Der Beseitigung von Armut in den Entwicklungsländern und Schwellenländern sollte zukünftig mehr Beduetung beigemessen werden. Die Beseitigung der Armut sollte strukturiert unter Einsatz moderner Konzepte und Ideen erfolgen. Das Base of Pyramid Konzept von Prahalad ist eine gute Basis hierfür. Der einseitige Einsatz von sogenannten Mikrokrediten hat bisher keine nachhaltigen Erfolge bei der Beseitigung von Armut gebracht.Rund 4 Milliarden Mesnchen in unterschiedlichen Ländern dieser Erde werden als "arm" klassifiziert. Das sind über 50% der Weltbevölkerung. Die finanzielle Unterstützung der Armen soll nicht einseitig Konsum zugunsten MNC (Mulitnational Companies) und deren Profit unterstützen, sondern vielmehr die Integration der Armen in die Wertschöpfungskette ermöglichen. Unternehmen können mit CSR Projekten Arme als "new base of pyramid entreprenieurs" fördern und in deren Prozesse mit einbinden. CRS kann mit crowdfunding und Crowdinvesting bzw. Crowdbankung kombiniert werden, um somit eine Optimierung der Beseitigung der Armut zu ermöglichen. Das bisherige System der Mikrokredite hat weitestgehend versagt und zu einer neuen Finanzierungsblase geführt. Damit hat einmal mehr der typische Finanzsektor ein Stück seiner Existenzberechtigung eingebüßt. Wie das Base dieser Aufsatz.
Table of Contents
1. Abstract
2. Introduction
3. The meaning of “Base of Pyramid”
4. The approach of „Microfinancing“ in the field of BoP
5. Crowdfunding – Crowdinvesting - Crowdfinancing – Social Banking
6. Conclusions and recommendation
Objectives & Topics
The primary objective of this work is to explore modern, sustainable methods for poverty eradication in developing and emerging countries by evaluating the effectiveness of the "Base of the Pyramid" (BoP) concept and the evolution of financial tools from traditional microcredit to innovative crowd-based financing models.
- Analysis of the "Base of the Pyramid" concept and its economic potential.
- Critical examination of Microfinancing and its limitations in current practice.
- Exploration of Crowdfunding and Crowdinvesting as modern alternatives for capital supply.
- Development of a concept for "Private Social Business" to foster sustainable growth.
- Integration of CSR strategies to bridge the gap between private profit and poverty reduction.
Excerpt from the Book
3. The meaning of “Base of Pyramid”
In economics, the so called Base of the pyramid (BoP) is surely the largest, but also poorest socio-economic group. In the world there are about 4 billion people who live on less than US$2.50 per day. The world population is comprised of the year 2012/13 of around 7.1 billion people. The BoP Phenomenon generally considers the developing an emerging countries (for example Africa, South America, India). The 4 billion people at the BOP, all those with incomes below $3,000 in local purchasing power, are living in relative poverty. Their incomes in current U.S. dollars are less than $3.35 a day in Brazil, $2.11 in China, $1.89 in Ghana, and $1.56 in India. Yet together they have substantial purchasing power: the BOP constitutes a $5 trillion global consumer market.
So, more than 50 percent of the world population concern to the bottom of the pyramid. The term “bottom of the pyramid” or “BoP” is used in particular by people developing new models of doing business that deliberately targets that demographic, often using new technology. Although different organizations and several national governments have been busy to solve the problem of poverty for more than 50 years, all the movements had no sweeping effect. Realizing this, C.K. Prahalad pursued a new approach to eradicate poverty in the world. His approach is that he sees the world's poor not as victims or global and social burden, but as potential value-producing consumers and entrepreneurs with multiplier effects.
Chapter Summary
1. Abstract: Provides a high-level overview of the transition from traditional micro-credit movements to modern Crowdinvesting as a sustainable tool for economic empowerment.
2. Introduction: Discusses the persistent challenge of global poverty and proposes a shift towards new financial models, specifically questioning the efficacy of traditional microfinancing.
3. The meaning of “Base of Pyramid”: Defines the BoP socio-economic group and analyzes the market potential of these demographics as value-producing participants in the global economy.
4. The approach of „Microfinancing“ in the field of BoP: Reviews the history and implementation of micro-credits, while critically evaluating the negative impacts of commercialization and lack of oversight.
5. Crowdfunding – Crowdinvesting - Crowdfinancing – Social Banking: Investigates the emergence of digital crowd-based finance as a revolutionary shift away from discredited traditional banking systems.
6. Conclusions and recommendation: Recommends a reformed approach that combines CSR with "Private Social Business," advocating for investment in human capital and infrastructure rather than mere aid.
Keywords
Crowdinvesting, Micro Financing, developing countries, microcredit, Base of the Pyramid Concept, Private Social Business, poverty eradication, CSR, economic development, financial innovation, digital platforms, social banking.
Frequently Asked Questions
What is the core focus of this publication?
This work examines the evolution of strategies to alleviate poverty, moving from traditional micro-credits to innovative, technology-driven crowd financing models.
What are the primary themes discussed?
The paper covers the Base of the Pyramid (BoP) concept, the limitations of current microfinance practices, the rise of Crowdinvesting, and the integration of social responsibility into business models.
What is the central research question?
It questions whether traditional microfinance is still a viable tool for poverty reduction and explores whether new phenomena like Crowdinvesting offer more sustainable alternatives for economic growth.
Which scientific methodology is applied?
The authors employ a critical analysis of existing economic literature, historical developments in microfinance, and current trends in information and communication technologies (ICT) to propose new financial frameworks.
What is addressed in the main part of the work?
The main sections break down the BoP demographic, evaluate the failure of traditional micro-lending in India, and analyze the potential of Internet-based "Crowd" banking for future economic stability.
Which keywords best describe this work?
Key terms include Crowdinvesting, Micro Financing, Base of the Pyramid, Poverty Eradication, Private Social Business, and Sustainable Development.
How does the author view the role of banks in the current crisis?
The author argues that the traditional banking sector has lost its credibility due to over-commercialization and mismanagement of microcredit, necessitating a shift toward society-driven, alternative financing.
What is the concept of "Private Social Business"?
It is a proposed model where corporate entities and individual "Crowdinvestors" collaborate on sustainable projects that provide fair returns rather than predatory interest rates, specifically to eradicate poverty.
Why are standard micro-credits often considered ineffective?
The author highlights that many microfinance institutions focus solely on profit maximization, leading to excessive debt for the poor rather than enabling the creation of small, income-generating businesses.
What role does the Internet play in these new financial models?
The Internet serves as the primary infrastructure for aggregating small amounts of capital from a global pool of users, thereby democratizing finance and bypassing traditional, discredited financial intermediaries.
- Arbeit zitieren
- Rainer Schenk (Autor:in), Peter Bielik (Autor:in), Elena Horska (Autor:in), 2013, From Micro-Financing and Base of the Pyramid Concept to Private Social Business by CROWDINVESTING/CROWDFINANCING as a Modern Phenomenon and Chance for Economy, München, GRIN Verlag, https://www.hausarbeiten.de/document/212659
