Building Entrepreneurship in Subsistence Markets: Microfranchising as an Employment Incubator

Christensen, Lisa Jones; Parsons, H. Franklin; Fairbourne, Jason

doi:10.1016/j.jbusres.2009.03.020

Cited by 84 publications

(72 citation statements)

References 8 publications

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“…In an emerging market context, franchisors focus on increased profits with a concomitant focus on the microfranchisee and how he or she benefits. Some of these benefits include increased income, legitimacy (from being linked to the formal economy), access to training, formal marketing, collateral, legal protection as a certified vendor… (Christensen et al 2010;Fairbourne 2006).…”

Section: Franchising Microfranchising and (Social) Entrepreneurshipmentioning

confidence: 99%

“…When it comes to research, microfranchising is similar to traditional franchising in that it has yet to garner much theoretically grounded research attention (Christensen et al 2010;Siqué 2012), despite its growth in popularity and practice. Of the research that has been done, much of it focuses on the microfranchisee.…”

Section: Franchising Microfranchising and (Social) Entrepreneurshipmentioning

confidence: 99%

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Microfranchise emergence and its impact on entrepreneurship

2016

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Section: Franchising Microfranchising and (Social) Entrepreneurshipmentioning

confidence: 99%

Section: Franchising Microfranchising and (Social) Entrepreneurshipmentioning

confidence: 99%

Microfranchise emergence and its impact on entrepreneurship

2016

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“…Although literature stresses the importance of user orientation, involvement und co-creation as key success factors of innovation for the BoP (London, Hart 2004;Viswanathan, Sridharan 2012), even less is known with regard to indigenous or user innovation at the BoP (Nakata 2012). Enhancing the current discussion of BoP people as consumers (Prahalad 2010) and as producers (Karnani, Aneel 2009;London et al 2010;Hahn 2009), this paper contributes to the relatively new perception of BoP people as source of innovations (Gupta 2006) and entrepreneurs (Christensen et al 2010) analyzed from a User Innovation perspective. innovation value and ultimately market recognition.…”

Section: Introductionmentioning

confidence: 87%

Consumer Innovation in the Poor Versus Rich World: Some Differences and Similarities

Praceus

Herstatt

2016

India Studies in Business and Economics

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Standard-Nutzungsbedingungen:Die Dokumente auf EconStor dürfen zu eigenen wissenschaftlichen Zwecken und zum Privatgebrauch gespeichert und kopiert werden.Sie dürfen die Dokumente nicht für öffentliche oder kommerzielle Zwecke vervielfältigen, öffentlich ausstellen, öffentlich zugänglich machen, vertreiben oder anderweitig nutzen.Sofern die Verfasser die Dokumente unter Open-Content-Lizenzen (insbesondere CC-Lizenzen) zur Verfügung gestellt haben sollten, gelten abweichend von diesen Nutzungsbedingungen die in der dort genannten Lizenz gewährten Nutzungsrechte. Terms of use: Documents in AbstractInnovative, distinct products and no "cheaper" copies of the "rich" world are essential in order to succeed at the "Base of the Pyramid" (BoP). However, this type of innovation requires more, in-depth information on the BoP and solution spaces, which are both difficult to access.Literature proposes to generate innovations bottom up through user involvement but remains silent on how to identify and integrate BoP consumers into the innovation process. One obvious solution is to connect up with and cooperate with innovating consumers of the BoP.However, this raises the questions whether 1) user innovation exists at the BoP at what levels of quality and 2) how firms can support the innovators to implement them into real world solutions. In this paper we specifically address the first question and analyze patterns and characteristics of a large sample of innovations developed by people living at the Indian BoP collected by the Indian National Innovation Foundation (NIF). We compare these innovations to consumer innovations in the developed world and examine effects of demographic, knowledge and context factors on innovation activity and the outcome. We find similarities with consumer innovation in the developed world and at the same time adaptations to the BoP context, e.g. fulfillment of rather basic necessities than hobby-related needs. Innovation quality is mostly driven by the innovator's knowledge and market recognition is highest for creative innovations developed for others. The paper further shows that consumer innovations are a good starting point for firms seeking solutions for BoP markets. Product needs can be systematically deducted and provide insights on how to identify promising consumer innovators at the BoP. Finally, this research contributes to better understand user innovation behavior in a specific context and by that enriches innovation research.

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“…The existence of areas of extreme poverty is usual in developing countries, (Christensen, Parsons, & Fairbourne, 2010). One of the tools used by people in these areas to alleviate this situation and to create a means of subsistence for the entrepreneur and his family (Schoar, 2010) is the creation of small businesses (Toledo, Hernández, & Griffin, 2010).…”

Section: Introductionmentioning

confidence: 99%

Human Capital as Source of Innovativeness in Subsistence Small Businesses

Jardón

2016

Journal of Technology Management & Innovation

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Subsistence small businesses (SSB) are very important in developing countries for reducing poverty. Companies in developing countries need innovation in order to compete, and innovation is particularly significant for SSBs, as they are usually less well-prepared for competition. Human capital is the key to improving the situation of poor countries as such human capital improves innovativeness in companies. Nevertheless, human capital is scarce in SSBs and these businesses possibly need the alignment of human capital with strategy to improve their performances. This alignment is achieved by exploiting the dynamic capabilities of human capital management. The aim of this paper is to analyse human capital management and innovativeness in SSBs in the timber industry in a region of Latin America using PLS techniques. The findings suggest that SSBs build human capital management and innovativeness as dynamic capabilities and use human capital management to improve innovativeness.

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Building Entrepreneurship in Subsistence Markets: Microfranchising as an Employment Incubator

Cited by 84 publications

References 8 publications

Microfranchise emergence and its impact on entrepreneurship

Microfranchise emergence and its impact on entrepreneurship

Consumer Innovation in the Poor Versus Rich World: Some Differences and Similarities

Human Capital as Source of Innovativeness in Subsistence Small Businesses

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