Base of the Pyramid Protocol & How the Solae Company Tested it in India

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Case Details:

Case Code : BSTR292
Case Length : 15 Pages
Period : 2006-2008
Pub Date : 2008
Teaching Note :Not Available
Organization : The Solae Company
Themes: Business Model
Industry : Food and Beverage
Countries : India, Global

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Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Excerpts

BOP Protocol Process

The Protocol identified a formal business process consisting of three phases. Using this, companies could identify and develop sustainable new products for the BoP consumers by forming partnerships with them...

Pre-Field Process
The pre-field activities consisted of selection of field sites, formation of the corporate team, and selection of the local community partners...

In-Field Process
The in-field process consisted of three interdependent phases - opening up, building ecosystem, and enterprise creation (Refer to Table III for the three phases of the BoP Protocol)...

Scaling the Protocol
The BoP Protocol resulted in the establishment of a business by a team from community and the company, with a shared trust and commitment...

Testing the Protocol

The first company to test the protocol was SC Johnson, which launched the BoP project in Nairobi, Kenya, in a slum, Kibera, and in a rural area, the Nyota township (Refer to Exhibit II for SC Johnson - Testing BoP Protocol in Kenya)...

Pre-Field Process

The BoP Protocol implementation in India began in April 2006. Solae's BoP initiative was supported by the CEO of the company. A senior director was also actively involved in the process...

In-Field Process

Phase I - Opening Up
After the teams were formed, the team from Solae began interacting with the community and forming relationships. In Hyderabad, SIDUR set up a small tent at one of the central locations in Rasul Pura...

Conclusion

The BoP protocol can be scaled up or down, depending on the needs. Though initially, it was tested by huge multinationals with a global presence, the processes can be replicated by companies of any size. Again, it is not limited just to companies, but can be carried out by NGOs and small organizations intending to find sustainable ways of working with the BoP consumers...

Exhibits

Exhibit I: Mutual Value Creation
Exhibit II: SC Johnson - Testing the BoP Protocol in Kenya

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