Publication

K4D Helpdesk Report

Balancing Profit-Making with Social Value Creation: Challenges, Opportunities and Lessons Learned

Published on 25 June 2018

Corporate businesses and investors are increasingly aware about the potential source of profit and rich institutional ecosystem that can be ‘tapped’ to facilitate engagement with Base of the Pyramid (BoP) markets in developing countries. To be successful by making a profit from these markets and combining this by making a positive impact on poor communities means adapting a specific business approach that is not replicable from formal economies. The literature shows that corporate businesses and investors who engage with the BoP must consider investing time and money in special partnerships with local stakeholders (preferably in informal economies), making use of innovative payment methods, and taking into account gender issues to increase impact, while accepting a lower return on investment (Ngoasong et al., 2015).

Cite this publication

Quak, E. (2018) Balancing Profit-Making with Social Value Creation: Challenges, Opportunities and Lessons Learned. K4D Helpdesk Report. Brighton, UK: Institute of Development Studies.

Authors

Evert-jan Quak

Research Officer

Publication details

authors
Quak, Evert-Jan
language
English

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