Stu Hart suggests ways of making Base of the Pyramid (BoP) ventures work in new book
Johnson professor of Management & Organizations outlines rich, long-term market creation solutions at the BoP in "Next Generation Business Strategies for the Base of the Pyramid"
More and more enterprises are seeking to craftwinning “base of the pyramid” (BoP) ventures, serving the world’s four billion poorest customers while alleviating poverty at the same time. Early first generation ventures focused primarily on selling existing goods to and sourcing familiar products from this massive and growing under-served market. Many of these initiatives did not scale, and some have failed. Crucial lessons have been learned along the way, and innovators are now succeeding with a more sophisticated and nuanced approach to “BoP” markets. These second-generation business strategies have remained invisible to many leaders in the for-profit, nonprofit, and development communities—until now.
In Next Generation Business Strategies for the Base of the Pyramid, Johnson's Stu Hart, Ted London and six leading BoP thought and practice leaders -including Johnson's Erik Simanis - show how to apply today’s most significant BoP innovations, techniques, and business models. London, Hart, and their contributors go beyond providing low-cost products and extending distribution reach by demonstrating how to promote market development, innovation, and capability creation “with” BoP new customers, not “at” them. Readers will learn how to reconceptualize their opportunities, create sustainable business ecosystems, design new technologies with BoP in mind, and even transform entire sectors through collaborative entrepreneurship. From start to finish, this book shares proven, “on-the-ground” insights for building scalable, profitable businesses that are sustainable, and truly can help alleviate social ills.
Stuart Hart is the Samuel Curtis Johnson Chair in Sustainable Global Enterprise at Johnson; Erik Simanis is director of the Center for Sustainable Global Enterprise’s Market Creation Program.