1. Charity Cannot Solve Poverty
November 1, 2015@ Marcus Evans PWM Summit
Kuala Lumpur
2. 2 Trillion Dollars
“Charitable gifts from abroad can distort developing markets and undermine local businesses by
creating an entirely unsustainable aid-based economy.”
4. Buy 1, Give 1
“Toms isn’t designed to build the economies of
developing countries. It’s designed to make
western consumers feel good.”
5. Base of the Pyramid (BoP)
BoP is a source of untapped entrepreneurial
opportunity
• 4 billion people living in emerging
economies.
• Combined purchasing power of $5 trillion.
• 71.4% of the BoP population live in Asia
8. Opportunities at the BoP
Basic Needs and Services of BoP markets
• Food & Nutrition: fortified food
• Health care: mHealth
• Water: filtration Systems
• Sanitation: toilets
• Energy: solar lamps
• Housing: winter homes
Other Products and Services
• Education: MOOC
• Financial services: micro-finance
• Entertainment: movies
• ICT: cellphones
• FMCG: soaps
ICT
Financial
Services
Housing Water
Food &
Nutrition
FMCG
Health
Care
Sectors
EnergySanitation
9. Challenges at the BoP
Changing consumer’s behavior
◦ Resistance of new products and services
◦ Greater the novelty = greater the disruption
Rethinking the way products are made
and delivered to customers
◦ Undeveloped market infrastructure
◦ Lower price points
◦ Rural markets
11. BRAC
•Microfinance: $1 billion a year
•Universities and Hotels
•Livestock and Farms
•Packaging factories
•mHealth services
•Theatres
•Sanitation products
•Livelihood and empowerment programs
12. Indicators for a good social enterprise
•Financial Profitability
• Maximization/Optimization of profits
• Business-oriented team
• Sustainability Plan
•“non-traditional” indicators
• Innovation
• Adaptability
• Social impact
• Social Entrepeneur
• Demand-driven
18. SaniShop Cambodia - 2011
More than selling toilets
•Expert designed and engineered product
•Identification of low-cost material suppliers
•Costs cutting by creating local partnerships
•Tapping onto the entrepreneur spirits of the
local community
•Aspirational marketing
21. BoP Accelerator
JV Social
Enterprise
BoP
HUB
MNCFunders
• Convener
• Business Development &
Strategy
• BoP HUB network
• Base of the Pyramid expertise
• Financial Equity
• Sweat Equity
• Impact Investors
• Governments
• Foundations
• Social Entrepreneurs
BoP HUB will fill all the gaps for
MNCs who are trying to
successfully enter the BoP
22. Fortified Rice - Nutrition
JV Social
Enterprise
BoP
HUB
MNCFunders
To scale and accelerate rice
fortification in the BoP market