![1000000 million dollar pyramid 1000000 million dollar pyramid](https://cdn.abcotvs.com/dip/images/10692532_052521-wabc-michael-strahan-pyramid-img.jpg)
On top of the pyramid are about 1-1.5 billion people who tend to be high income and mostly live in developed countries, though elites in developing countries belong in this category as well. They argued that there was a large market opportunity in providing high quality products and services at an affordable price to the base of the economic pyramid.ĩFor simplicity’s sake, I tend to think of the very bottom of the pyramid as consisting of about the billion people who live on less than $1.50 a day, who are also most likely beyond the reach of markets today.
![1000000 million dollar pyramid 1000000 million dollar pyramid](https://cdn.shopify.com/s/files/1/0013/0675/5152/products/Delphinium_elatum_Million_Dollar_Blue_0001_high_res_1024x1024.jpg)
Prahalad gave us a conceptual framework 8 to think of low-income markets, by dividing the economic pyramid into layers, including a substantial base. “The Fortune at the Bottom of the Pyramid.” Strategy+Bus (.)ĨStuart Hart and C.K. Best of all, business is sustainable without dependence on handouts and aid, and the discipline of the markets ensures that mistakes are rectified quickly. I tend to favour private business because I believe they have better incentive systems in place for optimal resource allocation. One could argue whether private business or state-run businesses do a better job of creating wealth. And the only agent of society that can create wealth is business. You can only redistribute wealth, and to redistribute, you have to create the wealth first. Business was something to be tolerated as a necessary evil, rather than encouraged.ĢWhat is the reality? Even assuming one is in favour of redistribution, what exactly is being redistributed? You cannot, after all, redistribute poverty.
![1000000 million dollar pyramid 1000000 million dollar pyramid](https://m.media-amazon.com/images/I/51JckoFJ+JL.jpg)
In some ways, this is not surprising since business and the merchant class have always got short shrift, from the time of the Phoenician trading fleets to Nehru’s India 1. 1 This did not however stop Nehru’s Congress party from soliciting largesse from business houses.ġIn the long-standing debate around poverty and economic development, rarely does the word business get mentioned.
1000000 million dollar pyramid how to#
Finally, we look at how to structure and commercialize the huge business opportunities that exist in addressing the inefficiencies of BOP markets, using a combination of business model innovation (especially around reduced cost structures), research, entrepreneurship, and patient capital. This piece also examines a few commercially sustainable business models that have worked in these markets, and investigates a few sectors that commercial capital will find highly attractive and investable.
![1000000 million dollar pyramid 1000000 million dollar pyramid](https://intelliven.com/wp-content/uploads/2017/10/Client-Target-Composition.jpg)
In particular, it requires addressing issues around the macro-economic and business climate of the country mispricing of risk entrepreneurship and a shift of focus away from multi-national corporations to the small business sector, and the transaction costs that bedevil it. Research teams at the Centre for Emerging Markets Solutions (CEMS) have found that while it is possible to profitably serve BOP markets, it requires some departure from strategies advocated in the traditional BOP literature. Instead of top-down, development aid-driven strategies, more discussions now focus on providing goods and services profitably to the base of the economic pyramid (BOP), like mobile phone companies have. The recent global success of the mobile telephony industry, and the rapid growth in emerging markets over the last two decades has, however, forced a rethink. The role of business has traditionally been ignored in the global debates around economic development and poverty alleviation.