NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

A Fresh Start – Rural Job Seekers Find a Brighter Future

To get a sense of India’s rural-urban union, drop in on a McDonald’s restaurant in the southern state of Andhra Pradesh, where hungry customers scan the brightly lit menu panel above the counter and line up to place orders. The eatery, nestled in a busy shopping mall in downtown Hyderabad, is unique: Most of the youngsters flipping burgers and taking orders are not city slickers, but employees recruited from India’s rural belly. Take college dropout K. Bhargavi, 23, who...

Source

Knowledge@Wharton (link opens in a new window)

Region

South Asia

Economic Crisis Forces Businesses to Focus on the Poor

In India, the economic crisis may actually be good news. During the salad days of the past decade, India’s entrepreneurs grew fat selling gas guzzlers and palatial homes to the country’s new rich, while ignoring the needs of the biggest segment of Indian consumers: the poor. It was an expatriate Indian, the University of Michigan’s C.K. Prahalad, who first posited that there were millions to be made selling to the "bottom of the pyramid." Now that’s start...

Source

Huffington Post (link opens in a new window)

Region

South Asia

Social Entrepreneur Has Venture Backing to Light Up the World

D.light Design Inc., which manufactures and sells solar-powered lamps in poor areas of the globe, is an example of a company that seeks to bring entrepreneurship to a social mission. GlobalAtlanta met representatives of the company during the First East Africa Energy Conference held in Dar es Salaam, Tanzania, in June. The company, which was incorporated in May 2007, opened its East Africa office in Tanzania this year. Sam Goldman, a co-founder, was a Peace Corps volunte...

Source

Global Atlanta (link opens in a new window)

Region

Sub-Saharan Africa

Indian Regulations Stifling for Social Investing

Harold Rosen founded the Grassroots Business Initiative (GBI) of the World Bank’s International Finance Corporation in 2004. In 2008, GBI spun off into the non-profit Grassroots Business Fund, which, among other things, looks at funding socially relevant projects in India. Rosen spoke to Atul Sethi about the potential of social enterprise funding in India: What makes you want to invest in India? India’s world-class, cost-effective skilled labour force canno...

Source

Times of India (link opens in a new window)

Region

South Asia

Phillips Develops Off-Grid Lighting for Africa

Phillips apparently sees a fruitful market among the nearly 2 billion people who lack access to electricity. The company is rolling out a small line of lighting products specifically designed for the needs of those at the bottom of the economic pyramid. We’ve seen Phillips’ interest in this area before with its smokeless cooking stove, and we’ve seen what a difference simple lighting technology can make for rural communities. An entrant into this year’s Index Award,...

Source

Treehugger (link opens in a new window)

Region

Sub-Saharan Africa

Bottom of the Pyramid Plan Boosts Revenues

Family Bank has transformed itself from a building society formed in 1984 to a fully-fledged bank. The indigenous bank has since its conversion in May 2007 been on a growth path in terms of customer outreach and the bottom line. It boasts of 44 branches spread across the country. Within the last one year the bank has added 11 branches to its network ,indicating its growth momentum. Operating in an increasingly competitive market, the bank has managed to hold its head high among its...

Source

Business Daily Africa (link opens in a new window)

Region

Sub-Saharan Africa

Healthcare focus tackles the heart of the matter

I have been in Nairobi for 10 weeks, but in terms of knowledge and experience accumulated it feels like aeons. I am working as an intern with Acumen Fund, a global social venture fund. It provides equity and debt financing to enterprises that use market-based approaches to supply goods and services to the base of the pyramid - people earning under $4 (€2.79, £2.42) a day. My focus is on healthcare systems in East Africa, in particular mapping out the ecosystem for health...

Source

Financial Times (link opens in a new window)

Region

Sub-Saharan Africa

Doing Business in the Developing World’s Toughest Markets

The developing world is home to some of the most challenging markets for any business: Urban slums. Rural backwaters. Lawless regions and battle zones. But hundreds of millions of potential customers live in these places, and a few pioneering companies are thriving there. Their success offers lessons on how to tap these complex environments for profits and growth. All of these markets share certain challenges. They often lack functioning legal systems, so contracts are r...

Source

Wall Street Journal (link opens in a new window)