What are we talking about?

1
Making Business Work for the Poor

• What are we talking about? not CSR, but
  business activity
• Whats the business proposition? an example
  ITCs e-choupal
• serving 2 million farmers in rural India
• lower cost, higher quality crop
• new markets for inputs, consumer goods
• A business and a social metric

2

• Whats the Social Proposition? again,
  e-Choupal
• higher farmer incomes, lower input costs
• higher productivity because of access to new
  services
• more choice, higher quality of life
• empowerment via fair processes, more
  transparency
• A Win-Win Model

3
Trends Win-Win Models Spreading

• Good examples in
• Agriculture
• Micro-financial services
• Healthcare
• Education
• Consumer products
• Documented in 20 case studies

4
Why Should Business Bother?

• Huge, untapped BOP markets
• new data on market characterization
• potential for top-line growth
• Access to Innovation
• BOP markets demand new approaches
• New risks Emerging BOP market power

5
CHINA
6

• CHINAS BOP Market in

BOP
7
INDIA
8

• INDIAS BOP Market in

BOP
9

• Across 18 emerging market countries, total BOP
  market is 1.7 trillion.
• A specific example cellphones
• --fastest growing market in Africa
• --by 2005, ChinaIndiaBrazil 500 million
  users (US 150 million)
• --scale will transform markets, business
  models, standards
• What about food, housing, finance, etc.?

10

• Risks of Ignoring BOP Market Power
• Thailand Info Minister guaranteed market for
  peoples PC at 260.
• local industry respondedwith Linux software
• Microsoft cut software price to 38
• Recently introduced limited, tailored Thai
  edition of Windows XP Home
• Globalization is a Two-way Street

11

• Eradicating Poverty Through Profits
• Making Business Work for the Poor
• A major international conference
• December 12-14
• San Francisco
• Partnering with World Economic Forum, World Bank,
  UNDP, WBCSD, and the business schools at
  Michigan, Cornell, North Carolina, and major
  corporations
• See you in San Francisco!