Models for the future

Abstract

(...)"recent research by myself and Johanna Mair has revealed the important role of “social entrepreneurs”. These are individuals who help build institutions and innovative business models in emerging economies – the basis for competitive and productive markets and sustainable development. Social entrepreneurs have often worked for decades to build the resources and competencies needed to overcome the obstacles associated with serving the poor efficiently. But because these leaders focus primarily on social objectives, their resources and competencies are often under valued from an economic or business perspective" (...)"In contrast to the traditional “bottom of the pyramid” (BoP) perspective, we propose that companies are better off partnering with social entrepreneurs and providing scale to the business models already being used by them. This approach allows companies to access valuable local resources, leading to profitable market positions and encouraging long-term development. This model creates profits that are generated by combining local resources with existing corporate competencies to serve the growing middle-class or other higher-income customers locally and internationally"