case 3 3 Marketing to the Bottom of the Pyramid

Should Pyramid Door Inc. change their distribution strategy in order to meet their 2006 profit goal of 12.5 million dollars which is 3.4 million dollars more than the previous year?

El Paso has formed The El Paso Affordable Housing CUSO. According to “Affordable Housing Is CUSO Goal,” this program provides “affordable mortgages to low- and moderate-income” (1). The program has students of a local community college build homes so that they can be sold below market price, making home buying easier and cheaper. The involvement of local college students is also another way El Paso gives job opportunities to its young people. There are, however, a series of classes and requirements to qualify for these homes. In addition, El Paso will be remodeling public housing

People are still living on $2 a day here in the United States. As one of the wealthiest countries in the world, how is it possible for people to live with this little amount of money? I know that I cannot. In $2.00 a Day, Jennifer Hernandez, a single mother with two kids, is a person who lives on $2 a day as she tries to survive and support herself and her kids in the collapsing economy. The minimum wage job for cleaning houses reinforces the cycle of poverty that Jennifer and her kids live in. This cycle of poverty reveals that there needs to be major changes to the economical infrastructure of the United States since the poor cannot get themselves out of poverty even though they actively look for work or have a job.

Andres Construction Services is a family-owned construction company which employs about one hundred employees. The company focuses on negotiated work on multi-family apartments, retirement communities, adaptive re-use complexes, private schools and universities, office buildings, and churches. During Mr. Whittle’s lecture, he focused on a handful of projects Andres Construction has worked on in the Dallas/Fort Worth area. These buildings include the SO.7 Shops and Lofts, The

Poverty is an issue that has affected society since civilization was first created. Even with a globalized economy and economic opportunity prevalent nearly everywhere, there is still a vast majority of people who live in financial strain. According to recent information obtained by the World Bank, “10.7% of the world’s population live on less than US $1.90 a day”(World Bank 2013). In the United States considered the wealthiest nation on Earth, the poverty rate is 12.7% which is 40.6 million people(US Census Bureau 2016). Though some people are in poverty because of their own choices, poverty is a result of structural institutional practices in place.

America is one of the riches countries in the world it is home to approximately 406 billionaires and many millionaires, babies are being born into poverty about every 32 seconds everyday (Children’s Defense Fund, 2010). The Children’s Defense Fund (CDF) reports one is every five children are born in to poverty and children constitute for the poorest age group in America (Children’s Defense Fund, 2010). About 22% of children in American families are officially considered poor (National Center for Children in Poverty, 2013). Extreme poverty exists when a family of four lives below or half the annual poverty level of

The new construction market in the mid 2000’s was flourishing. People saw building a home as an opportunity for a solid investment because prices and rates were so low that certain homes could depreciate extremely slowly. However, there would be a negative effect from all this low-cost new construction and few were aware of just how devastating it would be to the new construction market.

The Bottom Billion as Tim Harford, Financial Times columnist and author of The Undercover Economist, has describe it,” is an arresting, provocative book. If you care about the fate of the poorest people in the world, and want to understand what can be done to help them, read it. If you don't care, read it

Half of the world’s population lives on less than two dollars and fifty cents a day (“Quick Facts About Poverty). In a country where the vast majority of things cost more than a mere two dollars and fifty cents, that is a startling fact. Here in the United States we enjoy large, multiple roomed, houses with all sorts of utilities and plenty of food. Poverty barely affects us, but we are still aware of it. Two TED talks, one by Gary Haugen and the other by Paul Romer, provide potential solutions to the problem of poverty in the world. Haugen, in his presentation “The Hidden Reason for Poverty the World Needs to Address Now”, claims that current poverty relief efforts don’t address the cause of poverty and suggests that programs

Building the Future - BHO's development arm brings education, innovation and housing units to low wealth communities. Currently, we've reformed the Brunswick Housing Coalition to educate the general public and housing professionals on the merits and benefits of building small, while using green, energy efficient, innovative, low cost, high amenity design features. We have raised the bar above decent and sanitary to creative place making.

Welcome to Artisan Communities, a local multi-generation family builder of homes and designer of residential communities. We have been active in Northern Nevada homebuilding for over 25 years and have deep respect and appreciation for the region. As such, it is important to us that we provide our fellow Northern Nevadans with quality homes and neighborhoods at fair prices. Artisan brings expertise in lot design and engineering as well as home construction. We focus on both the home as well as the community in which it is situated. Artisan looks at each homesite carefully and critically and designs houses to be in harmony with lot shape, lot orientation and the surrounding neighborhood. In addition to the beautiful two-story homes we build,

(SOURCE) Living on less than $2 a day affects one’s whole life. Those who live like this are usually in poor health, only "...[own] few 'productive ' assets..." (i.e. phones), perhaps have "...access to electricity, water and sanitation.", spend most of their income on food, and "...[lack] access to basic infrastructure." (SOURCE) In various countries, at the end of the day, "... 'the reality of living on two dollars a day is that you don 't literally earn that sum each day. '" (SOURCE) Out of the 1.3 billion people who “...live in extreme poverty…”, a great part is children. (SOURCE) I experienced this third world reality when I went to Haiti.

Poverty is currently not a hot topic in the current world of politics. Every candidate wants to tackle the upper or the middle class and often forget about those living in poverty. Poverty can affect anyone and effect everyone in our society. One may wonder what poverty is and why poverty is a big issue or does it have a large impact on our societies. Webster’s dictionary defines poverty as the state of one who lacks a usual or socially acceptable amount of money or material possessions. In a world that is full of the latest and the most advanced possessions and technologies to enhanced our way of life, it seems that there is a remedy for almost anything that you can imagine. However, when it comes to someone living in poverty, the access to these things and the necessities of life are not readily available. When one does not have the necessities to live in a socially acceptable environment it causes lack in the areas of childhood development and education, nutrition and health, and economic development.

In economics, the bottom of the pyramid is supposed to be the largest, but at the same time it is the group that is very poor socio-economically. In global relations, this is somewhere around the 2.6 billion people that are living on less than US$2.50 per day. The expression "bottom of the pyramid" is a term that is always used in specific by persons evolving new models of doing business that purposely aim for that demographic, usually by utilizing technology that is new (Friedman, T.L.,2000). This arena is also frequently mentioned to as the "Base of the Pyramid" and some may also know it as the "BoP". Many books and numerous journal articles have been written on the possible marketplace by associates of business schools proposing consultancy on the mushrooming marketplace (Gardetti, M.A.,2005). They include The Fortune at the Bottom of the Pyramid by C.K. Prahalad which is what this essay will explain.

Unfortunately, it was estimated that roughly 1.2 billion people in 1993 lived in extreme or absolute poverty, that which Robert McNamara regards “‘a condition of life so characterized by malnutrition, illiteracy, disease, squalid surroundings, high infant mortality and low life expectancy as to be beneath any reasonable standard of human dignity’” (Singer 219, 220). These estimates can be projected at nearly 2 billion today. A large majority of the people living in absolute poverty resides in underdeveloped countries. Among the nearly 4.4 billion people in these countries, “3/5 lives in societies lacking basic sanitation; 1/3 go without safe drinking water; 1/4 lack adequate housing; 1/5 are undernourished, and 1.3 billion live on less than $1 a day” (Speth 1).