The role of social value creation in business model formulation at the bottom of the pyramid – Implications for MNEs?

Noemi Sinkovics, Rudolf R. Sinkovics, Mo Yamin
  • International Business Review, August 2014, Elsevier
  • DOI: 10.1016/j.ibusrev.2013.12.004

The role of social value creation in business model formulation at the BOP

What is it about?

This paper presents an exploratory study of how social value creation and business models may be interrelated in the context of the bottom of the pyramid (BOP) business formation. We develop our analysis around five case studies of actual businesses set up in rural India by people in the BOP. We attempt to draw implications from the performance of the business models in the BOP for what MNE strategies of engagement with the BOP may learn from the processes we analysed.

Why is it important?

Some advanced-country MNEs face difficulties with their business models at the Bottom of the Pyramid. Here is why.

Perspectives

Dr Noemi Sinkovics
University of Manchester

Creating social value at the BOP requires closer relationships with the local community, or "legitimacy".

Read Publication

http://dx.doi.org/10.1016/j.ibusrev.2013.12.004

The following have contributed to this page: Professor Rudolf R Sinkovics and Dr Noemi Sinkovics