1) I believe it is appropriate to consider Envirofit as a social enterprise. By definition a social enterprises primary goal is for the benefit of society and profit is the secondary goal. This is the exact formula that the creators of Envirofit followed. Also, if you look up the history of Envirofit on any website you will see that they are labeled as a social enterprise. The goal of Envirofit was to make these 2-stroke engines burn fuel in a cleaner way so that they didn’t smoke and would also save consumers money on fuel. They achieved this and it worked extremely well. As far as shared value goes I think that Envirofit originally was on the extreme of exclusively producing social benefits, but after realizing how profitable it was they probably moved more on the continuum towards the other extreme. Envirofit is attempting to solve pollution problems which will hopefully lead to less people getting sick. It offers it’s investors to save money on fuel costs like he said in the video that the smoke coming out of the exhaust is just burning money.
2) It is targeted at the base of the economic pyramid because that means that it’s a place that is a developing country where it is overpopulated and whose annual per capita income is very low. They targeted at this part of the pyramid because it is an emerging field of business and they saw opportunity. This impacts their business model in a positive way because they are able to achieve their triple bottom line objectives more easily in these types of economies.
3) The two biggest obstacles to overcome in order to launch the conversion kit in my opinion are:
a. Making the kit affordable enough for the people in these economies while managing to make a decent profit.
b. The barrier to entry in a