What happens when low-income people's disposable income increases?
The base of the pyramid as we knew it ten years ago has changed tremendously. Latin America and the Caribbean’s economic growth between 2000 and 2010 benefited many in the region, from top to bottom. Millions of people emerged from poverty, and the segment of those living on $4-10 a day grew considerably. More than 400 million people in Latin America live at the base of the pyramid (BOP) today. They represent a $760 billion market annually. The Inter-American Development Bank's BASE III Forum will be this year's opportunity to discuss how to tap into this unexplored market and have an impact on low-income people's lives. It will take place in Mexico City on June 29-July 1.
Towards a new generation of public-private partnerships for Infrastructure
Latin America and the Caribbean is crying out for infrastructure improvements. An investment estimated at 5 percent of the region’s GDP—or $250 billion per year—is required to develop projects that are fundamental for economic development, not only by improving highways and bridges, but also by building hospitals and creating mobility solutions for smarter cities. Every other business sees a lack of infrastructure as a serious problem for the region.
Counterintuitive ideas are the right answer for sustainable enterprises
Most business models are formulated by the top of the pyramid. Many business leaders and academics write on the must haves of a successful base of the pyramid (BOP) business model. Still quite a few of those business endeavors fail. While reasons for failure vary, experience shows that the ability to observe, listen and understand the BOP’s social codes and priorities is key to successfully formulate and set up profitable, sustainable enterprises that target low-income markets.
Millennials and Shared Value: a perfect business strategy
Much has been said about the millennials, those born between 1980 and 2000, accounting for approximately 80 million people in the United States, and what they represent for the future of our society. For businesses, for example, it is crucial to understand this new generation, both as consumers and employees, otherwise companies run the risk of becoming irrelevant and antiquated. A recent Deloitte Survey shows that companies will need to change the way they do business in order to accommodate this new generation. Millennials do not begrudge businesses making a profit, but they also believe that businesses should have a purpose: being a catalyst in making a lasting, positive impact on society.
PEDAL YOUR BIKE. 3 Rides for Sustainability. #COP20
Leaders from government, civil society and the private sector are gathered in Peru this week for the final days of the 20th session of the Conference of Parties (COP) to define the way forward on climate change. Bringing climate change to the world stage communicates the urgency of the issue. Many companies are already engaged, and some have even based their business models on green principles. Bicycles are one tool. Check out three rides for sustainability:
STEM minus Women = Private Sector Problem
By Kristin Dacey & Sanola Daley* Math and Science are for Men Women are not smart enough to be engineers. Women are not good at math. Isn’t this why globally men earn 70% of doctoral degrees in mathematics and the world rejoiced recently that a woman – Maryam Mirzakhani –won the top prize in mathematics for the first time?