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Base of the Pyramid Markets in Africa: Innovation and Challenges to Sustainability

I BOP marketsThe Base of the Pyramid markets in Africa: Opportunities and challengesIntroduction: defining the “Base of the Pyramid” marketsDevelopment challenges in AfricaApproaches to poverty alleviation in AfricaExperts’ views on the BOPMs in AfricaCees van BeersNiek van DijkBeryl OyierWhat are the main characteristics of BOPMs in the Africa context, in particular concerning innovation, business models, networks, challenges, ets.?Who do you consider as the main players in the BOPMs in Africa?What are the main drivers of BOPMs in Africa?What are the main barriers of BOPMs in Africa?How have the BOP initiatives contributed to the advancement of sustainability more generally, and to the sustainable development of AfricaWhat are the limits of BOP to sustainability, and to sustainable development of Africa?What needs to be done to mitigate the negative consequences of BOP initiatives or ventures in Africa?What is the future of BOPMs in Africa?Concluding remarksNotesReferencesWhy do firms choose to fight poverty?: The motivation behind inclusive business practices in AfricaIntroductionConceptual frameworkThe motives for inclusive business practicesHow motives affect inclusiveness strategiesLaissez faire (disengagement)Instrumental strategiesLight engagement strategiesDeep engagement strategiesHypothesesIntrinsic motivesExtrinsic (economic) motivesMixed motivesMethodologySampling and empirical frameworkMeasurement of variablesResultsDescriptive resultsRegression resultsConclusionReferencesII Drivers and barriers of BOP marketsJuxtaposing supply- and demand-side drivers and barriers of technology adoption at the Base of the Pyramid markets in UgandaBackgroundBugiri Agribusiness Institutions Development Association (BAIDA)Zirobwe Agali Awamu Agribusiness Training Association (ZAABTA)The EzyAgric mobile platformLiterature reviewAdoption of agricultural innovation in developing economiesMobile-based market and agricultural interactionAttitudes towards risk-taking among farmersWealth and income constraints to adoptionMethodologyFindings and discussionsSupply-side drivers and barriers of adoptionDemand-side drivers and barriers to adoptionMarket linkages (linkages to markets of technology, inputs, and outputs)Conclusions and recommendationsLimitations and suggestions for further studiesReferencesRisk and social value creation in volatile BOP markets: A case study from SomaliaIntroductionLiterature review and research contextForeign firm entry and operations in volatile marketsConstruction sector in volatile markets and specificities of the Somalian contextConstruction industry, BOP markets, and value creationResearch methodologyResearch method choice and the case firmData collection and analysisFindingsBase of the Pyramid and case firm’s perceptionsMarket entry in Somalia: risk perceptionOperation mode in Somalia and home country influencesDealing with institutional voidsSocial value creation for BOP consumers in SomaliaDiscussion and conclusionsReferencesBOP business models and partnerships in the context of state failureIntroductionLiterature review: MNCs working in the shadow of institutional failureBOP 1.0 to 2.0Strategic philanthropy and cross-sector collaborationTheory and conceptual framingAlliance theory and cross-sector partnerships: leveraging resources towards local institutional capacity buildingSector-based resources: state, social sector, and marketsCases of cross-sector partnerships for building institutional capacityCase 1. Capacity building governmental agencies – Project Last MileCase 2. Capacity building society: organizing to support smallholder farmers – Hello TractorCase 3. Capacity building emerging industry: skills, quality standards, and technology – Partners in Food Solutions (PFS)Case discussionConclusionsNotesReferencesIII Roles, cooperation, and structure in BOP marketsAddressing social sustainability on Base of the Pyramid markets through business model innovations: A comparative study within Africa’s fashion industryIntroductionLiterature reviewTheoretical synthesis and conceptual framework developmentMethodologyResearch context: the significance of sub-Saharan Africa’s fashion industry for social enterprisesTremendous economic scope and entrepreneurial opportunitiesPriority sector for employment generation, socio-economic, and structural transformationsImportance for social sustainability, local, and inclusive development impactsResearch design: comparative case studyFindingsImpacts on components of business model innovation for sustainability in the fashion industry.Characteristics of components of business model innovation for sustainability.DiscussionConclusionReferencesAppendixWomen’s economic empowerment and agricultural value chain development: Evidence from Mashonaland West Province in ZimbabweIntroductionWomen’s economic empowermentValue chain development and women in agro-businessesThe concepts of value chain and value chain developmentActors, supporters, and the context of value chain developmentGender and value chain developmentResearch methodologyDemographic profile of respondentsDemographic profile of questionnaire survey respondentsDemographic profile of in-depth interview respondentsBackground on farming activitiesResultsPre-production challengesPost-production challengesEffect of education on pre-production and post-production challengesSocio-cultural challengesQualitative insights on the challengesDiscussion of resultsPre-production challenges and value chain developmentPost-production challenges and value chain developmentSocio-cultural factors and value chain developmentWomen in agro-businesses and implications for value chain developmentConclusionReferencesIV Design, integration, innovation, and change of BOP marketsBuilding and scaling social enterprise business models for BOP markets in KenyaIntroductionTheoretical backgroundBuilding social enterprise business models for BOP markets in AfricaScaling social enterprise business models for BOP markets in AfricaMethodologyResearch settingData collectionData analysisFindingsHow social enterprises build business models for BOP markets in KenyaAwarenessAcceptabilityAvailabilityAffordabilityHow social enterprise scale business models for BOP markets in KenyaMarket penetrationMarket developmentProduct developmentDiversification scaling strategiesDiscussion and conclusionsReferencesFrom informal to formal and back: Theoretical reflections on the formal – informal divide in the Base of the Pyramid marketIntroductionA theoretical framework on the formal/informal divideThe idea of informality in an historical viewStructural approach to the formal–informal relationshipApproaches that focus on individual agency in moving between formal and informalMobile money in KenyaThe development of mobile money in Africa and in KenyaReflections on the formal – informal divide for the mobile money phenomenonGeneral positive aspects and critiquesSuccesses and controversial issues in the M-PESA caseSmall-scale enterprises: observations from EthiopiaEconomic growth and support to MSEsLabour market dynamics and informalisationConclusionsNotesReferences

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