South Asian Journal of Global Business Research

Vipin Gupta; Shaista E. Khilji

2013 South Asian Journal of Global Business Research

doi: 10.1108/20454451311303257

Purpose – The purpose of this paper is to broaden the conception of the base of the pyramid (BoP) from that of a low purchasing power community, to a globally disconnected community. Design/methodology/approach – The paper identifies two views related to fortune at the BoP using the conventional purchasing power approach: finding fortune at the BoP; and creating fortune at the BoP. As a next step, the paper offers a theoretical basis for two additional views using the broader conception: sharing fortune with the BoP using social responsibility theory; and enabling fortune at the BoP using critical social theory. The authors construct an integrated framework to aid practitioners in responding to a variety of context‐specific issues in BoP strategy. Findings – The conventional approach might result in undermining the dignity of BoP communities, and discrediting their unique knowledge systems and potential contributions. It is argued that a context‐sensitive approach can help address these issues to a great extent. In discussing context specific approaches, the paper also introduces the exchange value view that facilitates the need to evolve an open level playing field of value exchange between MNCs (and its partners) and BoP communities. Research limitations/implications – There is a need for comparative empirical studies examining benefits and costs associated with (and the sustainability of) the three views proposed. Originality/value – The paper offers a broader definition of the BoP, and provides alternative views going beyond the conventional strategy approach to BoP.

Richard March

2013 South Asian Journal of Global Business Research

doi: 10.1108/20454451311303266

Purpose – The purpose of this paper is to exemplify how Mr Surya Kant, President of North American, UK and European Operations in Tata Consultancy Services (TCS), leads and grows a complex global company by adopting and operationalizing a global mindset. Design/methodology/approach – This paper applies a social constructionist interview method, which focuses upon the reflectivity of the research in critically constructing meaning from qualitative data collected through personal interviews. The paper links information gleaned from a semi‐structured interview with Mr Kant to a theoretical discussion of the construct of global mindset. In so doing, it demonstrates the paradox of complexity in global leadership and illustrates the applicability of theory in global leadership practice. Findings – This paper aids in making the case for the application of an inductive qualitative methodology by showing that inductive approaches to business research have, as their base, the lived experiences of people operating in a business context. The paper found a close link among the theoretical constructs of global mindset, paradox theory, complexity, leadership and global business, and their use and applicability in driving a global corporation. Originality/value – In making explicit the links between theory and practice, this paper illuminates the practical application of academic literature and theoretical constructs in the arena of global business and global leadership, thereby bridging the oft‐cited theoretician‐practitioner‐bifurcation in business research.

Jeff Mike

2013 South Asian Journal of Global Business Research

doi: 10.1108/20454451311303275

Purpose – The purpose of this paper is to share a personal perspective on the 28th Annual European Group on Organizational Studies (EGOS) Colloquium held in Helsinki, Finland in July 2012. It explores the author's reflection on his participation in the EGOS Colloquium Subtheme 29 titled “Designing Culturally Sustainable Organizations.” Design/methodology/approach – The author's reflection was based on his participation from a constructionist perspective. Findings – The author argued that participating in EGOS provided critical feedback and additional insights on his research regarding the design of culturally sustainable organizations and how this research may apply in the South Asian context. Originality/value – This paper offers the personal perspective of an American doctoral student and human resources development professional with experience in South Asia on his observations as an attendee of the 28th Annual EGOS Colloquium.

Adam Smith; Amir Pezeshkan

2013 South Asian Journal of Global Business Research

doi: 10.1108/20454451311303284

Purpose – This paper suggests that BoP producer businesses provide greater potential positive impact on poverty alleviation than BoP consumer businesses. With this purpose, the authors explore the positive short‐term and long‐term economic effects of BoP producer businesses on the poor and compare these effects with those from BoP consumer businesses. Design/methodology/approach – The paper applies several economic and organizational theories to BoP businesses to shed light on the value each creates for the poor. Findings – It is argued that BoP producer businesses create more economic value for the poor by providing these societies with access to markets, capital and capabilities, and organizational advantages they currently lack. Practical implications – Implications for the poor, businesses considering opportunities at the BoP, and future research are discussed. Originality/value – With the help of economic theories, this paper describes the ways in which access to markets, well‐established organizations, and technology help remedy poverty. This paper also contributes to the BoP literature by focusing upon BoP producer businesses. By comparing BoP consumer and producer businesses, the authors highlight several advantages of production at the BoP.

Carol M. Sánchez; Alexandra S. Schmid

2013 South Asian Journal of Global Business Research

doi: 10.1108/20454451311303293

Purpose – The paper uses a relational view of strategy framework to measure and assess the sustainable success of base of the pyramid (BoP) projects. The authors posit that the relational view is a powerful way to determine if a firm's project might lead to sustainable competitive advantage, because if partner resources combine to create relation‐specific capabilities and competences, they may provide sustainable value, and the paper applies this method of strategic analysis to selected BoP projects. Design/methodology/approach – The paper separates the secondary data analysis from the primary data analysis and offers four propositions, based on the combined relational view and BoP criteria. The authors apply the relational view framework to two BoP projects from Michigan‐based organizations. Each case is analysed using the framework, and the authors discuss how the resources of each of the BoP project partners create value, how tailored and scalable the projects are, how BoP end user needs are addressed, what resources partners contribute, and if the relation‐specific combination of resources create project level capabilities that are sustainable. Findings – The sustainable success of BoP projects may be best achieved when the BoP project partners contribute valuable resources and when those resources combine to create relation‐specific capabilities that create sustainable success. It reinforces the importance of scale, BoP user needs, and engaging BoP customers as partners. Originality/value – This paper tries to help explain why some BoP projects successfully create a sustainable competitive advantage, by building on strategic themes and using a variation of the relational view framework to examine resources and capabilities of the organizations that partner to serve people at the BoP.

Linda M. Sama; R. Mitch Casselman

2013 South Asian Journal of Global Business Research

doi: 10.1108/20454451311303301

Purpose – This paper seeks to examine the ethical dilemmas that emerge when offering microfinance services in BOP markets. Design/methodology/approach – Utilizing the ethical lenses of deontology, teleology, virtue ethics and moral relativism, the paper builds on prior research on ethical issues in BOP markets and the ethics of microfinance to highlight the specific stakeholder impacts facing MFIs. Relevant literature and examples from practice are utilized to illustrate the different ethical perspectives. Findings – In general, many of the key dilemmas represent themselves in the extreme poverty segment of the BOP where commercial business models have the least traction. Research limitations/implications – Propositions are developed for the corrective actions in the paper which might allow future research to uncover differences in intervention success in different BOP markets. Practical implications – The discussion of potential interventions for the various stakeholders may ameliorate criticisms of MFIs, suggest opportunities for cross‐sectoral partnerships and improve outreach to the poorest of the poor. Social implications – For each issue addressed, this paper looks at the types of corrections that are made or called for through markets, government actions and civil society to respond to the negative impacts uncovered through our analysis. Originality/value – The analysis in this paper contributes to the theoretical ethical literature with a very specific application to an emerging concern in the field of microfinance. It also offers prescriptive scenarios for industry and public policy makers. It challenges the ethics underlying businesses that wish to target the full spectrum of Base of Pyramid participants.

Ronald Venn; Nicola Berg

2013 South Asian Journal of Global Business Research

doi: 10.1108/20454451311303310

Purpose – The paper seeks to offer a novel perspective on “deep benefit management” in inclusive business ventures at the Base‐of‐the‐Pyramid (BoP). Furthermore, it explores tensions between social impact creation and financial objectives in multinational corporations (MNCs). Design/methodology/approach – The paper opts for an exploratory research design using empirical data, including an expert interview survey and expert discussions. Data is supplemented by documentary analysis, including corporate publications as well as case and impact studies. The paper applies a nested cross‐case comparison of three sustainability driven initiatives of PHILIPS Electronics. Findings – The paper provides empirical insights on value creation for customers and partners. Findings indicate the need for “external benefit management”. In addition, MNCs can gain financial as well as non‐financial benefits by venturing at the BoP. “Internal benefit management” should consider employee engagement, reputation, and partnering capabilities. Nevertheless, results indicate conflicts between social and financial objectives to which employees respond with “social intrapreneurship”. Research limitations/implications – Due to the research methodology, results may not be generalized. Future research is encouraged to corroborate findings. Practical implications – The paper develops deep benefit management as a powerful tool to plan, manage, and assess value creation in inclusive BoP ventures. Further, the paper proposes to establish protective space in MNCs to capitalize on social intrapreneurship. Originality/value – This study provides an enhanced understanding of benefits of and barriers for inclusive business. Novel insights on social intrapreneurship are provided additionally.

Tai Wei Lim

2013 South Asian Journal of Global Business Research

doi: 10.1108/20454451311303329

Purpose – The purpose of this paper is to construct historical perceptions of coal use in India and Japan in different historical time periods through the process of analyzing the narratives and discourses in academic, media and trade literatures. Design/methodology/approach – In terms of methodology, this paper will utilize discourse theories/analysis and interpretive history to study the subject matter. In this paper, specific literatures on energy as well as general literatures on themes like technology are utilized. Findings – The finding of the paper is that discourses and narratives about coal energy for example are constantly negotiated, constructed and then deconstructed again to fit and adapt to new realities, including the availability of newer technologies or priorities and concerns about the environment. Originality/value – The research implication and originality of the paper is to demonstrate empirically the idea of the existence of narrative communities debating the use of coal energy in India and Japan. It highlights the communities of stakeholders interested in coal energy resource. The practical application and value of the ideas is the intellectual process of categorizing various contemporary narratives about coal energy use specific to two of the largest consumers and importers of coal in Asia. Through historical narratives of its past and recent coal use, the role and function of coal in the overall energy mix of India and Japan are instructive. The research limitation lies in its non‐quantitative nature and reliance on a combination of academic and trade secondary sources.