Platform-based business model and entrepreneurs from Base of the Pyramid

Technovation ◽  
2022 ◽  
pp. 102451
Author(s):  
Xiaolan Fu ◽  
Pervez Ghauri ◽  
Nwamaka Ogbonna ◽  
Xiaoqiang Xing
Keyword(s):  
Business Model ◽  
Base Of The Pyramid

scholarly journals Consolidating Unorganised Retail Businesses through Digital Platforms: Implications for Achieving the UN Sustainable Development Goals

2021 ◽  
Vol 13 (21) ◽  
pp. 12031
Author(s):  
Malobi Mukherjee ◽  
Jacob Wood
Keyword(s):  
Inventory Management ◽  
Business Model ◽  
Social Transformation ◽  
Local Level ◽  
The Philippines ◽  
Business Model Innovation ◽  
Base Of The Pyramid ◽  
Sustainable Business ◽  
Digital Platforms ◽  
Development Goals

This study explores whether digitalisation of unorganised retail (UR) businesses in emerging markets have a positive socio-economic impact on the lives of the subsistence consumer–merchants who perform the dual role of being, not only consumers providing for themselves and their families, but also the managers of micro-UR businesses. We develop a framework for sustainable business model innovation at the base of the pyramid by undertaking content analysis of 65 newspaper articles (interviews with senior executives and founders of digital app-based platforms, expert analysis) as well as social media and YouTube testimonials of UR business users of these platforms in Vietnam, Indonesia, Malaysia and the Philippines. Using the Gioian coding structure of open and second order comparative coding, we develop a framework for sustainable business model innovation from the base of the pyramid perspective. The framework captures how digitalisation enables the UR businesses to circumvent resource shortages, consolidate procurement and inventory management and diversify product and service offerings, which leads to significant economic and social transformation for both the micro enterprises and their owners. Our framework contributes to the emergent literature on sustainable business model innovation and inclusive innovation in resource-constrained contexts. We conclude that sustainable business model innovations enable socio-economic transformations similar to those experienced by UR businesses in emerging Asian markets. Such developments can create local level pathways for local tropical countries seeking to achieve UN social development goals.

scholarly journals Applying a Sustainable Business Model Lens to Mutual Value Creation With Base of the Pyramid Suppliers

2020 ◽  
pp. 000765032097345
Author(s):  
Krzysztof Dembek ◽  
Jodi York
Keyword(s):  
Business Model ◽  
Value Chain ◽  
Business Models ◽  
Single Case ◽  
Base Of The Pyramid ◽  
Sustainable Business ◽  
Value Capture ◽  
Promising Alternative ◽  
Sustainable Business Models ◽  
Multi Stakeholder

Base of the pyramid (BoP) ventures seek to create “mutual value” for themselves and poor communities, but often use business models unadapted for the BoP context, and have been less successful than hoped. Sustainable business models’ (SBMs) multi-stakeholder lens offers a promising alternative path to mutual value, but BoP-based SBM studies are scarce. This single case study explores whether and how SBM characteristics manifest in the business model and value outcomes of Habi, a Manila footwear company successfully creating mutual value with BoP suppliers. We find SBM characteristics underpin Habi’s dual-structure business model (value chain/shop) and success in four ways: viewing profits as a tool for community development resulted in designing both product and business model around community strengths; understanding communities as systems helped Habi address the complexities of poverty; balancing short-term business needs with a long-term, slow-growth approach led to their choice of investors; and implementing community value capture mechanisms ensured enduring community benefit.

scholarly journals Cognitive Frames of Poverty and Tension Handling in Base-of-the-Pyramid Business Models

2020 ◽  
pp. 000765032097518
Author(s):  
Jordis Grimm
Keyword(s):  
Business Model ◽  
Poverty Reduction ◽  
Business Models ◽  
Value Chains ◽  
Poor People ◽  
Corporate Value ◽  
Base Of The Pyramid ◽  
Cognitive Perspective ◽  
Cognitive Frames ◽  
Defensive Responses

Base-of-the-pyramid (BOP) business models aim to achieve profitability and poverty reduction by including poor people into corporate value chains. This goal duality creates tensions. Actors’ responses to these tensions are influenced by their cognitive frames of the phenomena building the tension. Applying a cognitive perspective, I investigate how corporate actors with different frames of poverty respond proactively or defensively to the poverty–profitability tension by adapting business model elements. I find that proactive and defensive responses differ for actors holding different cognitive frames of poverty. The responses have consequences for the poverty impact potential of BOP business models.

When one business model is not enough for a social business

2017 ◽  
Vol 33 (1) ◽  
pp. 10-12 ◽  
Author(s):  
Heiko Gebauer ◽  
Caroline Saul ◽  
Mirella Halidmann ◽  
Sasha Kramer
Keyword(s):  
Business Model ◽  
Business Models ◽  
Costs And Benefits ◽  
Engaged Scholarship ◽  
Base Of The Pyramid ◽  
Content Type ◽  
Key Factor ◽  
Basic Sanitation ◽  
Practical Implications

Purpose This paper aims to illustrate how managing multiple business models can become a key factor for succeeding in base-of-the-pyramid markets. Design/methodology/approach Case study was conducted through an engaged scholarship approach. Findings The authors highlight that companies can manage multiple business models, if they are following these three steps: recognition of costs-and-benefits, improvement and growth and creation of synergies. Practical implications The study provides guidance on how to manage multiple business models. Social implications This paper discusses Sustainable Organic Integrated Livelihoods, a social enterprise, which provides basic sanitation in bade-of-the-pyramid markets. Originality/value Operating more than one business model could cause often strategic failures. Sustainable Organic Integrated Livelihoods explored the advantages of having multiple business models in following three steps: recognition of costs-and-benefits, improvement and growth and creation of synergies.

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