The Quest For The Fortune At The Bottom Of The Pyramid: Potential And Challenges
Words: 9069
Pages: 37
The quest for the fortune at the bottom of the pyramid: potential and challenges Dennis A. Pitta The University of Baltimore, Baltimore, Maryland, USA, and
Rodrigo Guesalaga and Pablo Marshall ´ Pontificia Universidad Catolica de Chile, Santiago, Chile Abstract Purpose – The purpose of this article is to examine the bottom of the pyramid (BOP) proposition, where private companies can both be profitable and help alleviate poverty by attending low-income consumers. Design/methodology/approach – The literature on BOP was reviewed and some key elements of the BOP approach were proposed and examined. Findings – There is no agreement in the literature about the potential benefits of the BOP approach for both private companies and Companies can use standard market segmentation and product differentiation to satisfy these tiers. Dealing with these customers requires professionalism, but the normal market research processes, product development, channels of distribution, promotion, and credit functions should result in success. Thus, Zeithaml and her coauthors showed companies how to use their tried and trusted marketing approaches to maximize effectiveness and profitability. The key is to serve those customers most likely to generate profits instead of losses. The justification is clear: companies have limited resources and should concentrate their efforts where the returns will be the highest. They demonstrated the value at the top of the pyramid (TOP) and shared strategies for serving those customers while discouraging or even “firing” the lower, money-losing tiers. For profit seeking companies, the customer pyramid approach is appropriate and allows them the best chances to survive in typically competitive markets.
Not surprisingly, the “top of the pyramid” (TOP) approach is at the heart of Western business practice. Traditionally, businesses require a set of four conditions to operate successfully in a market segment. The segment must be identifiable, measurable, substantial, and accessible. In Western economies, business and communication infrastructures are developed sufficiently to
Related Documents: The Quest For The Fortune At The Bottom Of The Pyramid: Potential And Challenges
Assignment One Deadline: 22nd Nov 2013 (11pm) Word count: 2187 In economics, wealth and income belonging to each country is commonly portrayed in the form of a pyramid. Countries placed at the top of the pyramid are amongst the most affluent and wealthiest with innumerable opportunities, whilst at the bottom of the pyramid (BoP) lies the largest socio-economic group consisting of 4 billion people who make ends meet on $2 per day. The BOP strategy, first discussed by Professor Prahalad (1998)…
In C.K. Prahalad’s book, “The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits” he discusses the plethora of opportunities out there by catering to the BOP market. Additionally, he talks about how this would work and the benefits to all stakeholders involved. This was quite an interesting read as it allowed to me to see this issue from a different perspective and altered my views on this subject. The Bottom of the Pyramid, or BOP market represents the 4 billion of the world’s…
The Fortune at the Bottom on the Pyramid (Prahalad and Hart) Question: Can focusing your growth strategy at the bottom of the world’s economic pyramid provide financial growth, drive innovation and an opportunity for the poor to better themselves? MNC’s (Multinational Corporations) have primarily focused growth, innovation, marketing and resources at the top of Economic Pyramid. The top of the pyramid represents 100M consumers comprised of upper and middle income that have >$20K in annual income…
are met. This system is based on a pyramid, “the lower levels of the pyramid before they can successfully be motivated to tackle the next levels. The lowest four levels represent deficiency needs, and the upper three levels represent growth needs” (Martin & Joomis, 2007, Pg. 72-75). Maslow's hierarchy of needs can be seen most in the shape of a pyramid. Whereas the pyramid has become the average way to represent the hierarchy, Maslow himself never used a pyramid to describe these levels in any of…
reparation of the JCB machine to renovate the pond and to finally give a chance to all villagers to have access to clean water. 4. Carry out a base-of-the-pyramid competency analysis to suggest the competencies that were reflected through Sohan Lal’s way of approaching issues and making decisions in the Indian context. The base-of-the-pyramid model introduced by Prahalad proposes the idea that: “The poor present a vast untapped business opportunity, and if companies serve the poor, they can help…
Pyramid’s Construction: The construction of the Great Pyramid of Giza has long been debated. Most theories of the Great Pyramid’s construction include using ramps and pulley mechanisms in order to move such massive stones, but exactly how has remained a mystery. There is a theory on how the Egyptians attained the large workforce needed for the construction of the Great Pyramid. Egyptologists Mark Lehner and Zahi Hawass believe that the Great Pyramid was built by a willing labor force as opposed to…
Tom Robinson and she realizes of the negative accusations that are forced upon Tom because of his social class and race. Therefore, Lee depicts that people’s social class is thus determined by fate. Fate placed African Americans on the bottom of the social pyramid in the eyes of the white citizens. One event that proves this statement, is that during the time of the trial, Robert Ewell (the father of Mayella Ewell) is testifying against Tom and he begins to describe to the jury and audience of how…
enemies in the bottom register. LUXURY ITEM Old Kingdom- Old Kingdom was the first to have Megalithic architecture. Imhotep (architect)- Funerary complex of King Zoser (Djoser), Saqqara ca 2500 BCE (Step Pyramid) Imhotep- worshiped like a god. 13 false doors and 1 actual door. 5 Mastabas on top of each other Old Kingdom-Pyramids at Giza dates vary; the three main people buried Kahfre, Kufu, Menakaure. Great Pyramid of Kahfre, Giza, ca. 2551-28 BCE (Largest/Oldest tomb) Pyramid of Kufu, Limestone…
Getting Safe Water and Sanitation to the Botttom of the Pyramid through Bold and Game-changing Innovations Accelerating Water.org’s vision by IXL Center As one coconut after another broke open next to shiny new water taps, afternoon air with great festivity. this as representing just a tiny sliver of the one billion people lacking access to safe water and 2.5 billion individuals without basic sanitation. “We need to keep pushing the envelope and look at bigger and bolder solutions that will further…
David Flint Honors Bio Flow of Energy a. Why is phytoplankton found at the bottom of each of the 3 pyramids? Phytoplankton are found at the bottom of the three triangle because they are the smallest things in that food chain. There is nothing that they can eat and they are easy pray for all the other bigger predators. b. What do you think “trophic levels” are? A tropic level is a rating of how much energy they provide and how much energy they need. With 1 being the lowest amount…