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The authors aim to examine the potential opportunities and challenges multinationals operating in Africa are likely to encounter when they seek to pioneer disruptive innovations at the base of the pyramid (BoP) in African emerging markets.

Drawing on the extant literature on the BoP, disruptive innovation and the African business context, the authors explore the pioneering of disruptive innovations in the African socio-economic context.

This study develops various hypotheses to extend our understanding of disruptive innovations at the BoP. The authors also delineate potential managerial and institutional challenges multinational corporations (MNCs) are likely to encounter in their efforts to pioneering disruptive innovations for BoP customers in African emerging markets.

The authors develop some recommendations for MNCs on how to create and capture value from disruptive innovations in African emerging markets

The authors delineate African context-specific managerial and institutional challenges that MNCs might encounter when seeking to develop disruptive innovation at the BoP.

Pro-poor innovations are innovations targeted at economically poor consumers. These innovations have the potential to improve consumer wellbeing. However, while take up of some such innovations has been rapid (e.g., mobile phones) take up of others has been slower (e.g., fuel efficient stoves). What explains why some pro-poor innovations fail and some succeed? While the literature on consumer innovation adoption in economically wealthy countries is vast, there is very little literature in the context of the “bottom-of-the-pyramid” (BoP) and subsistence marketplaces. This chapter aims to begin answering this question through a review of the extant literature in the area of consumer innovation adoption, which is integrated with literature in the area of consumption within subsistence marketplaces and the BoP. A conceptual model is proposed which outlines key parameters for marketers and managers. The chapter closes by outlining implications and a future research agenda.

This paper aims to investigate the factors a multinational corporation should adapt when doing business at the bottom of the pyramid (BoP) markets.

Based on a systematic literature review on BoP, value chain and innovation, an integrative framework is introduced for analysing business readiness in BoP: organisation, value chain and strategy. Four diverse cases were analysed: GE's reverse innovation project, GrameenPhone, Essilor, and P&G's PuR.

BoP project should be a top‐down supported separate entity with its own strategic processes and financial measurements. Working in the value chain requires diverse thinking in terms of interactivity, partners, setup, and governance. Involving customers and consumers in the innovation process is crucial. The venture also needs to make its offerings accessible, affordable, acceptable, available, and valuable to the customers. A step‐by‐step scale‐up must be followed.

The BoP framework can be used as a practical roadmap for companies to analyse the readiness of the business venture and strategy development.

This paper aims to analyse the factors that influence frugal innovation (FI) in micro- and small enterprises (MSEs) at the base of the pyramid (BOP) through the theoretical lens of dynamic capabilities. The input–process–output (I-P-O) framework was used as a tool to support the analysis of FI as a process.

A multiple case study was performed with 25 MSEs at the BOP in Brazil, all of which were in the food industry.

This study indicates that dynamic capabilities are present in enterprises that are migrating to low income and middle-class consumers, which influences their FI practices. To analyse FI in the context of MSEs at the BOP, the I-P-O framework was adapted. Enterprises that have focussed on extremely poor and subsistence markets develop more disruptive innovation, aiming to reduce the final prices they charge consumers. The primary focus of these enterprises is on maintaining ordinary capabilities. Enterprises that have focussed on low income and middle-class customers have implemented incremental innovation, adding value based on colonial tastes and close relationships with their consumers. Such a strategy demands changes in the physical facilities, use of social media and investment in quality control of these enterprises. Considerations for policymakers and institutions are also presented.

The use of a dynamic capabilities lens in such a context is a new approach and provides a relevant basis for further studies. The study has identified different approaches to FI and different sets of barriers and successful practices, both related to the target market segment, that could leverage FI. This study contributes to case studies from Brazil, spreading the research context beyond Asia.

The article aims to combine research priorities in the service domain with the emerging topic of service management for the base of the pyramid (BoP). This combination allows us to construct an agenda for service research at the BoP.

The paper uses bibliographic methods for structuring the BoP contributions, and a literature review for the current research priorities in the service domain.

First, the paper highlights the main topics in the emerging BoP debate. Second, the paper constructs a research agenda for service management at the BoP. This agenda can guide service researchers in the selection of feasible empirical fields, support them in finding appropriate research designs, and finally, help them to develop suitable theoretical perspectives.

Limitations arise from the literature review and bibliographic methods themselves.

Service research on the BoP provides new ideas for practitioners interested in learning about BoP markets, strategies, and entrepreneurial initiatives.

Understanding the need to explore BoP activities is fundamental to working with a huge segment of society, not only as passive consumers, but also as genuine entrepreneurs capable of creating and managing “inclusive” innovations.

The research agenda for future service management offers a relevant source of ideas and guidance for interested researchers to rethink their empirical fields, research approaches, and theoretical perspectives.

This article examines the strategic actions of multinational corporations (MNCs) in creating social value at the base of the pyramid (BoP), providing insights into novel business models (BMs) and tactics employed for poverty alleviation.

This conceptual article links three relevant pieces of literature – creating shared value (CSV), the three-value creation logic and the three core values of social development – to analyze the current research and real-world examples of MNCs implementing the BoP BMs.

The article identifies four strategies and 11 tactics used by MNCs to adapt BMs elements (value proposition, value constellation and value capture) and generate social value at the different levels (coverture of basic needs, self-esteem and freedom from servitude) by following the distinct value creation logics (chain, shop and network).

This article provides a conceptual framework that links relevant literature and sheds light on the strategic actions that MNCs apply in their BMs to tackle the multidimensionality of poverty in the BoP markets.

The study aims to present a systematic literature review (SLR) to understand the current status of research on social media usage among the bottom of the pyramid (BOP). The purpose of this study is to identify the research gaps in this domain and review future research agendas by using theory, context, characteristics and methods [TCCM] framework.

An SLR, keywords co-occurrence and TCCM analysis were used to analyse and synthesize insights from 44 studies gained from Web of Science and Scopus databases.

The findings suggest that the USA and India are popular contexts for studying BOP. The BOP population uses social media to gain utilitarian, hedonic and social values. Further, social media can help BOP explore “entrepreneurship” opportunities, value co-creation and bring innovations.

This study expands the intellectual boundaries of social media at BOP and suggests multidisciplinary research. Additionally, adopting novel theoretical lenses helped determine social media's impact on BOP.

The purpose of this chapter is twofold. First, to investigate how multi-domestic, multinational corporations (MNCs) can develop business models that are appropriate to “Bottom-of-the-Pyramid” (BOP) settings. Second, to address how they can apply elements of BOP business models across their operations. We use the case of the entry of the Norwegian mobile telecom MNC Telenor into India as the empirical context. Prior to India, Telenor had operated successfully in Asian emerging economies by adapting its business model to local conditions. However, it had only operated in the upper income tiers of these countries. In India, its late entry meant that for the first time in its history it had to move beyond these upper income tiers and develop a business model suited to BOP. We apply an economic model terminology as a means to gauging the degree of business model innovation Telenor undertook. Telenor succeeded in its development of a BOP business model by working in close partnership with local firms. Although Telenor in India was operating at BOP, a number of the resultant innovations were deemed by Telenor to be transferable to top-of-the-pyramid operations across Telenor. In order to succeed in developing BOP business models MNCs must go beyond local responsiveness and engage closely with local partners. However, transference of elements of BOP business models to other parts of the MNC is contingent on there being a centralized integrating capability.

The purpose of this paper is to suggest that firms should transpose bottom-of-the-pyramid (BOP) strategies to top-of-the-pyramid (TOP) countries through adapted business models, noting that strategies usually apply to developing countries. This would enable them to address the consequences of the economic crisis that has increased the number of poor and financially constrained customers in developed countries.

This is a conceptual article based on current research and multiple examples from real-world companies that have implemented BOP business models. These are viewed from the angle of frugal innovation, a fresh perspective on innovation as an outcome and process, which means innovating while significantly economizing the use of scarce resources.

The paper explains how firms should adapt the three dimensions of their business models (value proposition, resources and competences and organization) to transpose BOP business models to TOP countries. Limitations and advantages of this transposition are also detailed.

A lack of prior research on how firms can confront poverty in TOP countries is emphasized. Further studies are needed to help firms adapt to the new economic conditions in TOP countries.

Practitioners can use the recommendations herein to adapt their business models and address dramatic economic and social changes in the developed countries in which they function.

Considering the differences between developed and developing countries, firms should promote a BOP mind-set, rather than struggling to transpose full BOP business models to TOP settings.

To enhance the understanding of the moderating influence of different bottom of the pyramid (BOP) income segments on the antecedents of pro-poor innovation acceptance.

In this study, 320 BOP consumers with a range of low-to-moderate literacy and low-income levels were used as a convenience non-probability sample for undertaking quantitative analyses.

Only the influence of perceived usefulness on intention is moderated by income segments, such that the effect will be stronger for low-income BOP segment. Moreover, the influences of relative advantage, compatibility and observability on intention are moderated by income segments.

This empirical work has considerable private sector and public policy implications for companies and government designing/selling products for millions of poor people in developing and emerging economies.

This study contributes originally to knowledge in the subject area as there are very few studies that clearly and systematically analyse the key antecedents influencing the adoption intention of pro-poor technological innovations in the BOP market.