Scalability is at the heart of any inclusive business initiative’s (IBI) success. But efforts to achieve it are fraught with unanticipated dangers. Even when equipped with a viable offering at the right price point, firms often fail to convince enough lowincome consumers of its value and thus never achieve the scale needed to make their inclusive venture profitable.
In looking at companies across the emerging world, however, we’ve seen that scale can be achieved. There is indeed a path forward, but as always with important business and social change, the path is a challenging climb. Through our research we’ve identified three broad steps that companies can take to help improve their chances of success with an IBI.
Identify stakeholder-driven processes relevant to your IBI Which stakeholder-driven processes are most critical to the execution of your inclusive business initiative? A review of research papers, journal articles and case studies, revealed six processes relevant to more effective execution of IBIs.
1.Co-creating solutions with local lowincome communities
2.Collaborating with NGOs and small entrepreneurs
3.Partnering with governments 4.Fostering a balanced regulatory environment
5.Reconfiguring organizational structures 6.Gaining top leadership buy-in