IDEAS home Printed from https://ideas.repec.org/a/eee/proeco/v170y2015ipbp413-421.html
   My bibliography  Save this article

Wealth and health at the Base of the Pyramid: Modelling trade-offs and complementarities for fast moving dairy product case

Author

Listed:
  • Reiner, Gerald
  • Gold, Stefan
  • Hahn, Rüdiger

Abstract

This paper models the localized Base of the Pyramid (BoP) supply and demand chain of a fast moving dairy product within its (social and business) environment for identifying the effects of various pricing strategies on wealth and health of the poor population of Bangladesh. The joint venture of the Grameen Bank and Danone (GD) in Bangladesh is a showcase of integrative BoP projects. It produces fortified yoghurt in a micro-plant and distributes it through micro-entrepreneurs, following a strictly localized approach. The objective of this BoP project is twofold; (1) integrating as many people as possible into productive processes and paying decent prices, wages, and commissions (wealth) and (2) regularly serving as many people as possible with fortified yoghurt (health).

Suggested Citation

  • Reiner, Gerald & Gold, Stefan & Hahn, Rüdiger, 2015. "Wealth and health at the Base of the Pyramid: Modelling trade-offs and complementarities for fast moving dairy product case," International Journal of Production Economics, Elsevier, vol. 170(PB), pages 413-421.
  • Handle: RePEc:eee:proeco:v:170:y:2015:i:pb:p:413-421
    DOI: 10.1016/j.ijpe.2015.08.002
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S092552731500287X
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.ijpe.2015.08.002?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Cristina Connolly & H. Allen Klaiber, 2014. "Does Organic Command a Premium When the Food is Already Local?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 96(4), pages 1102-1116.
    2. Barnes, Jane & Liao, Ying, 2012. "The effect of individual, network, and collaborative competencies on the supply chain management system," International Journal of Production Economics, Elsevier, vol. 140(2), pages 888-899.
    3. Miguel Rivera-Santos & Carlos Rufín, 2010. "Odd Couples: Understanding the Governance of Firm–NGO Alliances," Journal of Business Ethics, Springer, vol. 94(1), pages 55-70, July.
    4. Bertrand Moingeon & Muhammad Yunus & Laurence Lehmann-Ortega, 2010. "Building Social Business Models: Lessons from the Grameen Experience," Post-Print hal-00528385, HAL.
    5. Kelly D. Martin & Ronald Paul Hill, 2012. "Life Satisfaction, Self-Determination, and Consumption Adequacy at the Bottom of the Pyramid," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 38(6), pages 1155-1168.
    6. Gold, Stefan & Hahn, Rüdiger & Seuring, Stefan, 2013. "Sustainable supply chain management in “Base of the Pyramid” food projects—A path to triple bottom line approaches for multinationals?," International Business Review, Elsevier, vol. 22(5), pages 784-799.
    7. Hahn, Rüdiger & Gold, Stefan, 2014. "Resources and governance in “base of the pyramid”-partnerships: Assessing collaborations between businesses and non-business actors," Journal of Business Research, Elsevier, vol. 67(7), pages 1321-1333.
    8. Kumar, Ashish & Shankar, Ravi & Momaya, Kiran & Gupte, Sandeep, 2010. "The market for wireless electricity: The case of India," Energy Policy, Elsevier, vol. 38(3), pages 1537-1547, March.
    9. John D. Sterman & Rebecca Henderson & Eric D. Beinhocker & Lee I. Newman, 2007. "Getting Big Too Fast: Strategic Dynamics with Increasing Returns and Bounded Rationality," Management Science, INFORMS, vol. 53(4), pages 683-696, April.
    10. Jabbar, M. A. & Ehui, S. K. & Von Kaufmann, R., 2002. "Supply and Demand for Livestock Credit in Sub-Saharan Africa: Lessons for Designing New Credit Schemes," World Development, Elsevier, vol. 30(6), pages 1029-1042, June.
    11. Erik Simanis & Stuart Hart & Duncan Duke, 2008. "The Base of the Pyramid Protocol: Beyond "Basic Needs" Business Strategies," Innovations: Technology, Governance, Globalization, MIT Press, vol. 3(1), pages 57-84, January.
    12. Ted London & Stuart L Hart, 2004. "Reinventing strategies for emerging markets: beyond the transnational model," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 35(5), pages 350-370, September.
    13. Weidner, Kelly L. & Rosa, José Antonio & Viswanathan, Madhu, 2010. "Marketing to subsistence consumers: Lessons from practice," Journal of Business Research, Elsevier, vol. 63(6), pages 559-569, June.
    14. Nicolas Dahan & Jonathan P. Doh & Jennifer Oetzel & Michael Yaziji, 2010. "Corporate-NGO Collaboration: Co-creating New Business Models for Developing Markets," Post-Print hal-00565517, HAL.
    15. Sodhi, ManMohan S. & Tang, Christopher S., 2011. "Social enterprises as supply-chain enablers for the poor," Socio-Economic Planning Sciences, Elsevier, vol. 45(4), pages 146-153, December.
    16. Größler, Andreas & Löpsinger, Tobias & Stotz, Myrjam & Wörner, H., 2008. "Analyzing price and product strategies with a comprehensive system dynamics model--A case study from the capital goods industry," Journal of Business Research, Elsevier, vol. 61(11), pages 1136-1142, November.
    17. Robert B. Handfield & Christian Bechtel, 2004. "Trust, power, dependence, and economics: can SCM research borrow paradigms?," International Journal of Integrated Supply Management, Inderscience Enterprises Ltd, vol. 1(1), pages 3-32.
    18. Anderson, Siwan & Eswaran, Mukesh, 2009. "What determines female autonomy? Evidence from Bangladesh," Journal of Development Economics, Elsevier, vol. 90(2), pages 179-191, November.
    19. Rüdiger Hahn, 2009. "The Ethical Rational of Business for the Poor – Integrating the Concepts Bottom of the Pyramid, Sustainable Development, and Corporate Citizenship," Journal of Business Ethics, Springer, vol. 84(3), pages 313-324, February.
    20. Gaëlle Balineau & Ivan Dufeu, 2010. "Are Fair Trade Goods Credence Goods? A New Proposal, with French Illustrations [Les produits du Commerce Equitable sont-ils des biens de croyance ?]," Post-Print hal-02814413, HAL.
    21. Bernard Garrette & Aneel Karnani, 2010. "Challenges in Marketing Socially Useful Goods to the Poor," Post-Print hal-00517194, HAL.
    22. Kabeer, Naila, 2001. "Conflicts Over Credit: Re-Evaluating the Empowerment Potential of Loans to Women in Rural Bangladesh," World Development, Elsevier, vol. 29(1), pages 63-84, January.
    23. John D. Sterman & Nelson P. Repenning & Fred Kofman, 1997. "Unanticipated Side Effects of Successful Quality Programs: Exploring a Paradox of Organizational Improvement," Management Science, INFORMS, vol. 43(4), pages 503-521, April.
    24. Brandenburg, Marcus & Govindan, Kannan & Sarkis, Joseph & Seuring, Stefan, 2014. "Quantitative models for sustainable supply chain management: Developments and directions," European Journal of Operational Research, Elsevier, vol. 233(2), pages 299-312.
    25. Gaëlle Balineau & Ivan Dufeu, 2010. "Are Fair Trade Goods Credence Goods? A New Proposal, with French Illustrations," Journal of Business Ethics, Springer, vol. 92(2), pages 331-345, April.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Sharma, Varun & Vijayaraghavan, T.A.S. & Raghu Ram, Tata L., 2023. "Resolving operational paradox of sustainable supply chain: A decision framework approach," Socio-Economic Planning Sciences, Elsevier, vol. 87(PB).
    2. Beltagui, Ahmad & Kunz, Nathan & Gold, Stefan, 2020. "The role of 3D printing and open design on adoption of socially sustainable supply chain innovation," International Journal of Production Economics, Elsevier, vol. 221(C).
    3. Rubén Michael Rodríguez‐González & Gonzalo Maldonado‐Guzman & Antonia Madrid‐Guijarro, 2022. "The effect of green strategies and eco‐innovation on Mexican automotive industry sustainable and financial performance: Sustainable supply chains as a mediating variable," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(4), pages 779-794, July.
    4. Spencer Henson & Jessica Agnew, 2021. "Are market‐based solutions a viable strategy for addressing micronutrient deficiency? Lessons from case studies in sub‐Saharan Africa and South Asia," Development Policy Review, Overseas Development Institute, vol. 39(2), pages 233-249, March.
    5. Brix-Asala, Carolin & Hahn, Rüdiger & Seuring, Stefan, 2016. "Reverse logistics and informal valorisation at the Base of the Pyramid: A case study on sustainability synergies and trade-offs," European Management Journal, Elsevier, vol. 34(4), pages 414-423.
    6. Rosca, Eugenia & Bendul, Julia C., 2019. "Value chain integration of base of the pyramid consumers: An empirical study of drivers and performance outcomes," International Business Review, Elsevier, vol. 28(1), pages 162-176.
    7. Stefan Gold & Ilma Nur Chowdhury & Fahian Anisul Huq & Kristin Heinemann, 2020. "Social business collaboration at the bottom of the pyramid: The case of orchestration," Business Strategy and the Environment, Wiley Blackwell, vol. 29(1), pages 262-275, January.
    8. Zviemurwi J. Chihambakwe & Sara S. (Saartjie) Grobbelaar & Stephen Matope, 2021. "Creating Shared Value in BoP Communities with Micro-Manufacturing Factories: A Systematized Literature Review," Sustainability, MDPI, vol. 13(18), pages 1-22, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rosca, Eugenia & Bendul, Julia C., 2019. "Value chain integration of base of the pyramid consumers: An empirical study of drivers and performance outcomes," International Business Review, Elsevier, vol. 28(1), pages 162-176.
    2. Raja Usman Khalid & Stefan Seuring, 2019. "Analyzing Base-of-the-Pyramid Research from a (Sustainable) Supply Chain Perspective," Journal of Business Ethics, Springer, vol. 155(3), pages 663-686, March.
    3. Simon Joncourt & Heiko Gebauer & Javier Reynoso & Karla Cabrera & Ana Valdes & Katharina Greve, 2019. "Extending the Base-of-the-Pyramid Concept," Service Science, INFORMS, vol. 11(3), pages 241-261, October.
    4. Gold, Stefan & Hahn, Rüdiger & Seuring, Stefan, 2013. "Sustainable supply chain management in “Base of the Pyramid” food projects—A path to triple bottom line approaches for multinationals?," International Business Review, Elsevier, vol. 22(5), pages 784-799.
    5. Addisu A. Lashitew & Somendra Narayan & Eugenia Rosca & Lydia Bals, 2022. "Creating Social Value for the ‘Base of the Pyramid’: An Integrative Review and Research Agenda," Journal of Business Ethics, Springer, vol. 178(2), pages 445-466, June.
    6. Anton Shevchenko & Xiaodan Pan & Goran Calic, 2020. "Exploring the effect of environmental orientation on financial decisions of businesses at the bottom of the pyramid: Evidence from the microlending context," Business Strategy and the Environment, Wiley Blackwell, vol. 29(5), pages 1876-1886, July.
    7. Hahn, Rüdiger & Gold, Stefan, 2014. "Resources and governance in “base of the pyramid”-partnerships: Assessing collaborations between businesses and non-business actors," Journal of Business Research, Elsevier, vol. 67(7), pages 1321-1333.
    8. Krzysztof Dembek & Nagaraj Sivasubramaniam & Danielle A. Chmielewski, 2020. "A Systematic Review of the Bottom/Base of the Pyramid Literature: Cumulative Evidence and Future Directions," Journal of Business Ethics, Springer, vol. 165(3), pages 365-382, September.
    9. Christian Schrader & Juergen Freimann & Stefan Seuring, 2012. "Business Strategy at the Base of the Pyramid," Business Strategy and the Environment, Wiley Blackwell, vol. 21(5), pages 281-298, July.
    10. Brix-Asala, Carolin & Hahn, Rüdiger & Seuring, Stefan, 2016. "Reverse logistics and informal valorisation at the Base of the Pyramid: A case study on sustainability synergies and trade-offs," European Management Journal, Elsevier, vol. 34(4), pages 414-423.
    11. Angeli, Federica & Jaiswal, Anand Kumar & Shrivastava, Saumya, 2022. "Integrating poverty alleviation and environmental protection efforts: A socio-ecological perspective on menstrual health management," Social Science & Medicine, Elsevier, vol. 314(C).
    12. Danielle A. Chmielewski & Krzysztof Dembek & Jennifer R. Beckett, 2020. "‘Business Unusual’: Building BoP 3.0," Journal of Business Ethics, Springer, vol. 161(1), pages 211-229, January.
    13. Musteen, Martina & Rhyne, Lawrence & Zheng, Congcong, 2013. "Asset or constraint: Corporate reputation and MNCs’ involvement in the least developed countries," Journal of World Business, Elsevier, vol. 48(3), pages 321-328.
    14. Winterhalter, Stephan & Zeschky, Marco B. & Neumann, Lukas & Gassmann, Oliver, 2017. "Business Models for Frugal Innovation in Emerging Markets: The Case of the Medical Device and Laboratory Equipment Industry," Technovation, Elsevier, vol. 66, pages 3-13.
    15. Rivera-Santos, Miguel & Rufín, Carlos & Kolk, Ans, 2012. "Bridging the institutional divide: Partnerships in subsistence markets," Journal of Business Research, Elsevier, vol. 65(12), pages 1721-1727.
    16. Anaka Aiyar & Srinivas Venugopal, 2020. "Addressing the Ethical Challenge of Market Inclusion in Base-of-the-Pyramid Markets: A Macromarketing Approach," Journal of Business Ethics, Springer, vol. 164(2), pages 243-260, June.
    17. ManMohan S. Sodhi & James Knuckles, 2021. "Development‐Aid Supply Chains for Economic Development and Post‐Disaster Recovery," Production and Operations Management, Production and Operations Management Society, vol. 30(12), pages 4412-4434, December.
    18. Stefan Gold & Ilma Nur Chowdhury & Fahian Anisul Huq & Kristin Heinemann, 2020. "Social business collaboration at the bottom of the pyramid: The case of orchestration," Business Strategy and the Environment, Wiley Blackwell, vol. 29(1), pages 262-275, January.
    19. Praceus, Sarah & Herstatt, Cornelius, 2012. "Consumer innovation in the poor versus rich world: Some differences and similarities," Working Papers 71, Hamburg University of Technology (TUHH), Institute for Technology and Innovation Management.
    20. Supriya Garikipati & Susan Johnson & Isabelle Guérin & Ariane Szafarz, 2017. "Microfinance and Gender: Issues, Challenges and The Road Ahead," Journal of Development Studies, Taylor & Francis Journals, vol. 53(5), pages 641-648, May.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:proeco:v:170:y:2015:i:pb:p:413-421. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/ijpe .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.