For well over 4 billion people - approximately 60% of all humanity - annual income is less than $1,500. The term "Base of the Pyramid" was first coined by Stuart L. Hart and C.K. Prahalad in 2002 and has become synonymous with both the method by which we can more effectively address poverty and the opportunity that exists in a multi-trillion-dollar market. A whole new lexicon has emerged to describe this phenomenon, including new buzzwords and catch phrases like "inclusive business", "opportunities for the majority", "sustainable livelihoods", "pro-poor business" and "social business", and thousands of new businesses, institutions and investment funds have been set up. In this ground-breaking new book, Stuart L. Hart and Fernando Casado Caneque have worked with members of the BoP Global Network to shake the tree, look objectively at what has happened since 2002, highlight why earlier applications of BoP haven't worked and propose new objectives and ways of working to formulate more sustainable solutions. The book challenges the reader and organizations to think about the mindset and purpose across whole organizations, open innovation rather than simply co-creation, and a complete review of the innovation ecosystem. Through this book, practitioners will gain a clearer insight into which business models can work within different communities to ensure a sustainable transition to improved local economies. Equally, the book is a must-read for researchers and students in the fields of entrepreneurship, innovation, sustainable development and environmental management.
PROLOGUE INTRODUCTION PART I. BOP VISION AND CAPABILITY: THE IMPORTANCE OF PURPOSE AND CULTURE 1. The importance of vision and purpose for BoP business development 2. Forging new mind-sets to create new inclusive markets PART II. THE ROLE OF ENGAGEMENT, PARTICIPATION AND BOTTOM-UP INNOVATION 3. Open innovation and engagement platforms for inclusive business design 4 4. Participatory market research for BoP innovation 3 PART III. BUILDING ECOSYSTEMS FOR INCLUSIVE BUSINESS 5. Creating an innovation ecosystem for inclusive and sustainable business 6. Bridging the pioneer gap: Financing the missing middle 5 PART IV. MARKET ACCESS FOR ALL: SOLVING THE DISTRIBUTION CHALLENGE 7. The last mile: A challenge and an opportunity 8. A shared-channel model for BoP access in the Philippines PART V. PARTNERSHIP FRAMEWORKS FOR BOP BUSINESS 9. Partnerships for poverty alleviation: Cross-sector and B2B collaboration in BoP markets 10. Access2innovation: An Innovative BoP network partnership model PART VI. INCLUSIVE BUSINESS MODELS AS A RESPONSE TO ENVIRONMENTAL SUSTAINABILITY CHALLENGES 11. Urban agriculture as a strategy for addressing food insecurity of BoP populations 12. The triple leap: addressing poverty and environmental challenges both at home and abroad