workingexperience on sustainable chain development andinclusive business strategies of the local privatesector in transition and developing economies. Thisexperience was obtained as a project leader of nu-merous international business development projectsin Europe, Africa, South East-Asia and Latin America.Her experience as a priv ate sector advisor, includingmore than 8 years in Central America- policy advisorand trade attach of the Dutch Ministry of F oreignAffairs, and advisor on local private sector develop-ment for an international NGO on development coo-peration, enables her to mediate between the privatesector and vital societal actors required to developsuccessful pro-poor market-based innovations.

    !

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    WECONOMY STARTINNOVATIONPROGRAMAALTO GLOBAL IMPACT,AALTO UNIVERSITY. FINLAND

    Country | region of implementation2013: Indore, India and Kalpitiya, Sri Lanka

    Year of implementation2013

    Partners engagedAalto University, Finpro, World Vision Indiaand World Vision Sri Lanka

    OBJECTIVESW conom Sta t s a g o a nno at on p og am fo F nn sh compan s an ow-

    ncom commun t s.

    it a ms to fac tat nt act on an co-c at on, wh ch su ts n n w us n ss mo-s, p o ucts an s c s that c at a u fo ow- ncom commun t s as w as

    F nn sh compan s

    it s an NGO- n t at : t s s gn an coo nat Wo v s on F n ann co a o at on w th Aa to Un s t , F np o (F nn sh us n ss consu tanc ),

    Wo v s on in a an Wo v s on S lanka.

    W conom Sta t p om s s to:

    bu g s an fac tat ghts- as co a o at on tw n F nn sh compan s,ow- ncom commun t s an oth ant stak ho s.

    Off a p act ca path fo F nn sh compan s to op susta na us n ss at th boP.Fost susta na so ut ons to conom c, co og ca an soc a p o ms nt

    ow- ncom commun t s.

    each c c of th nno at on p og am asts fo on a .

    Compan s pa t c pat ng n 2013 a b o an (compost ng s c & to ts), Scan-hom s ( ow-cost hous ng), KSAO ( ucat on an susta na n g t chno og s)an Pa m oth Consu t ng (susta na han -ma p o ucts w th commun t sto s).

    Th s con c c of th p og am n 2014 w s n w pa t c pants: n w F nn shcompan s an n w in an an S lankan commun t s.

    Th p an s to xpan to oth boP ma k ts n 2015.

    DESCRIPTIONin 2013, th p og am has off F nn sh compan s two t ps, ght wo kshops

    n F n an , opt ona compan -sp c c us n ss consu t ng, an sugg st ons fon p n nt wo k.

    F t ps: Th st on -w k t p g s compan s a g mps of th op at ng n on-m nt an commun t s n s, asp at ons an capa t s. Th s con , fou -w k t pfocus s on co-c at on of nc us us n ss mo s, p o ucts an s c s. T ps nc u :

    Co-c at m t ngs an wo kshops tw n compan s an commun t s

    M t ngs w th in an an S lankan xp ts an autho t s

    i nt f ng a us n ss conc pts an mo s

    Wo kshops: e ght wo kshops an s m na s co such th m s as:

    Pa t c pat ng commun t s n s, asp at ons an capa t s

    Oppo tun t s an cha ng s n boP cos st ms

    P act ca x c s s of co-c at on an us n ss mo opm nt

    i nt f ng a us n ss conc pts an n ng th m nto us n ss p ans

    P h o t o : S i m o n e D

    . M c C o u r t i e / W o r l d B a n k

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    As an xamp , b o an s co a o at ng w th fa m s, hot s an oth stak ho s n Ka -p t a, S lanka, to c at nc us us n ss at to compost ng an o gan c fa m ng.

    Th n : Ka p t an p op cogn z an u g nt n to uc th us of ch m caf t z s, wh ch ha s contam nat th g oun wat on th s na ow p -n nsu a. Foo wast compost ng cou p o much-n f o gan c compost.

    Co-c at ng p o uct mo cat ons: b o ans compost ns a ng p ot at onKa p t an hot an a g oup of Ka p t an fa m s n o to co mo ca-t ons ca fo th oca c mat , cu tu o p c .

    Co-c at ng a us n ss mo : S a us n ss mo s app a poss . Compostns cou ma k t to hot s, an ow- ncom p op cou t a n to p o-

    uc ng mat a . A t nat , compost ns cou ma k t to fa m sassoc at ons, so fa m s cou oost th o gan c p o uct on.

    Co-c at ng an nc us us n ss cos st m: b o an cou wo k w th a w g oup

    of oca stak ho s to fost o gan c fa m ng. loca hot s, fa m s an NGOscou co a o at to u up th awa n ss, supp an man of o gan c foo .

    LESSONS LEARNEDA a u ng ts n t a (p ot) on - a c c , th p og am has ma th p oc ss of

    nt ng boP ma k ts fast fo th pa t c pat ng compan s.Compan f ack s fa o a : th p og am has fost compan s un stan ngof boP cont xts, op n oo s fo compan s to coop at w th ow- ncom commun -t s an a so oth in an an lankan stak ho s.Wh n co a o at on tw n compan s an oca commun t s s fac tat a -

    opm nt NGO, t s at t m s cha ng ng to nsu that oca commun t s un stanth w n-w n p opos t on un ng th s p og am.

    UPSCALE AND REPLICATIONd s gn ng an nno at on p og am of th s k n s a fun am nta co-c at x c s ;com n ng th st ngths of an NGO, a us n ss consu tanc , an aca m a s t m -consum ng an cha ng ng ut a so wa ng.Cons a ffo t s n to ngag oca NGO an commun t pa tn s n th

    a p ann ng an mp m ntat on of th p og am. Though Wo v s on F n an ,in a an S lanka ha coop at c os fo man a s, w ha foun that

    nt g at on of oca of c s n in o an Ka p t a nto to th jo nt p oc ss can ach a wh n p at ng th n xt oun of a p og am. Th a sma - anm um-sca F nn sh compan s that a nt st n boP ma k ts, ut n ng

    sou c s fo co-c at on w th ow- ncom commun t s s cha ng ng. Non of thpa t c pat ng compan s w a to att n th s con t p fo th fu fou -w k

    u at on. Thus, w a n p oc ss of mak ng som a justm nts to oth th u at onan cont nt of th two t ps to nsu max mum pa t c pat on an anc toth pa t c pat ng compan s.

    RESULTS ACHIEVEDTh n t a (p ot) c c of th nno at on p og am s st un wa , so t s p matuto po t mpacts.

    CONCLUSIONSbas on th xp nc s so fa f om th ongo ng p ot p og am, on can sa that th

    as c st uctu of th p og am s a a p o n to wo k. Th s pot nt a to -op an sca up nc us us n ss mo s on th f am wo k of opm nt wo k.

    A though na an conc t su ts a t to s n, th xp nc s f om a p otp og am a p o ng an xc nt p atfo m fo p at ng th p og am n in a anS lanka n 2014 an xp o ng oppo tun t s to xpan to n w g ons n 2015.

    FINLANDAalto Global ImpactP.0. Box 21230; FI-00076 AALTOhttp://www.aaltoglobalimpact.orgContact: Teija Lehtonen - teija.lehtonen@aalto.

    Lab Prole: BoP Service is a project aiming at crea- ting new business opportunities and reducing pover- ty through innovative business enterprise togetherwith the low-income individuals and communities at the Base of the Pyramid. The main objectives of theproject are a) to create a new user-driven networkpromoting innovative and sustainable business en- terprise, and b) to develop generic tools for entrepre-neurial co-innovation. Pilot projects are implemented together with the Finnish companies, wider civilsociety and other stakeholders.

    Leader Bio:Teija Lehtonen, M.Sc. (Econ), works as a Dev elo-pment Director of the Aalto University School of

    Economics, and leads a BoP Service Project aimingat creating a multi-stakeholder network promotinginnovative and sustainable business enterprise at theBase of the Pyramid (BoP) market. She is a formerManaging Director of the Ramboll Finnconsult, aprivate consultancy rm focusing on developmentcooperation. She has extensive international expe-rience in business development, leading multicultural teams with different technical backgrounds, produc- tive capacity building, participatory methodology andevaluations of development cooperation agencies.Her long-term missions include South Asia regioncovering Afghanistan, Bangladesh, India, Nepal,Pakistan and Sri Lanka; Abkhazia/Georgia; SierraLeone, Ivory Coast and Denmark, a total of 10 years.Ms. Lehtonen has deep understanding of the i nter-national development policy issues including humanrights, gender and other cross-cutting themes.

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    02VALUE CHAINBUSINESS MODELSChain of activities that a rm performs in order todeliver a valuable product or service, considering allbusiness processes and providing product excellen-ce, operations excellence, and customer excellencein different relevant operations areas, such as re-search and development, design of products, servi-ces, or processes, production, marketing and sales,distribution or customer service, among others.Colombia: ConstruyEAFIT (Colombia)

    Bangladesh, Mass cultivation of mungbeans in rural areasNomura Research Institute (Japan)

    P h o t o : G e r a r d o P e s a n t e z / W o r l d B a n k

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    CONSTRUYEAFIT. COLOMBIA

    Country | region of implementation:Colombia

    Partners engaged:Loan beneciaries, Argos CommercialNetwork, Argos Financial Partners.

    OBJECTIVESTo off soft oans to boP consum s who ack acc ss to th ank ng s st m an n to

    mp o th hous ng con t ons

    DESCRIPTIONTh s cas sc s a nanc ng s st m c at A gos. Un th s s st m, oans ap o to p op who o not oth w s ha acc ss to th ank ng s st m (ma ns ct ons 1, 2 an 3 out of 6 acco ng to th st at cat on of th popu at on n Co om a,wh ch co spon s w th th bas of th P am ).Const u ngs tog th th k stak ho s: oan n c a s, A gos Comm -c a N two k (Const u N two k, wh ch s ma up of 2,000 Sa s Po nts) an A gos

    nanc a pa tn s.

    P ma man s g n at fo ach on of th s pa t s acco ng to th ma n act tTh oan n c a s a so ha th oppo tun t to nhanc o const uct th hom s, wh chmak s th s an nc us an susta na n t at .

    A gos s spons fo sta sh ng ag m nts w th ff nt nanc a pa tn s. A gos amon to s ncom ng c t app cat ons an off s a oa n two k of c nts w th whom tma nta ns cont nuous ngag m nt n o to a ow th p og am to wo k p op .

    CONCLUSIONSTh ma n p fo manc n cato s fo th Const u p og am a th amount of fun s

    s u s (USd $2.82 m on n 2012) an th num of oan n c a s (mo than1,500 fam s u ng 2012).

    COLOMBIAUniversidad EAFIT - EAFIT Socialwww.eat.edu.coKm 3.5 via Don Diego - Rionegro, Antioquia, ColombiaContact: Yaromir Muoz [email protected]

    Lab Prole: EAFIT mission is to contribute to the so-

    cial and economic progress of the region by suppor- ting the research and development of new businessstrategies involving private companies and commu-nities in economic disadvantage, within the frameof the sustainability principles. Its areas of interestare knowledge generation for the four sectors which take part in the Lab: companies, NGOs, governmentmembers and academics.

    Leader Bio:

    Yaromir Munoz is a Ph.D in Administration from Uni-versity HEC in Montreal, Canada. He has a MBA incommercial business and Marketing by Instituto deEmpresa, Madrid, Spain. His areas of interest inclu-des Marketing, social Marketing, qualitative researchin Marketing. He has more than 30 years of academicexperience teaching undergraduate, postgraduate,executive education and Ph. D. programs.

    P h o t o : C h a r l o t t e K e s l / W o r l d B a n k

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    MASS CULTIVATION OF MUNGBEANS IN RURAL AREAS ANDAREAS OF HIGH SALINITYYUKIGUNI MAITAKENOMURA RESEARCH INSTITUTE. JAPAN

    Country | region of implementationBangladesh

    Year of implementation2010

    Partners engaged.Grameen Krishi Foundation

    OBJECTIVESyuk gun Ma tak has mp m nt a boP ag cu tu a us n ss fo g ow ng mung

    ans n coop at on w th G am n G oup.

    A ss ng oth po t an c mat chang ssu s n bang a sh.

    Th s us n ss cont ut s to nc as ng th ncom of bang a shs fam s(boP) an mp o ng th g o a supp cha n fo uc ng p ocu m nt sk (po t cs, mog aph c mo m nt, foo s cu t , c mat chang ).

    DESCRIPTIONyuk gun Ma tak s a m -s z foo compan n Japan. b an sp outs a on of thmajo p o ucts. Th sp outs a ma f om mung ans. b fo sta t ng ts own u-

    s n ss, yuk gun Ma tak o ta n 95% of ts mung ans f om Ch na. r a z ng thposs futu m tat ons of mpo t ng mung ans f om Ch na, yuk gun Ma takhas m a k on a path to mp o ts g o a supp cha n an ma nta n susta nap ocu m nt of th mung ans to suppo t susta na oca g owth.

    in o to so th s ssu , yuk gun Ma tak has aunch G am n yuk gun Ma -tak (GyM) n coop at on w th G am n G oup n bang a sh. GyM has mp m n-t ag cu tu a us n ss fo g ow ng mung ans w th m c o nanc fo fa m s anag cu tu a a c p o G am n K sh Foun at on (ag cu tu compan ).GyM u s mung ans at at s s t a o ma k t p c , an fa m s can s a po t onof th own ha st oca . Th s s st m ncou ag s th fa m s s ns of s f- ancan cont ut s to th conom c an soc a w ng.

    GyM has a so t to so th a aptat on ssu of c mat chang . Th fast xpan ngsa t amag c mat chang has c as cu t ata an n bang a sh. Tha ag at on of bang a sh s ow as 9 m t s. Acco ng to th Un t Nat onsint go nm nta Pan on C mat Chang , app ox. 17% of bang a sh w su -m g un wat , an c op p o uct on w fa app ox. 30% compa w th cu nt

    s 2050. Th an aff ct sa n t n South n bang a sh a 833,000 ha n1973 an 1,056,000 ha n 2009; tota sa n t has nc as 26.7% n ough 35 a s.S nc 2012, w th fun ng f om th Japan s M n st of econom , T a an in ust(MeTi), GyM has op m tho s fo ha st ng c ops n a as aff ct n-c as sa n t . in a t on to t a t ona m tho s such as p ow ng an f t z ngca c um su fat , wh ch a p o n fo th ff ct n ss n sa t mo a , otat onac opp ng, wh ch s th m tho of cu t at on com n ng c ops w th ff ng nut nta so pt on s an uc u n a t to st uct ns cts, s ng mp mt ; as a su t, nc as an qua t mp o m nt can xp ct . Th s woucont ut to th mp o m nt of c opp ng at o an ha st ng amount n a as ofh gh sa n t .

    LESSONS LEARNEDin op ng count s, co po at ons a att mpt ng to so soc a ssu s such aspo t an c mat chang th ough pa a ffo ts.

    P h o t o : S c o t t W a l l a c e / W o r l d B a n k

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    UPSCALE AND REPLICATIONFo sca ng up th s us n ss, GyM us s an o g na know g sha ng s st m w thW s t s an mo phon s (SMS). Fa m s can sha up at s an qu st ons t xtan mag s an g t a -t m suppo t f om ag cu tu a p of ss ona s.

    RESULTS ACHIEVED S nc 2010, GyM has cont act w th 7,000 fa m s fo g ow ng mung ans an

    nc as ng th ncom .

    Th s us n ss has to a s gn cant nc as n of c ops (f om 160kg/ gha to320kg/ gha) an sa s p c (f om 40-50 bdT p kg to 60 bdT p kg). Thus, thmung an fa m s ha xp nc a mo than twofo nc as n th ncom .

    CONCLUSIONS AND RECOMMENDATIONSGyM s th most not wo th xamp of boP us n ss Japan s co po at ons, w thth ma n ssons a n : 1) T a t ona SMes ha s gn cant pot nt a fo boP us -n ss.; 2) Th co a o at on tw n t a t ona an a anc fa m ng m tho s can mp o-

    ag cu tu a p o uct t fo sma fa m s n op ng count s.; an 3) boP us -n ss n a as that a u n a to c mat chang shou nc u a aptat on so ut ons.

    1. T a t ona SMes ha s gn cant pot nt a fo boP us n ss. A f w of th ksucc ss facto s fo boP us n ss a s ona a sh p w th ong-t m p sp ctan a n m manag m nt st uctu . yuk gun Ma tak , a m s z foo compan

    n Japan, s a s m o c xamp of th s k qua t s. Th s on an a sh p ofyuk gun Ma tak manag m nt na th pa tn sh p tw n yuk gun Ma takan G am n G oup. r c nt , mo SMes a sta t ng boP us n ss ntu s np o nc a a as of Japan caus th Japan s go nm nt has a opt po c sfa o a to SMes to sta t th us n ss s. Th s mo m nt w a to th c at onof mo nno at pa tn sh ps such as GyM.

    2. Th co a o at on tw n a t a t ona an a anc so ut ons can mp o anag cu tu a p o uct t fo sma fa m s n op ng count s. inno at ons nag cu tu qu oth a t a t ona an an a anc so ut on. T a t ona so u-t ons such as p ow ng an otat ona c opp ng can mp o ag cu tu a p o uct t

    n op ng count s. A anc so ut ons such as nfo mat on an commun -

    cat ons t chno og (iCT) mak poss th ap sp a of t a t ona so ut ons.imp o m nt of ag cu tu a p o uct t n op ng count s s an mpo tantfacto fo g owth of op ng count s an s a so an mpo tant facto fo foos cu t n oth op ng an op count s. Ag cu tu an foo compa-n s shou a opt th s st at g s to mp m nt s m a act ons fo th c at on of asusta na wo .

    3. boP us n ss n a as that a u n a to c mat chang shou nc u a ap-tat on so ut ons.in th a as that a u n a to c mat chang , w shou ha ap sp ct fo a g sh fts c mat chang . boP us n ss s not s nt aga nstc mat chang . Susta n g owth s p n nt upon a aptat on. r so ng ssu s

    at to po t an c mat chang , .g., sa t nju to fa m an , an fus ng thosw th boP us n ss s an p nc p s can a to susta na g owth an opm nt.

    JAPANNomura Research Institute http://www.nri.co.jp/en-glish/index.htmlMarunouchi Kitaguchi Building, 1-6-5 Marunouchi,Chiyoda-ku, Tokyo 100-0005, JapanContact: Tokutaro Hiramoto [email protected]

    Lab Prole:Nomura Research Institute (NRI), the oldest andlargest think-tank / consulting rm in Japan, hasbeen promoting business investments from Japan toemerging countries. From 2005, NRI have started re-search project about BoP business. NRI has alreadysupported several dozen Japanese companies for adevelopment of BoP business. Besides, NRI has beenworking closely with Japanese government organiza- tion such as Ministry of Economy, Industry and Trade(METI)/JICA/JETRO. For supports of BoP business byJapanese companies,NRI also has a strong tie withTokyo ofce of Asian Development Bank (ADB), Afri-can Development Bank(AfDB) and UN organizationssuch us UNDP/UNIDO/UNICEF.Recently, Japanese companies are focusing on busi-ness development in African region strongly. Fundedby METI, NRI formed the Committee for AfricanBusiness with Japanese enterprises, academics andother public organizations such as JICA and JETRO.NRI also helped METI to organize a business confe-rence African Fair in TICAD with Japanese com-panies whom NRI supported. Presidents of Africancountries and Japanese Prime Minister Abe visited those companies NRI helped.

    Leader Bio:Tokutaro Hiramoto joined NRI in 2004 as consul tant.And he also work for Meiji University as a special vi-siting professor and Miyagi University as a part-timeprofessor. His specialties include business develo-pment in African region, BoP Business, developingmanagement systems for CSR, PPP (Public PrivatePartnership). He provides various consulting servicesfor companies from a wide range of industries andfor Japanese governmental agencies. He has workedwith several dozen Japanese companies such asAjinomoto, Sumitomo Chemical and Panasonic fordeveloping their BoP strategies.

    He also has supported governmental initiative forfamiliarizing BoP Business to Japanese govern-ment (ex:METI) since 2008. He has launched JapanInclusive Business Support http://www.BoP.go.jp/en)with METI in 2010. He is a leader of operation projectfor this center in 2010-2011. (These projects werecommissioned by METI). From 2012, he is a memberof Steering Committee in this center.He is the author of the book(BoP businessstrategy2010,Toyo Keizai Shinpousha) about BoPbusiness for Japanese companies. He is also theauthor of the articles about the business case of BoPby Japanese company in Development Outreach(Worldbank, 2008) and also has some extensivelecture presentation. Tokutaro Hiramoto receivedhis MS in Environmental Design from Keio University,and his certication for successfully completing theExecutive Development Program Inclusive and Sus- tainable Business: Creating Markets with the Poorfrom the World Bank Institute.

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    03EMPLOYMENT GENDespite progress in some developing countries, ge-nerating employment is still one of the core prioritiesfor poverty eradication. Massive unemployment andunderemployment still characterize most low-inco-me countries. Therefore, the need to promote thedesign of policies and programs for achieving em-ployment-intensive growth is a crucial priority, es-pecially in working with low-income communities at the Base of the Pyramid.Brazil: Projeto ColetivoFundacion Getulio Vargas (Brazil)

    Honduras: Grupo VanguardiaINCAE (Costa Rica)

    Tunisia: Generatingyouth inclusive employment in industrial areasGlobalCAD (Spain)

    P h o t o : G e r a r d o P e s a n t e z / W o r l d B a n k

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    PROJETO COLETIVOFUNDAO GETULIO VARGAS. BRAZIL

    Country | region of implementationBrazil

    Year of implementation2009

    Partners engagedMcDonalds, Cinemark, Coca-Cola

    OBJECTIVESOff ucat on fo oung p op n boP n gh ou hoo s

    Off a us n ss p an fo ta nt p n u s n th bas of th P am

    imp o sa s of Coca-Co a n ow- ncom n gh o hoo s

    imp o Coca-Co as at onsh p w th commun t s an an mag

    DESCRIPTIONin Jun 2009, Coca-Co a aunch a sha a u p atfo m known as Co t o Coca-Co a, wh ch has a p ma o j ct to p o an cont ut to th mp o m ntof f fo thos at th bas of th P am , off ng too s fo ncom g n at on ancapac t u ng. How , th s s not on a Co po at Soc a r spons t (CSr)

    n t at , ath t s pa t of Coca-Co as sha a u st at g . b s s a uat ng thsoc a mpact, th compan ana z s an a uat s sa s, an qu t an st ut on

    f c nc n th g ons wh th p atfo m s p o . it s an nno at p oj ctcaus t shows how a a g compan can cont ut to soc t an c at mutuan t f om th pos t mpacts of th p oj ct.

    Th Co t o mo op at s p o ng ta t a n ng to oung p op (15-25 a so ) n s x ocat ons n b az . du ng th cou s of t a n ng, th stu nts op a

    us n ss p an fo oca ta , wh ch a so n ts oca nt p n u s. Upon com-p t on of t a n ng, som of th ouths a off jo oppo tun t s w th compan s

    n o n th Co t o, such as Mcdona s, C n ma k, an itau. Co t o has maa pos t mpact on th oca commun t s t s s, w th mo than 3,000 oungp op ha ng pa t c pat an man ha ng aunch succ ssfu ca s.

    LESSONS LEARNEDimpo tanc of un stan ng th a t of th boP commun t s an c at ng at anspa nt at onsh p w th th m

    impo tanc of u ng pa tn sh ps w th NGOs

    UPSCALE AND REPLICATIONTh st at g wo k caus t was not a top- own mp m ntat on of th p oj ct,

    ath , th was a a n ng xp nc w th th commun t as on t anspa ncan mutua a u .

    Th mpo tanc of tack ng a st uctu a p o m; n th s cas , ucat on.

    RESULTS ACHIEVEDCoca-Co a has app ox mat 200 Co t os n b az an has p ans to aunch th sp og am n oth count s, such as in a. To at , Co t o has ha a pos t mpacton mo than 60,000 p op n 150 c t s n b az th ough 7 ff nt mo s atto Coca-Co as a u cha n.

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    P h o t o : A r n e H o e l / W o r l d B a n k .

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    CONCLUSIONS AND RECOMMENDATIONSTh p oj ct has th o j ct to c at a sha a u : conom c an soc a . A though

    f cu t, t shows that th s two o j ct s can a gn n on n t at an that aMNC can mp o ts at onsh p w th th commun t an a n f om th commun -t as on a ff nt us n ss mo that can p ca to ff nt cont xts.Th su ts ach th s p oj ct un sco th mpo tanc of Coca-Co as pa tn -sh ps w th NGOs an oth co po at ons an that th compan must cont nu to fo gc os t s w th th commun t n o to succ ssfu .

    BRAZIL Centre of Excellence in Retail FG V-EAESP (GVcev) www.fgv.br/cev

    Av. 9 de Julho, 2029 11o. andar 01313-902 SPContact: Edgard Barki - [email protected]

    Lab Prole: The Centre of Excellence in Retail FGV-EAESP (GVcev) studies and develops activities in the Base of the Pyramid market since 2004. In 2007,GVcev established a cooperative agreement withCornell University, USA, and integrates a global net-work of universities and organizations studying andworking with the Base of the Pyramid. This is the BoPLab Network.

    Owing to the importance of sustainability for activi- ties at the Base of the Pyramid, in 2011, we integratedour programs of Base of the Pyramid and Sustainabi-lity creating the so-called program: Sustainability andBase of the Pyramid in Retailing. Our focus is to de-velop research, publications and academic activitiesin the areas of sustainability and Base of the Pyramidin distribution and retail, being a catalyst of practicesof social responsibility and social inclusion.

    Leader Bio:Edgard Barki is a Marketing Professor at FGV-EAESP.PhD and Master of Business Administration withemphasis in Marketing, FGV-EAESP. Coordinator of the Program: Sustainability and Base of the Pyramidof the Center for Retail Excellence at FGV-EAESP.Author of several articles in national and internatio-nal journals. Co-organizer of the book Retail for LowIncome. Coordinator of MBAs and specialized cour-ses at FGV-EAESP. Business consultant in marketingand strategy.

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    INCAE BUSINESS SCHOOLGRUPO VANGUARDIAINCAE. COSTA RICA

    Country | region of implementationSan Pedro Sula, Honduras

    Year of implementation2009

    Partners engagedMoya Family, GV is a family-owned business

    OBJECTIVES1. i nt f th asons wh G upo vangua a got n o n Co po at Soc ar spons t .

    2. int p t th conom c cont xt of th count n th cas . i nt f poss oppo -tun t s o th ats w th n th s cont xt.

    3. Un stan nam cs of th c c p ast cs ma k t n Hon u as, nt f ngfacto s that a to succ ss n th n ust .

    4. r cogn z th ff nc tw n Co po at Soc a r spons t an inc usbus n ss.

    5. e a uat th p oposa ma G upo vangua a a out ff nt Co po at So-c a r spons t an inc us bus n ss a as. d t m n oppo tun t s an a asfo mp o m nt.

    6. e a uat th mpact that th n t at p opos G upo vangua a has on thma k t fo c c p ast cs n Hon u as.

    7. d n futu st at g s fo G upo vangua a.

    DESCRIPTIONin 2009, G upo vangua a c at s nt n (17) a s s nc ts foun at on n1984. in 1992, th compan chang ts nam to P ast cos vangua a. F om ts n-c pt on, th compan s s on fo ow that of ts foun an a , e ua o Mo a,an ecua o an who ha mo to Hon u as n 1965.

    Th p ast cs n ust has n known fo ts h gh s of contam nat on an ows of us ng an c c ng mat a s. G n a , on 47% of p ast cs a co- fo us . P ast cs consumpt on has a so nc as . Th t m n ng facto fo

    consumpt on was p c , wh ch was s t on th nt nat ona ma k t, so th was g atp ssu fo compan s to uc th costs. in Hon u as, man fo p ast cs hag own n th ast f w a s, an 2009, fo t -s n (47) compan s w op at ng

    n th s cto . At that t m , most p ast cs p o ucts w mpo t .

    LESSONS LEARNEDG upo vangua a ha o towa an nc us us n ss mo nt g at ng t nto

    ts a u cha n th ough co cto s of c c p ast c mat a s. Th n t at gan ath compan cogn z th mpo tanc of th s co cto s, most of whom wo k aspa t of th nfo ma conom .

    Th G oup ook fo wa s to c at so conn ct ons w th th co cto s n o tochann sou c s to p omot th opm nt. Th o j ct s of th p og am wto xpan th co cto s p o uct t cha n, ma nta n th num of co cto s, an

    nc as ach co cto s us n ss capac t c at ng a s on to soc a spon-s an p omot nt p n u sh p th ough th c at on an t a n ng of n w m c o-

    us n ssp op .

    P h o t o : J o h n H o g g / W o r l d B a n k

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    UPSCALE AND REPLICATIONTh p o m that G upo vangua a an sp c a P ast cos vangua a fac s

    s how to sca up ts p ot p oj ct. Th a g qu st on s wh th th ha a un quan susta na mo . How as s t to cop ? is t poss to c at an conso at

    o a t s w th n w p o s of c c p ast cs?

    W th p oj ct a p man nt o a t mpo a comp t t a antag fo P ast cosvangua a? Fo how ong w th th on on s w th such a us n ss mo ?How as o f cu t s t to cop th us n ss mo , wh ch s n th g nn ng pha-s (at th t m of th cas - 2009) of opm nt?

    RESULTS ACHIEVED)Th cas t s how at th n of 2009 vangua a cont nu to mp o ts us n ssp act c s. Aft a ca of op at ons, eCOPlAST ha p oc ss s xt -on (61) m -

    on poun s of c c p ast cs. in 2012, P ast cos vangua a cont nu to xp n-c st a g owth ha ng p oc ss n a 100 m on poun s of c c p ast c anaugm nt ng ts as of co cto s to 150 fam s.Th compan fac s a num of cha ng s go ng fo wa , nc u ng h gh s ofc m na t that a aff ct ng th co ct on of p ast c, g ow ng costs to g t post- n-

    ust a c c p ast cs mat a s, nc as ng cash man s, an a non-soph st catoca consum . How can stak ho p c pt on an att tu s chang n o to

    ach susta na t ?

    CONCLUSIONS AND RECOMMENDATIONSG upo vangua a s n th n a pos t on of ng n a us n ss that p o uc spos t xt na t s as a su t of ts p o uct on. Thus, as t xpan s, t s k tog ow n oth p o ta t an n th soc a an n onm nta n ts t g n at s.A though sha a u poss t s s m now to p a , t a -offs ma oom n thfutu fo G upo vangua a, sp c a as xt na fo c s on th compan s con-t o pot nt a mo th susta na t f ont nwa . inc as ng comp t t on f om

    a g wast manag m nt ms, g ow ng man of supp s fo non-s pa at wastp ck up, an s ow owns n th conom , cou qu th compan to squ z tssupp s, comp om s ng ts soc a mpact as t s ks to ma nta n p o ta t .

    !COSTA RICAINCAE Business School - www.incae.eduCampus Walter Kissling Gam - 2 km West from ViveroProsesa No. 1, La Garita, Alajuela - P.O. Box: 960-4050

    Contact: Felipe Prez Pineda [email protected]

    Lab Prole: Center for Entrepreneurship at INCAEis an initiative that studies, supports, and promotessuccessful new business creation in Latin America,with a particular emphasis on ventures relating tonon-traditional exports and technology innovations.

    Leader Bio:Felipe Prez Pineda is a PhD in Agricultural Eco-nomics from Purdue University, where his areas ofspecialization were Natural Resource Economicsand Business Strategy. He graduated Master of B u-siness Administration from INCAE with concentrationin Banking and Finance for Development. ProfessorPrez is also agronomist specialized in Irrigation of the Autonomous University of Chapingo, Mxico.Faculty member of INCAE with the rank of associa- te professor, headed the Agro-Industry Program of the Institute for several years. He also directed theExport-Nicaragua program at the Center for Entre-preneurship at INCAE. His experience as a teacherin executive programs has been backed by severalyears of practice in different countries before and asa member of the teaching faculty of INCAE. ProfessorPrez is also an international consultant and advisor to several companies in Latin America.

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    PARTNERSHIP FOR INCLUSIVEEMPLOYMENT IN TUNISIANINDUSTRIAL AREASCAD. CENTER OF PARTNERSHIPS FOR DEVELOPMENTGLOBALCAD. SPAIN

    Country/region of implementationTunisia Jbel El Ouest Industrial Area

    Year of implementation2012- 2013

    Partners engagedCAD- GIZ

    Case prepared by:Philippe Jochaud

    OBJECTIVESC at ng n w s c s that g n at mp o m nt n n ust a a as, sp c a fo

    oung p op of ow- ncom commun t s of p -u an a as.

    engag un mp o commun t s n th fo ma conom th ough ncom -g n a-t ng act t s a oun s c s to compan s wo k ng n n ust a a as.

    DESCRIPTIONin a cont xt of moc at c t ans t on an o gan zat on of th nat ona conom ,

    n ust a a as app a to ta fo Tun s a u to th g at pot nt a fo conom cg owth an g ona opm nt. At th p s nt t m , Tun s a has mo than 150 n-

    ust a zon s an th go nm nt p ans to u mo than on hun n w n us-t a a as n th sho t t m. How , most n ust a a as ma n non-op at onaan suff f om a ack of acc ss to as c s c s; fo xamp , stau ants fo mp o-

    s o cat ng fo compan s, t anspo tat on s c s, s cu t , t chn ca p atfo ms,tc. Th s s tuat on h n s th capac t to att act n stm nts an p nts th m

    f om ach ng th fu opm nt pot nt a . At th sam t m , oca commun t sf om th boP n gh o hoo s fac h gh un mp o m nt at s, sp c a n thSouth an W st of th count , an th a og tw n n ust a a as an commun -t s s m t .

    in d c m 2012, CAd was comm ss on GiZ (G man Coop at on Ag nc )to s gn an mp m nt a n w nc us g owth m tho o og a m at c at ng n ws c s n n ust a a as that spon to th unsat s man of s c s, wh atth sam t m c at ng n w jo s fo oca un mp o commun t s. in o to ach -

    th s su ts, a th -st p app oach has n op . Th st phas cons st ofnt f ng th pot nt a fo s c s c at on of on s ct n ust a a a, f om oth

    man (s c s qu f om compan s an th mp o s) an supp (pot nt aof oca m c o, sma an m um-s z nt p s s (MSMes) an commun t s) p s-p ct . Onc th pot nt a ha n n , th s con phas cons st of nt f ngpot nt a nt p n u s o oca MSMes that cou spon to man fo th s c sn . S nc th p oj ct s to p cat nat onw , th s nt cat on p oc ss hato p fo m x st ng st uctu s. Th fo , th focus s on c at ng a pa tn s-h p among a th stak ho s of th n ust a a a (st uctu n cha g of manag ngth n ust a a a, compan s, oca mp o m nt st uctu s, commun t s) that woua ow th s nt cat on. Onc th s c s n w commun cat w , a s sof wo kshops an ncount s was con uct a ng to th nt cat on of a g oup of

    nt st nt p n u s. Th s ct on was na z u ng a wo kshop ca Makt Happ n that ought tog th th nt nt p n u s, stak ho s, fun ng

    st uctu s, tc., fo a s ct on of th na can at s. Th th phas (st n p oc ss asof Octo 2013) cons st n p o ng a ta o suppo t to ach of th p oj cts th oughcoach ng, t chn ca suppo t, acc ss to fun ng nst tut ons, tc. To at , th p oj ct s

    xp ct to c at a out tw nt (20) jo s n a on - a p oc ss, monst at ng th g atpot nt a of jo s c at on n th n ust a a as.

    LESSONS LEARNEDin ust a a as, sp c a thos n op ng count s, a oft n cut f om th

    ct n gh o hoo an ct n onm nt w th a ath xc us opm ntmo . Th s a not c a ack of commun cat on an a og, wh ch oft n a s tot ns ons among th compan s f om th n ust a a a, th oca autho t s an P

    h o t o : A r n e H o e l / W o r l d B a n k

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    commun t s. Th s com nat on of facto s a st ong oppo tun t cost fo th soc tat a g . Fost ng an nc as a og an pa tn sh p among a of th stak ho shas a t m n ous pot nt a fo c at ng nc us opm nt, an mo sp c cafo th poo st.

    Wh most att nt on s oft n p ac on fost ng nt p n u sh p an n w nt p -n u s, th a a num of oca compan s at sk u ng th st th a s of

    x st nc wh ch, w th a m t an ta g t suppo t, can conso at th act t san ha a s gn cant mpact n t ms of jo c at on fo th oca commun t . Th s spa t cu a t u n a as wh th nt p n u a sp t s ow.

    Top x cut s of oca compan s f om th n ust a a as an oth x st ng ocant p n u s ha a st ong pot nt a fo nt f ng nt p n u s th ough th

    n two k.

    Th succ ss of such an app oach s t ght nk to th u n of th oca stak -ho s. it s c t ca to nt f champ ons who w g t n o n th p oc ss

    such as th cto of th manag ng st uctu of th n ust a a a, top x cut sof oca compan s, oca autho t s an oca mp o m nt a m n st ato s.

    in th cas of Tun s a, th s no a p o m of fun ng fo nt p n u s ( anksactua ha f cu t to ach th u g t) ut ath a p o m of qua t of p o-j cts su m tt wh mo suppo t s n .

    UPSCALE AND REPLICATIONCons an nt f th c t ca num ( ft , n th cas of Tun s a) of n ust azon fo aunch ng such an n t at an oca commun t .

    F om th outs t, nsu st ong u n f om oca stak ho s an tota suppo tan app op at on f om n ust a a a manag (p at o pu c), oca mp o-

    m nt st uctu o ncu ato s that can com th champ ons of th p oj ct. Toach opt ma su ts, t s comm n to o gan z f om an a stag ( n s-h ng th st phas ) a c oss-s cto pa tn sh p p s nt ng th p oj ct an ts w n-w n p opos t on fo oth compan s an oca commun t s.

    Th upsca ng of such an n t at shou n o th pa t c pat on of th antgo nm nt m n st s ( . ., in ust , emp o m nt) that w ct n t f om

    t. i a , th cou p o som human an t chn ca capac t s fo th st( nt cat on of th pot nt a ), s con ( ok ng th pa tn sh p) o th phas(coach ng, u ng capac t s, t a n ng, tc.)

    RESULTS ACHIEVEDC at on of an st mat tw nt (20) jo s n on a an conso at on of (5)m c o- nt p s s;

    N w nam c of a og tw n th m m s of th n ust a zon an th pa t-n s;

    Nat ona w to p cat th m tho o og nat onw (to op at ona z thn of 2013).

    CONCLUSIONS AND RECOMMENDATIONSin ust a A as n op ng/t ans to count s ha a st ong un ash pot n-t a fo nc us jo c at on th ough fost ng nks an pa tn sh ps tw n tha a an ts n gh o hoo commun t s.

    it s mpo tant to focus on oth conso at ng oca nasc nt m c o- an sma ntu-s, wh ch ha th st ong st jo c at on pot nt a , an p omot ng n w ntu s.

    ext na at ons shou cons f om an a stag so as to manag p -c pt ons an xp ctat ons. it s comm n at th s to n o oth atm n st s (emp o m nt an in ust ) an th st uctu n cha g of n ust aa as ( .g., th nat ona assoc at on of n ust a a as o qu a nt).

    SPAIN

    Global CADMuntaner 180 Principal 2 - Barcelona 08036www.globalcad.orgContact:Fernando Casado Caeque [email protected]

    Lab Prole: GlobalCAD is an action platform whe-re professionals from different disciplines work to enhance human development and promote the transition towards sustainable development. Througha strategic advisory center for development, a socialdocumentary producer, a center that promotesinclusive business and a foundation that promotesculture and entrepreneurship, experts associated toGlobalCAD generate knowledge to help solve majorglobal challenges.

    GlobalCAD consists of a committed group of expertsfrom different disciplines working towards a commongoal: to generate transformative knowledge that em-powers communities and to achieve a higher develo-pment for all. Aware that the main global challenges

    related to development, including the eradicationof poverty, access to education and health, genderequity or the achievement of a sustainable relation-ship with the ecosystem cannot be solved unilatera-lly; GlobalCAD promotes interdisciplinary solutions through strategic partnerships for development.

    Leader Bio:Fernando Casado Caeque is the founder and direc- tor of CAD bringing together 20 years experienceworking with international organizations in the deve-lopment eld. He is a Ph.D. economist and journalistspecialized in projects related to economic andsustainable development. He has worked as strate-gic advisor to a variety of international organizations(such as UNDP, UNIDO, UNDSD, UNEP, OECD, IADB

    and the World Bank) and has been the General Co-ordinator of UNDPs Millennium Development Goalsinitiative. He has also worked as a Senior Consultantin the Department of Sustainable Development andSocial Responsibility at PricewaterhouseCoopers(PwC) in New York. He is s pecialized in managingprojects promoting the achievement of developmentgoals and cross-sectoral partnerships improving aidefciency. He is author of several books on CSR anddevelopment (such as We Are Not Ants; CSR at themirror; Public-Private partnerships for Development;Public-Private Concertation for Development in LatinAmerica; or The role of CSR of Spanish Companies inLatin America, among others), as well as of a rangeof articles on development economics, globalizationand sustainability. In addition, he is also director of

    several social documentaries on development issuesand social injustices. He holds a Ph.D. from the Cen- tral University of Barcelona in Economic and SocialSciences; a Masters from the School of Internationaland Public Affairs (SIPA) of Columbia University spe-cialized in Economic Development and Journalism;and a postgraduate degree in Environmental Mana-gement from the University of Barcelonas Institutefor Public Economics. Fernando is a certied MasterTrainer of the IFC-SME Toolkit of the World Bank,professionally accredited partnership broker (Part-nership Brokers Accreditation Scheme) and certiedwith the GIZ Capacity Works framework. He is also the Associate Director of the BoP Global Network.

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    04IMPROVING DISTRCHANNELS FOR THDistribution is the process of making products avai-lable to consumers. Distribution of products takesplace by means of channels. Channels are sets ofinterdependent organizations (called intermediaries)involved in making the product available for con-sumption. Distribution channels for the BoP repre-sent bigger challenges, as most of the rural marketsare inaccessible both from an infrastructure pers-pective as well as to knowledge about what is avai-lable and how to use it.

    South Africa: Sekulula Spaza ExpressReciprocity (South Africa)

    The Philippines: Hapinoy BotikaAsian Social Enterprise Incubator Inc(The Philippines)

    Ghana: Addressing the Challenges ofDistribution to the Base of the PyramidInclusive Business Sweden (Sweden)

    Mozambique: Mobility solutions for farmersDanish BOP Learning Lab (Denmark)

    P h o t o : S i m o n e D

    . M c C o u r t i e / W o r l d B a n k

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    SEKULULA SPAZA EXPRESSRECIPROCITY. SOUTH AFRICA

    Country | region of implementationCape Town

    Year of implementation2011

    OBJECTIVESTh oughout th m g ng wo , un a anc t s nh nt to ow- ncom commu-n t s. P -u an South Af ca s no xc pt on. Ma nut t on stat st cs a a a m ngan a g tt ng wo s . W th th p c of foo cons st nt nc as ng, th pu chascho c w most p o a g ow towa s h gh ca o c p o ucts (fat an suga ), con-s st nt nc as ng s as an poo h a th p ognos s.A though nfo ma t a s ( . ., s s wo k ng outs of th stat c ns ng an

    gu at on f am wo k), a cogn z as k to mp o ng acc ss to mo a aptp o ucts an s c s at th boP, tt know g on th ha o an n s,as w as th ta g t ma k t, t s up to co po at ons s ng o w ng to s th

    ow- ncom ma k t.

    Th ough th opm nt of a s mp s st m, nk ng fo ma to nfo maconom , r c p oc t p opos s to:- chann p act ca know g on th n s an

    xp ctat ons of nfo ma t a s, as w as th popu at on pu chas ng f om th m.- t stt chn qu s an t chno og s h p ng nfo ma n th opm nt of th us n ss,fost ng goo us n ss p act c s an p opos ng h g n so ut ons- op a p o ta-

    m c o-f anch s st ut on an ta soc a us n ss mp o ng acc ss to goofoo , h a th an nut t on to th boP.

    DESCRIPTIONS ku u a Spaza exp ss was n t at r c p oc t as a p ot stu fo a c nt.it s a s c sp c ca a apt to th p -u an South Af can n onm nit s ks to a ss cu nt n f c nc s n th st ut on cha n f om who sa s to

    nfo ma sma ta s n poo an poo commun t s. (Th s ta s a knownoca as spaza shops.) S ku u a was s gn to a ss a p o n man f om nfo -

    ma ta s fo mo f c nt wa s of manag ng s an stock.

    Th S ku u a nt p n u s t p ca a mot at townsh p nt p n u t a nw th us n ss manag m nt sk s, qu pp w th a c ns an nsu h c ana too k t comp s of maps an o fo ms. Th nt p n u tak s o s f om anum of nt spaza shop c nts, shops fo th qu st goo s on th ha fat th most affo a an con n nt who sa an su s qu nt s th goo sto th spaza shops.

    Th p ot (Phas 1) show that a S ku u a nt p n u th o t ca qu a a-ta as of 100 spaza custom s, 10 s p a pa r40 ach, n o to w th-aw a sa a of r3,000 an st mak a month p o t.

    LESSONS LEARNEDTh p ot off th p oj ct t am to n so ut ons ( n p n nt o th ough pa tn -sh ps) to a num of boP cha ng s. Two ma n cha ng s ma n:

    log st cs

    Cash manag m nt

    P h o t o : J o h n H o g g / W o r l d B a n k

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    UPSCALE AND REPLICATIONin ts as c fo m, th p oj ct qu s that a S ku u a nt p n u mak ng sto 10 spaza shops p a , at r40 p , op at ng 25 a s p month, wou

    ak ng n tak ng hom a sa a of r3,000, ha ng co a jo - at x-p ns s ( nc . h c amo t zat on an p c at on, nsu anc , gaso n , ma nt nanc ,t phon , a t s ng, tc.).

    Th p ot taught us that th s ta g t s acha w th a custom as of m n mum 100spaza p nt p n u , an op at s w th th a st c assumpt on that ach spazawou supp th ass gn nt p n u onc to tw c p w k.du ng th p ot, th two nt p n u s manag to ach 6 s p a . Thma n cha ng s w : (1) th og st cs an t m qu fo tak ng o s, (2) th cashmanag m nt. A cat t am must a ocat sou c s to xp o an mp o th stwo a as.

    Th S ku u a Spaza exp ss w com a p o ta m c o-f anch s a ow ng thnt p n u to ach th ta g t of 10 s p a an off ng ma k t ng oppo -

    tun t s to th a ous stak ho s n o : Fast-Mo ng Consum Goo s (FMCGs)compan s, ta s/who sa s, nanc a s c s, tc.

    SOUTH AFRICAReciprocity http://www.reciprocity.co.za/contact.html50, Rose Street, Bo-Kaap, Cape Town, South AfricaContact: Nicolas [email protected]

    Lab Prole: Since its establishment in 2007, Reci-procity has acquired signicant eld experience,running pilot projects, conducting qualitative andquantitative studies, as well as offering direct immer-sion in low-income communities.Corporates around the world are increasingly reali-sing that they cannot afford to overlook the potential

    of low-income markets. But they often dont knowhow to go about: How big is the market at the BoP?What kind of products and services would best besuited? What are the best channels to reach theBoP? Who to partner with? How does one overcome the obstacles to trading with the poor, such as thelack of infrastructure and lack of skills?Such are typical questions that companies aregrappling with when developing strategies to reach the BoP, and Reciprocitys aim is to help companiesdesign, test, and build such strategies.

    Leader Bio: Nicolas Pascarel is the founder andmanaging director of Reciprocity in Cape Town. Hehas extensive experience in designing and managingeld missions, quantitative and qualitative research,and testing business models at the base of the eco-nomic pyramid (BoP) on behalf of corporate clients.Nicolas eldwork includes the design and testing ofinclusive business models in low-income peri-urbanand rural communities, as well as regular immersionsin low-income communities for senior and executivemanagers of large companies.

    Nicolas holds a Master is in European Business fromESCP-Europe (Paris) and a Masters Degree in SocialPsychology from Victor Segalen University (Bor-deaux), and is preparing a PhD on last mile distribu- tion and socio-economic up-liftment at the Universityof Cape Town. He is 33 years old.

    Pierre Coetzer is a founding As sociate at Reciprocity.He started his career in investment banking in Euro-pe, before returning to South Africa in 2006. He haswritten 30 fact sheets, case s tudies and internationalreports researching, analysing and documentinginnovative business approaches to harness oppor- tunities at the BoP. He is co-author of a UNDP reporton Inclusive Businesses in Africa (published in May2013). Pierre combines desk research with eldworkin low-income communities, such as immersion pro-grams in low-income communities for MBA studentsand corporate executives.

    Pierre holds a BA in business management fromICHEC Business School (Brussels) and a MastersDegree in International Relations and Public Affairsfrom the Catholic University of Louvain (Belgium). Heis 39 years old.

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    HAPINOY BOTIKAASIAN SOCIAL ENTERPRISE INCUBATOR INCTHE PHILIPPINES

    Country | region of implementationThe Philippines

    Year of implementation2009

    OBJECTIVESTo xpan , th ough co a o at on tw n Un a an Hap no , th co ct a tto off o -th -count m c n s to n consum s n boP commun t s an th -

    sta sh a touch po nt w th custom s at th boP.To sta sh a susta na sha st ut on mo w th a soc a nt p s focus.

    DESCRIPTIONUn a s th Ph pp n s a g st an a ng pha mac ut ca an h a thca com-pan . in o to st ngth n ts pos t on n th ma k t, Un a has n ook ng fowa s to ga n p n t at on nto th boP th ough a p og am known as touch po nt.Th s n t at na s th compan to sta sh an nt to th gg st consumg oups n th ma k t.Hap no suppo ts a n two k of sma n gh o hoo sto s wh ch a oca fto as sa -sa sto s (sa -sa s th F p no wo fo man o a ous k n s).S ng Fast-Mo ng Consum Goo s (FMCGs) n ta , th s sto s a g n a o-cat w th n o as an xt ns on of th sto own s hom . W th a out 700,000 sto s

    n th count , sa -sa sto s mak up 30 to 40% of tota ta sa s n th Ph pp -n s. Th s sto s a t p ca own an manag moth s o nana s. Hap no

    s manag M c o ntu s, inc., an nt nat ona cogn z soc a nt p s .Un a an Hap no sta sh th Hap no bot ka P oj ct wh n th Hap nosto s a a to s o -th count (OTC) m c n s. Th p pa at on fo th s p o-j ct took a most a a u to gu ato m asu s mp m nt fo pha mac ut cap o ucts an a ca fu s gn co-c at on p oc ss fo th opm nt of th us -n ss mo . Un a an Hap no con uct t a n ng s ss ons mpow ng th nana s tos OTC m c n s an p o n-sto ma k t ng mat a . Th s pa tn sh p h pUn a ga n a cont o ach n th boP ma k t an h p Hap no ach on of

    ts goa s of ng ng affo a m c n s to th boP consum s an of h p ng thsto s xpan th p o uct po tfo o.

    LESSONS LEARNEDTh s cas stu shows that st ut on of m c n to th boP can mo f oman nfo ma s st m to a fo ma st uctu n tt ng th custom s an th pa tno gan zat ons.in th s gn of th n t a p oj ct th mphas s on co-g n at on was succ ssfu

    mp m nt w th th n o nana s, wh ch to an xp t an succ ssfu p ot.T a n ng of th nana s p o to a k compon nt of th p oj cts succ ss as t

    nc as th con nc of th sto own s to act s an p o nfo mat on toth commun t th a ng to nc as sa s.Wo k ng n a h gh gu at n onm nt such as h a thca qu s cons at m an sou c comm tm nt.

    UPSCALE AND REPLICATIONTh n t a p ot was p - s gn w th sca ng up n m n , . ., a act t s ha topass th t of a g -sca app ca t n t ms of ff ct n ss an cost f c nc .

    Th comm tm nt of oth o gan zat ons to sca up th p oj ct fo ow ng on a suc-c ssfu p ot; cont nuat on of th p oj cts u g t a ocat on was assu fo han .

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    P h o t o : J o n a t h a n E r n s t / W o r l d B a n k

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    RESULTS ACHIEVEDUn a s qua t p o ucts ng st ut to th boP th ough Hap no s sta-

    sh n two ks su t n a s st m wh ch n ts oth o gan zat ons an thcustom . Th pa tn sh p ts f show th f as t of a sha chann pa t-n sh p ng un tak n a Mu t nat ona Co po at on (MNC) an a catboP- ngag ng soc a nt p s .

    Fo th boP, th pa tn sh p su t n mp o acc ss t an affo a t ofqua t m c n .

    Fo th sa -sa sto s, t m ans an mp o acc ss to OTC m c n su t ng nnc as sa s.

    Aft th p ot, Hap no bot ka was sca up to 4,000 sto s p o ng OTCm c n to a w popu at on at th boP n a cont o an fo ma st ut onn two k.

    CONCLUSIONS AND RECOMMENDATIONSTh comm tm nt of oth o gan zat ons manag m nt was nst um nta n ach ng asucc ssfu sha chann pa tn sh p.

    Th pa tn sh p a so h gh ght th mpo tanc of ngag ng th boP fo mu t nat o-na co po at ons such as Un a . Th compan s awa of th mpo tanc an pot n-t a of th boP an sta sh ng a cont o ach n on of th count s a g st tama k ts. Acco ng to Un a , 18-20% of OTC m c n n -us s a on th sa -sasto .

    Fo Hap no , th pa tn sh p w th Un a h p th m ach on of th m ss ons to st ut affo a an qua t OTC m c n s. S nc th m c n s a not

    st ut th ough th con nt ona s st m an com st a ght f om Un a , Hap nos a to k p ts p c s at a fa , thus n t ng thos at th boP.

    PHILIPPINESAsian Social Enterprise Incubator Inc.The Yellow House - 129C B. Gonzales Street - LoyolaHeights1108 Quezon City Philippines - www.asei.com.phContact: Markus DietrichE-mail: [email protected]

    Lab Prole: ASEI vision is a Philippines enjoyingsustainable growth driven by inclusive businessesand powered by renewable energy. ASEI mission is to foster inclusive business and renewable energy through consulting, research and project develop-ment and to raise awareness for the Philippines as

    an investment destination and source of innovativebusiness models for those sectors.

    Leader Bio:Markus Dietrich received his B.Sc. in BusinessStudies and NGO management from CASS BusinessSchool in London in 1994. He then joined the familyretail IT business. In 2001 it was merged with DigiPoSStore Solutions in which Markus became ManagingDirector Europe and a major shareholder. In 2008 hesold the business and embarked on a new career insocial entrepreneurship. In 2008 Markus moved to the Philippines and studied at the South East AsianCenter of Southern New Hampshire University inManila. He graduated in M.S. International Commu-nity Economic Development in 2009. In the same yearhe co-founded the Asian Social Enterprise Incubator(ASEI), the rst of its kind in the Philippines. Its visionis to be the leading development space for emergingsocial enterprises and inclusive businesses in thequest to achieve scale, sustainability and impact. Heinnovated the active incubation model for socialenterprise development.

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    THE BUMPY ROAD TOTHE BOP: ADDRESSINGTHE CHALLENGES OFDISTRIBUTION TO THEBASE OF THE PYRAMIDINCLUSIVE BUSINESS SWEDEN.

    Country | region of implementationInternational / Ghana Year of implementation2011

    Partners engagedLighting Africa, Unilever / SonturkToyolaEnergy, HealthKeepersNetworkBarclays / Ghana Co-operative SusuCollectors Association

    OBJECTIVESd ta s a ch nto st ut on mo s to th boP sought to answ th fo ow ngqu st on:How can the challenges of distributing products and services to B ase of the Pyra-mid customers be addressed? Th pu pos of th s wo k was twofo :

    C at th foun at on fo a tt boP st ut on mo wh ch cont ut s topo t a at on an susta na opm nt

    P o us n ss w th tt acc ss to th s untapp ma k t

    DESCRIPTIONAft st p fo m ng s con a s a ch nto st ut on mo s of ff nt boP

    n t at s g o a , th s a ch focus on st ut on mo s fo ff nt boPcas stu s w th s a ch n Ghana:

    l ght ng Af ca ( ght ng so ut ons)

    Un / Sontu k (Fast-Mo ng Consum Goo s - FMCGs)

    To o a en g (cooksto s an ght ng)

    H a thK p sN two k (h a th p o ucts)

    ba c a s / Ghana Co-op at Susu Co cto s Assoc at on ( nanc a s c s)

    Th 4As f am wo k (a a a t , affo a t , awa n ss, acc pta t ) was us tont f ght n common cha ng s fo boP st ut on. both th nt nat ona an

    oca cas stu s w us to nt f common t n s, p nc p s, an a n ngs no to p o a foun at on fo mp o ng st ut on mo s to th boP.

    LESSONS LEARNEDe ght n (18) k st ut on cha ng s w nt as out n ow, w th thtop fou cha ng s nt as:

    Poo t anspo tat on nf ast uctu

    G og aph ca s u s m nt

    Ach ng sca

    imp o ng pu chas ng pow

    d ta opt ons o a t nat s fo a ss ng ach of th s cha ng s w a sont .

    P h o t o : A r n e H o e l / W o r l d B a n k

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    UPSCALE AND REPLICATIONd st ut on n ts f s cons a majo o stac n sca ng boP n t at s past thp ot stag . in ff ct, wh th a p nt of g at nno at ons, p o ucts an s c s

    op fo th boP, a ss ng th 4As of st ut on oft n p s nts th g a-t st cha ng to ach ng sca .

    Wh th s no s u t fo sta sh ng an ff ct boP st ut on s st m,o gan zat ons n to cons wh ch st ut on mo s most app op at , sta-

    sh ff ct st at g s fo a a a t , affo a t , awa n ss an acc pta t , ansuppo t th act t s w th app op at pa tn sh ps, nanc ng an sou c s.Wh man boP ntu s w sh to ach sca , th n to cons wh th t smo n c a to sca up, sca p o sca w . O gan zat ons a so n to s t uph a th cos st ms fo nt p n u s an sta sh st ong a anc s fo st ut on.Wh ottom-up an top- own tact cs can mp o ac oss th 4As, ottom-up

    app oach s a oft n mo cost- ff ct an tt nt g at w th n th oca com-mun t s. How , th s must a anc aga nst th n to ach sca . bottom-up app oach s a un k to automat ca an o gan ca g ow past th p ot stag ,

    ut ma f app op at suppo t an nu tu .

    RESULTS ACHIEVEDTh s a ch n ts f not a to an m asu a su ts, ut p o s th as s foth sta shm nt of mo ff ct an sca a st ut on n two ks.

    CONCLUSIONS AND RECOMMENDATIONSWh t s acknow g that ach boP st ut on st at g n s to ta o toth n ua cont xt, th s a ch sugg sts that c ta n p nc p s can app anc ta n qu st ons shou ask wh n sta sh ng o mp o ng a boP st ut onst at g . On that as s, th fo ow ng boP d st ut on F am wo k s p opos :

    SWEDEN

    Inclusive Business Swedenwww.inclusivebusiness.seLusthuset, Sdra Larmgatan 6,41116 Gothenburg SwedenContact: Mike DebelakEmail: [email protected]

    Lab Prole: Inclusive Business Sweden is theSwedish national centre for the advancement ofinclusive business initiatives at the BoP. The purpo-se of the centre is to engage and support Swedishorganisations in sustainable, innovative and inclusivebusiness models at the BoP. The not-for-prot centreserves as a platform for creating awareness ofinclusive business, facilitating collaboration betweenorganisations, as well as for connecting and suppor- ting organisations to create opportunities associatedwith the billions at the Base of the Pyramid.

    Leader Bio:Mike is Australian and moved to Sweden in 2008.Mike has 15 years experience working in Australia,Asia and Europe, focusing on inclusive business,sustainable development, corporate strategy andmanagement consulting.Since 2009, Mike has worked as a sustainability con-sultant with a focus on inclusive business. Mike ini- tially completed research focussed on distribution to the Base of the Pyramid, which included performing

    eld studies in Ghana. This research was publishedinto a book The Bumpy Road to the BoP, and is the basis for the development of inclusive businessnetworks in Ghana, Vietnam and Peru. Mike has alsobeen involved in the CSR Europe initiative Smart,Sustainable and Inclusive Growth at the BoP. Inaddition, Mike has delivered sustainability-consultingassignments for several clients, including VolvoGroup and the United Nations Development Program.

    In Australia, Mike worked for two organizationsWestpac, Australias largest nancial servicesorganisation, and Accenture, one of the worldslargest management consulting rms. As the SeniorManager of Westpacs corporate strategy team,Mike worked closely with the executive team in thedevelopment and implementation of their businessstrategy. For Accenture, Mike provided a number ofstrategic advisory, program management and consul- ting services for clients in Australia and Asia.

    Mike has a Masters of International Business andTrade from the University of Gothenburg, and speaksEnglish and Swedish.

    !

    Poo T anspo tat on inf ast uctu

    d c nt Comms, e ct c t an Wat N two ks

    G og aph ca d s u s m nt

    lack of esta sh d st ut on N two ks

    Ach ng Sca

    Sa s Fo c Manag m nt

    esta sh ng an Manag ng d st ut on Pa tn sh ps

    N two k Comp x t an Cont o

    imp o ng P o uct Affo a t

    imp o ng Pu chas ng Pow

    ba s fo MSes

    C at ng Awa n ss

    C at ng a Ma k t

    Commun cat on ba s an i t ac

    bu ng T ust w th Commun t s

    A apt ng fo Cu tu a d s t / ba s

    loca sat on of d

    Manag ng A opt on P oc ss s

    A V A I L A B I L I T Y

    4AS CHALLENGES LIGHTINGAFRICA

    UNILEVERSONTURK

    TOYOLA HKN BARCLAYSGCSCA

    A F F O R D -

    A B I L I T Y

    A W A R E

    - N E S S

    A C C E P T -

    A B I L I T Y

    What st ut on mo o com nat on of mo s shou w us ?d st uto a n two ks / P op ta st ut on / inst tut ona pa tn sh ps / F anch s mo / Oth

    What o w n to succ ssfu ?d st ut on pa tn s / F nanc ng / r sou c s / T m

    A a a t

    N so o- n goo pa tn s an / o u ancos st m of nt p n u s

    Com n ottom-up an top- own act t s toach sca .

    l a th ast m to th boP th ms s

    ena a h gh f c nt sa s n two k

    C at us n ss s not jo s

    What a ou majo o stac s to sca ?

    How shou w sca - sca up, sca w osca p?What sa s n two k o cos st m s most ff ct ?How much of th ast t m can w outsou c to

    nt p n u s?

    bu nanc nto st ut on

    Acc s to nanc s mo mpo tant than uc ngth p c of th p o uct.

    F nanc s oft n qu fo nt m a s ann us s.

    r mo nanc a an oth a s fo MSes

    S mp f an st am n to uc cost.

    How w ou custom s a to affo oup o cucts?

    What a ou nanc a m tat ons?How can ou o gan sat on nanc an suppo t ou

    st uto s an costum s?

    How shou o cou w wo k w th MFis?

    C at awa n ss an acc ptanc s mu tan ous

    dont t th m, show th m-p o ucts shou monst at an / o t st n

    loca / ow -th - n campa gns mo ff ct thantop - own/mass-m a

    r mo nanc a an oth a s fo MSes

    engag a ocat s f om w th n oca commun t s

    How can ou ta g t custom s xp nc thp o uct p o to pu chas ?

    What oca , cost ff ct chann s can w us top omot ou p o ucts?How canw mak custom s a ocat s, an th n

    ngag th m n sa s ffo ts?

    Affo a t Awa n ss & Acc pta t

    G U I D I N G P R I N C I P L E S

    K E Y Q U E S T I O N S

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    MOBILITY SOLUTIONS FORFARMERSDANISH BOP LEARNING LAB. DENMARK

    Country | region of implementationMozambique (Southern and Eastern Africa)

    Year of implementation2012

    Partners engagedBaisikeli, BoP Learning Lab Denmark, Young Africa Mozambique

    OBJECTIVESP o custom z an affo a t anspo tat on to sma ho sint g at s c mo nsu ng c c s own s can acc ss ma nt nancAss st n ucat ng c c m chan cs to nsu p op pa of c c s

    DESCRIPTIONba s k , a dan sh compan w th a st ong soc o- conom c p o , s op ng a

    c c sa s an pa us n ss n Mozam qu n pa a to th dan sh c cmanufactu ng act t s. both u a an u an custom s a ta g t n Mozam -qu . ba s k w n th ong t m p o uc c c s n Af ca, how , n th stphas , us c c s w pa an so oca . in a t on, ba s k custom z c c s fo ff nt pu pos s: fo xamp , s gn to m t th n sof fa m s. b k s can a so custom z to t anspo t ff nt t p s of c ops. S astu s ha shown that acc ss to mp o m tho s of t anspo t - n th s cas c c s- has a s gn cant mpact on fa m s hoo s. b c c s, n pa t cu a , a a cost-

    ff ct t anspo tat on m tho fo th fa m s s nc th a affo a an atas to pa . W th acc ss to th c c s, sma ho s a nk w th ma k ts anu s to whom th w p ous n acc ss.

    d st ut on: ba s k has fo m a pa tn sh p w th a oca ocat ona schoo young Af ca Mozam qu an s n th p oc ss of op ng an ucat onap og am wh n oung p op f om Mozam qu c t a n ng to com c cm chan cs. in a t on to ocat ona t a n ng, th stu nts c nst uct on on u-s n ss manag m nt. Comp t ng th ucat on w na th stu nts to op n thown us n ss o s k mp o m nt w th a pa compan . e ucat ng k m chan csan futu c c sa s nt p n u s s a pa t of ba sk s st ut on st at g .ba s k a so coop at s w th ff nt t p s of u a o gan zat ons, wh ch can h p

    st ut c c s an , n som cas s, co a o at on nanc ng sch m s.

    LESSONS LEARNEDba s k has gon th ough a ong t a -an - o p oc ss n t ms of n ng custo-m focus, g og aph ca focus an st ut on pa tn s an st at g (c nt a s. hu ).ba sk has chos n a a n as ou go app oach an t st sa s an st ut on

    as ct on th ma k t. Th s st at g has ha a antag s an sa antag s.

    in u a a as, ff nt t p s of pa tn sh ps can supp m nt t a t ona st u-t on sch m s.

    d st ut on an pa m nt sch m s oft n n to nk n u a a as.

    CONSIDERATIONS TO UPSCALE AND REPLICATE THE INITIATIVEUnfo s n ssu s oft n mpact cash ow. A c ta n amount of pat nt cap ta n sto n p ac to tack th s ssu s.

    !

    P h o t o : S i m o n e D

    . M c C o u r t i e / W o r l d B a n k

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    58 | BoB Global Network 59

    RESULTS ACHIEVEDeconom c: d opm nt of a a us n ss mo .

    Soc a : Acc ss to affo a t anspo tat on an custom z t anspo tat on fo sma ho s.

    en onm nta : d st ut on of n onm nta f n m ans of t anspo tat on.

    CONCLUSIONS AND RECOMMENDATIONSK p tw ak ng th us n ss mo an put p o ucts on th ma k t to ga n custo-m f ack.

    ba s k has tak n a ho st c app oach an s focus on c at ng an na ngn onm nt fo th us n ss, fo xamp nt g at ng ucat on of c c m cha-

    n cs an n o ng stak ho s who can h p n u nc th f am wo k con t onsfo succ ss (fo xamp , cons at ons at to nf ast uctu ). Th s s not asho t-t m ffo t ut w h p th m succ an sca n th ong t m.

    DENMARKDanish BOP Learning Labhttp://www.BoPlearninglab.dkDI H.C.Andersens Boulevard 18 DK-1787CopenhagenContact: Sara Ballan - [email protected]

    Lab Prole: The Danish BOP Learning Lab is hostedby the Confederation of Danish Industry (DI). DI isDenmarks largest business organization represen- ting more than 11.000 companies. The lab has existedsince 2007 and is managed by the international con-sulting unit DI International Business Development(DIBD), which has ofces in seven countries andexperience from more than 600 projects in emergingmarkets and developing countries (see below). Inaddition DIBD is involved in many capacity building

    projects with business organizations in developingcountries. The lab has until 2011 received supportfrom the Danish development agency allowing it toreach broadly out to Danish companies and dedicatesignicant resources to tool development and com-munication/network activities. From 2012, the lab willprimarily be funded by company projects, which willlead to more focus on business development projectsand less on network activities. The Learning Lab focu-ses on three areas: Knowledge sharing; Knowledgegeneration and consultancy.

    Leader Bio:Sara Ballan is part of the Sustainable Enterprise team that assists companies in targeting the markets at theBase of the Pyramid (BoP). The team is also engaged

    in CSR projects related to anti-corruption and socialand environmental compliance in developing coun- tries.Prior to joining DIBD Sara was head of the secretariatfor the National Network of Business Leaders a CSRnetwork that functions as an advisory council for theMinister of Employment and helps companies createan inclusive labour market. Sara has also workedwith CSR strategies at a practical level as a long-termconsultant for a large multinational company. As a

    student Sara worked at the international think tank, the Copenhagen Centre for Corporate Responsibility.Sara has supplemented her degree in political sciencewith studies at Copenhagen Business School, SternSchool of Business (NYU), and Tsinghua University(Beijing). This combination has given her an in-depthunderstanding of business drivers on the one handand the political, economic, and social dynamicsdriving development on the other hand. As an intern at the Danish Embassy in New Delhi, Sara experienced the CSR challenges Danish companies meet whenoperating in developing countries, and deepened herunderstanding of the vast Indian BoP-market.

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    05GENERATING ACCESS TO (ENERGY, HEALTH, HOUSINAccess to basic needs means that the populationcan obtain water, food, shelter and health servicesin adequate quantity and quality to ensure survivaland satisfy their right to life with dignity. In order to achieve these conditions, it is essential to build the physical infrastructure for the provision of ser-vices over the long term in a way that sustains live-lihoods and increases development and communityempowerment in a sustainable and inclusive way.

    Ethiopia, Kenya: SolarKiosk GmbHEndeva (Germany)

    Bangladesh: Tsinghua SolarSchool of Economics and Management,

    Tsinghua University (China)India: WorldHausEmergent Institute

    Kenya: Insurance for Jua Kali, UAP KenyaGIBS Base of Pyramid Hub (South Africa)

    DeLab. ItalyFTP Social HousingBrazil without FavelasFez Ta Pronto

    P h o t o : C h a r l o t t e K e s l / W o r l d B a n k

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    OBJECTIVESP o acc ss to c an n g fo p op ng fa awa f om th g n Su -Saha anAf ca.

    DESCRIPTIONSo a K osk sta t f om a s on: to p o c an n g , a sth t ca p as ng san h gh-qua t s c s to p op ng n u a a as, fa awa f om th n g gAs th p oj ct was n a t am of a ch t cts, tog th w th a pa tn w th pn two ks n eth op a, th st st p was to aw up a ough us n ss p an an s gnth p otot p .

    So a K osk was pa t of en as p - a n ng wo kshop a oun so a k osks n 2011an xchang xp nc s w th oth G man p a s n o n th us n ss, nc u-

    ng S m ns an Heri.

    Th st so a k osk was s t up n a lak langano n eth op a n Ju 2012.F om th g nn ng, t was c a that th s gn- as mo of So a K osk cou onwo k at sca . Th fo , So a K osk ca cu at