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Tell A Friend, The Indian Social Networking Start-up: Differentiating with the Bottom of the Pyramid


Code : SNW0003

Year :

Industry : Social Networking

Region : India

Teaching Note: Available

Structured Assignment : Available

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Introduction:, a Bangalore-based startup, is a unique Internet site. What makes it stand out is that it runs on a model of providing jobs to the highly unorganised workforce, comprising economically poor people like drivers, maids and helpers through social networking3. Founded by Sean Blagsvedt4 and funded by his stepfather Ira Weise, generally caters to those with low monthly incomes. Altruistic use of technology, for the uplifment of the world’s poor, powers the jobsite.And it is just not a plain job portal. It goes beyond that and integrates features of social networking (Annexure I) with job referral for better usability. But there are some major drawbacks like fraudsters stealing member data, circulation of malicious code in the social network and sometimes hiding true information of the jobseeker by the referral in order to get them job. Moreover, it is quite uncertain that this type of job site is going to sustain over the long run.

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Very less is known about India’s informal sector, which has been a storehouse of untapped potential. A vast majority of poor and low-income workers are not aware of how to secure their own income using basic skills. Most often, they are clueless about using the skills they have tacitly acquired. India is one of themost populous countries in theworld next toChina.According to 2000–2001 census, India supports more than 15%of the world population. It had a population of around 1,029 million then, estimated risen to 1,112 million in 2006 and projected to go up to 2,400 million by 2026. Out of India’s more than 396.76 million workforce, 362.08 million (91.3%) are engaged in informal or unorganised employment in 2000–2001. Besides, the employment in the unorganised sector has increased from 369.0 million in 1999–2000 to 432.66 million in 2004–2005; whereas employment in the organised sector has declined from 27.96 million in 1999–2000 to 26.44 million in 2004–2005.

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