BizBOP- Fall’16
Wiese - Syllabus
BUS/IPE 361A - Business at the Base of the Pyramid:
Opportunities and Challenges
Nila M. Wiese, Ph.D.
Professor & Director of Business Leadership Program
Office: McIntyre 111H / Bus/IPE 361APhone: 253-879-3390 / Fall 2016
e-mail: / T/T 9:30-10:50
Office Hours: Wednesday 10:00-12:00
If these times do not work for you, I am always
available by appointment. / MC307
Course themes
The base of the pyramid (BOP) refers to the estimated 4.5 billion people living on less than $8 per day. Currently, various approaches exist as to how best to align business activity with the needs and potential of this segment of the global population. Those at the base of the pyramid can be seen as a large untapped market of demanding consumers, as creative entrepreneurs, as business partners, and as innovators. This course examines the various BOP perspectives to need satisfaction, poverty alleviation, and economic growth through business activity. The course focuses especially on identifying emerging business models that might address individual and social needs in an innovative, profitable, sustainable, and socially-responsible manner. As such, the course examines opportunities and challenges in serving low income markets (i.e., creating social value) while delivering economic returns to the companies involved. We also examine private-public partnerships that may help unleash ‘the fortune at the base of the pyramid.” The course integrates concepts of development economics, international business, and strategy.
Objectives
After successful completion of this course, students will:
- Have a solid foundation on the geographic, demographic, economic, cultural, and behavioral characteristics of the base of the pyramid (BOP) segment.
- Understand the various concepts, paradigms, and perspectives that are currently dominating the conversation over the potential of the BOP as social and economic actors (e.g., consumers, producers, innovators, entrepreneurs, co-value creators).
- Be able to critically assess and evaluate opportunities and challenges presented by the BOP, and develop the leadership skills and creative mindset needed to develop strategic initiatives that fit this market.
- Have developed stronger research, analytical, and communication skills.
Learning Environment
This course is based on an interactive teaching approach and it is designed with your learning needs in mind. Therefore, students’ thorough and diligent preparation and participation inside and outside the classroom are critical. My role is to guide and support your learning; your role is to prepare class material to fully engage in and contribute to your learning and that of your classmates. As such, impeccable attendance, extensive individual preparation of readings and cases, and a willingness to contribute your knowledge and perspectives are expected.
I encourage you to make full use of office hours. You can use office hours as a time to: clarify ideas; get additional readings or materials; go over work in progress; or, discuss careers in the field. You donot have to be having a problem to use office hours, and it is best not to wait until you are having serious difficulties.I look forward to working together this semester to make this course a productive, fun, and lasting learning experience for us all.
I. Class Format
The course is designed in a quasi-seminar style, and offers a variety of teaching tools that may suit different individual learning styles, including lectures, in-class discussions, case analyses, videos, research projects, and individual and team presentations. Assigned readings and cases have been carefully selected to provide you with basic foundations on the topics to be discussed, in-depth analysis of particular aspects or dimensions on selected topics, and examples of specific approaches to the BOP. Assignments have been designed to give you an opportunity to acquire relevant knowledge and to develop and strengthen research, analytical, and communication skills.
The course will be managed through Moodle. I will post updated class schedules, assigned readings, homework, reminders of project deadlines, PowerPoint slides, etc. Please note that the purpose of PowerPoint slides is to help you structure the material presented in class. If you choose to print these slides in advance and bring them to class they may also decrease your writing load so that you can listen and participate more effectively. The slides are not a substitute for attending class and reading them will not be sufficient for performing well in the course. It is your responsibility to stay informed at all times of what is/will be happening in the course, so be sure to check Moodle on adaily basis. Lack of knowledge will not be considered an acceptable excuse for missed assignments orhomework, or for inadequate class preparation.
II. Required Materials
London, T. (2016). The Base of the Pyramid Promise. Stanford University Press.
Casado Cañeque, F. & Hart, S. L., Eds. (2015). Base of the Pyramid 3.0. Greenleaf Publishing.
A packet of business cases is available at the Bookstore.
All other required readings will be posted on Moodle (see schedule below).
III.How Learning will be Assessed
1. Written and Oral Assignments
A. Discussion Leader
Each student will serve as discussion leader for one of the topics assigned. Detailed instructions will be provided and discussed onSeptember 8; they will also be posted on Moodle.
B. Case Analyses
Case analysis is an integral learning tool in international business. Cases give students an opportunity to practice decision making in situations that come close to a real life scenario. Each student will prepare written analyses for three business cases. Detailed instructions will be provided and discussed on September 8; they willalso be posted on Moodle.
C. Experiential Project
The instructor and students will decide jointly on an experiential project consistent with the course’s themes and objectives. Additional instructions will be provided on September 8;they willalso be posted on Moodle.
D. Sector Analysis
This project will involve conducting research and preparing an analysis of a selected
economic sector that offers unique opportunities for developing the potential of individuals and communities at the BOP through business-focused initiatives. Detailed instructions will beprovided on September 8; they will also be posted on Moodle.
2. Active Class Engagement
Participation is a key component of this course, and you are expected to take an active and consistent role in class discussions. I also expect your contributions to class discussions to be insightful and to demonstrate careful and conscientious preparation prior to class. This means that you must read and analyze the assigned material (readings and cases)before class. One way to make contributions is to prepare questions or comments about readings or assignments that you want to have addressed during the class period. During class time, you may be asked to contribute in various ways, including: Reviewing concepts from the previous class session, summarizing an assigned reading, answering discussion questions, applying concepts from readings, etc. If you do not feel comfortable getting involved in open discussions, see me privately to discuss strategies for increasing your involvement. Quizzes may be given, without prior notice, to evaluate careful reading of assigned material. Quizzes will be given during the first ten minutes of class. There will be no make-ups for missed quizzes due to absence or tardiness.
Regular attendance and punctuality are essential for successful completion of this course (see course policies below); remember, if you do not come to class you cannot participate in class! The professor will maintain an ongoing record of your attendance and punctuality. If you must miss class but want to make-up your absence, you may submit up to two 250-300 word written contributions discussing the readings assigned for that day. Thesemust be submitted via e-mail prior to class time. The professor reserves the right to remove a student from the course for excessive absences or tardiness (i.e., more than three such instances).
Throughout the semester, you will be required to complete a number of homework assignments and in-class exercises. Detailed instructions and due dates for these will be posted on Moodle or distributed in class.
Your final grade for active class engagementwill be composed of: Consistency and quality of your contributions to class discussions;level of preparation demonstrated during your participation in course activities;satisfactory completion of homework andin-class exercises;quizzes; attendance and punctuality; and classroom conduct.
3. Exams
There will be no exams for this course. I will evaluate your performance on the basis of written and oral assignments and class engagement as noted above. Remember that I may give random quizzes throughout the semester to ensure diligent and adequate preparation of assigned readings.
IV. Course Policies:
1. Attendance and Punctuality.You are expected to arrive to class on time and to remain in class until the end of the class session. Habitual tardiness is disruptive to the rest of the class and multiple absences will hinder your ability to keep up with the demanding reading schedule of the course; both will result in a significant reduction in your active class engagement grade and even dismissal from the course. Do not schedule trips or any other personal activities during scheduled oral presentations. I will not make special arrangements or give make-up opportunities for anyone with non-emergency conflicts.
2. Academic Dishonesty. You are expected to behave ethically and honestly throughout the development of this course. Due to the nature of this course, collaborative work is encouraged. However, misrepresenting another person’s work as your own, taking credit for someone else’s words or ideas, and soliciting or accepting help on a test or assignment when you are expected to work independently qualify as academic dishonesty. Any case of academic dishonesty will be taken seriously and pursued in accordance with University policies and procedures.
3. Copyright and Fair Use. Course materials are for educational purposes only and limited to
students enrolled in the course. They are protected by copyright law and may not be copied,
downloaded, stored, transmitted, shared or changed in any way outside of the course.
4. Accommodations for Students with Disabilities.If you have a physical, psychological,
medical or learning disability that may impact your course work, please contact Peggy
Perno, Director of the Office of Student Accessibility and Accommodations, Howarth 105,
, 253.879.3395. She will determine with you what
accommodations are necessary and appropriate. All information and documentation is
confidential.
Please notify me during the first two weeks of the semester of any accommodations needed for the course. If you are evaluated as needing accommodations after the first two weeks of the semester, you must notify me as soon as possible and no later than five working days prior to any scheduled exam, assignment, etc. for which you may need accommodations.
5. Re-grading Policy. Any complaints concerning grading should be called to the immediate attention of the professor in the form of a re-grade request. The student requesting the re-grade should indicate the reason(s) he/she believes an item or assignment should be re-graded. If the student believes his/her score on a graded assignment, quiz, exam, etc. contains an error, he/she must submit a written analysis containing the rationale for the error. This analysis needs to be supported by as much documentation from the readings and other sources as possible to have the highest probability of success. Asking verbally or submitting a short note asking the professor to “recheck question #x” for example, is insufficient, and this type of request will not be considered. The re-grade request must be given to the professorin writing, no later than five working days after the graded item is returned to the student. The score on the re-grade will be final.
6. Other Class Conduct: This course is highly interactive and participatory, and the workload is significant. Therefore, I expect each student to contribute to creating an open, harmonious, respectful, and productive learning environment. Some useful guidelines to accomplish this include:
- Contribute to class discussions in a positive and constructive manner, and make your contributions relevant to the issue at hand.
- Address the professor and your classmates in a respectful manner. If a classmate is talking, please wait until he/she is done rather than interrupting them.
- Turn off and put away your cell phones and any other electronic devices.
- Using your laptop computer in class is a privilege not a right, and it is up to the professor’s discretion to allow you to do so. If you plan to use a laptop in class be sure to use it only for the needs of this class. If I notice a student using his/her computer to look up non-class related sites, read or write assignments for other classes, check e-mail, or any other irrelevant activity, I will ban that student from using a laptop for the remainder of the semester.
- Avoid walking in and out of the classroom unless it is absolutely necessary.
- Please do not sleep in class—it is disrespectful to others and a waste of everyone’s time. If you are too tired to attend class, don’t come to class.
7. Student Bereavement Policy
Upon approval from the Dean of Students’ Office, students who experience a death in the
family, including parent, grandparent, sibling, or persons living in the same household, are
allowed three consecutive weekdays of excused absences, as negotiated with the Dean of
Students. For more information, please see the Academic Handbook.
8. Classroom Emergency Response Guidance
Please review university emergency preparedness, response procedures and a training video posted at There is a link on the university home page. Familiarize yourself with hall exit doors and the designated gathering area for your class and laboratory buildings.
If building evacuation becomes necessary (e.g., earthquake), meet your instructor at the designated gathering area so she/he can account for your presence. Then wait for further instructions. Do not return to the building or classroom until advised by a university emergency response representative.
If confronted by an act of violence, be prepared to make quick decisions to protect your safety. Flee the area by running away from the source of danger if you can safely do so. If this is not possible, shelter in place by securing classroom or lab doors and windows, closing blinds, and turning off room lights. Lie on the floor out of sight and away from windows and doors. Place cell phones or pagers on vibrate so that you can receive messages quietly. Wait for further instructions.
Grade Distribution
You will be evaluated on the basis of written and oral work, quizzes, and active class engagementas described above. Remember that I do not “give” grades; rather, you earn your grades. Distribution of points is as follows:
Discussion Leader 8%
Case Analyses (#3)20%
Experiential Project15%
Sector Analysis32%
Written 25%
Oral 7%
Active Engagement25%
_____
TOTAL 100%
Tentative Schedule*
Week 1Aug 30 / 1. Introduction
Discussion of Syllabus
Sept 1 / 1.1 Understanding Global Poverty
HW DUE: Understanding Poverty
TheSustainable Development Goals
Please see Moodle for summary info on each goal. Plus: Review the site below
which contains additional information, including videos, related to each goal.
Week 2
Sept 6 / 1.1Understanding Global Poverty – Cont.
Sachs, J. D. (2005), The End of Poverty, pp. 5-73
Sen, A. (1999), Development as Freedom, pp. 3-34
Sept 8 / 1.2 The BOP Market
The Global Consumption Database. Access at:
London, T. & Hart, S. (2011), Next Generation Business Strategies, Ch. 4-
Needs, needs everywhere, but not a BoP market to tap.
Rangan, V.K., Quelch, J.A., Herrero, G. & Barton B. (2007), Business
Solutions for the Global Poor, pp. 15-39.
Discussion of Course Assignments
Week 3
Sept 13 / 2. The ‘Fortune at the Bottom of the Pyramid’
Prahalad, C.K. & Hart, S.L. (2002), The fortune at the bottom of the
pyramid, Security and Strategy, 26 (January), pp. 55-67.
London, T. & Hart, S. (2011), Next Generation Business Strategies, pp. 1-15.
London, T., Sheth, S. & Hart, S. (2014), A Roadmap for the Base of the
Pyramid Domain, William Davidson Institute.
BOP 3.0, pp. 1-10
Sept 15 / 2. The Fortune at the BOP – Cont.
The BOP Promise, Ch. 1
BOP 3.0: Ch. 1 & 2
Week 4
Sept 20 / 3. Business Strategies for the BOP
3.1 Strategy Formulation
London, T. & Hart, S. (2011), Next Generation Business Strategies, Ch. 1.
Simanis, E. & Duke, D. (2014, October), Profits at the bottom of the
pyramid, Harvard Business Review, pp. 87-93.
The BOP Promise, Ch. 2
Sept 22 / 3.2 Overcoming Barriers to BOP Strategy Implementation
Bachmann, M., Vermeulen, P. A. M. & Geurts, J. L. A. (2014), Scaling
challenges at the base of the pyramid in Vermeulen, P. A. M. & Hütte, E.
(Eds.) Strategic Challenges for the BOP, pp. 101-129.
Olsen, M. & Boxenbaum, E. (2009), Bottom of the pyramid: Organizational
barriers to implementation,California Management Review, 51(4): 100-
125.
Hart, S. L. (2007), Capitalism at the Crossroads, 2nded., Ch. 6.
Simanis, E. & Milstein, M. (2012), Back to business fundamentals: Making
bottom of the pyramid relevant to core business, Field Actions Science
Reports, 4:82-88.
Week 5
Sept 27 / 3.3 Innovation at the BOP
The BOP Promise, Ch. 3
London, T. & Hart, S. (2011), Next Generation Business Strategies, Ch. 3.
Kandachar, P. & Halme, M. (Eds.), (2008), Sustainability Challenges and
Solutions at the Baseof the Pyramid, pp. 214-241.
Vermeulen, P.A.M., Curşeu, P.L. & Soers, B. (2014), Innovation at the base
of the pyramid in Vermeulen, P.A.M. & Hütte, E. (Eds.) Strategic
Challenges for the BOP, pp. 83-100.
Sept 29 / 3.4 Barriers to Innovation and New Venture Creation at the BOP
BOP 3.0, Ch. 4, 5 & 6
Case for in-class discussion only: Movirtu’s Cloud phone service
Week 6
Oct 4 / 4. Research Methods for the BOP
Research Methods for Subsistence Marketplaces (pp. 242-260) in Kandachar,
P. & Halme, M. (Eds.), (2008), Sustainability Challenges and Solutions at
the Base of the Pyramid.
Oct. 6 /
- Research Methods – Cont.
BOP 3.0: Ch. 3
Chamber, R. (1997), Whose Reality Counts?Ch. 6 & 7, pp. 102-161
Date / WEEK 7
Oct 11 - 13 / Sector Analyses: Written Reports Due + Oral Presentations
Week 8
Oct 18 / Fall Break – No classes
Oct 20 / Experiential Project – Work session
Week 9
Oct25 / 5. Marketing Strategies for the BOP
5.1 Creating Value for the BoP
The BOP Promise, Ch. 4
IFC (2014), Shared Prosperity through Inclusive Business, pp. 17-26.
London, T. & Hart, S. (2011), Next Generation Business Strategies, Ch. 5.
Barki, E. & Parente, J. (2013), Consumer behavior for the BOP market in
Brazil.
Oct 27 / 5.1 Creating Value – Cont.
Guesne, J-M. & Ménascé, D. (2014), Sharing Cities: An innovative
partnership between the Bel Group and street vendors in Ho Chi Minh,
FieldActions Science Reports, 12: 1-8.
Case DUE: BTPN (A)-Banking for the BOP in Indonesia
Week 10
Nov 1 / 5.2 Pricing Strategies for the BOP
IFC (2014), Shared Prosperity through Inclusive Business, pp. 33-42.
Nov 3 / 5.3 Communication Strategies for the BOP
Hystra (2014),Marketing nutrition for the BOP (pp. 312-49).
Case DUE: Ruby Cup
Date / Week 11
Nov 8 / 5.4 Distribution Strategies for the BOP
BOP 3.0: Ch. 7 & 8
IFC (2014), Shared Prosperity through Inclusive Business, pp. 27-32.
Coetzer, P. & Pascarel, N. (2014), Last mile deliver in low income
communities: The Sekulula Spaza Express experiment in South Africa,
Field Actions Science Reports, 12: 1-6.
Nov 10 / 5.4 Distribution – Cont.
Case for in-class discussion only: African Solar Rise
Week 12
Nov 15 / 6. Partnerships & Hybrid Models for the BoP
The BOP Promise, Ch. 5 & 6
BOP 3.0, Ch. 9
Hütte, E. (2014), Cross-sector collaborations at the base of the pyramid in
Vermeulen, P. A. M. & Hütte, E. (Eds.) Strategic Challenges for the BOP,
pp. 22-57.
Nov 17 / 6. Partnerships – Cont.
BOP 3.0, Ch. 10
Case DUE: Runa-Creating Value in the Amazon
Week 13
Nov 22 / 7. Business at the BOP: Measuring Impact
Kandachar, P. & Halme, M. (Eds.), (2008), Sustainability Challenges and
Solutions at the Base of the Pyramid, pp.261-281.
WBCSD-Measuring Impact Framework.
The BOP Promise, Ch. 4
Nov 24 / Thanksgiving Holiday – No Classes
WEEK 14
Nov 29 / 7. Measuring Impact – Cont.
Case for in-class discussion only: Honey Care
Dec 1 / Experiential Learning Projects DUE
Date / WEEK 15
Dec 6 / 8. The Future of Business at the BOP
The BOP Promise, Ch. 7
Course Evaluations
Note: The Professor reserves the right to adjust the syllabus and schedule as needed to enhance students’ learning. Any changes (including, but not limited to, schedule changes, adding/deleting topics, changing assignments, redistributing grading, accommodating speakers, etc.) will be announced in class and posted on Moodle. The syllabus and schedule posted on Moodle supersede any hard copy distributed the first day of class. It is your responsibility to be aware of these changes at all times.