Contents <ul><li>Social Responsibility in a Latin American context </li></ul><ul><li>Inclusive Business model </li></ul><...
20 January 2011 Inclusive Business: an expression of Social Responsibility Reintje van Haeringen Executive Director Knowl...
Public Investment Private Investment 160 million 200 million 220 million Income < 2 USD/day Informal economy, limited ...
Inclusive Business <ul><li>Integrates the low-income segment in the production processes and value chain of large companie...
Maximizing Social and Economic value Why Develop Inclusive Business? Inclusive Business Model Core Business Initiative (re...
Market Opportunity Inclusive Business Expected impact <ul><li>Tourism is booming in Peru </li></ul><ul><li>Market demand f...
22/09/10 – FF/IB project – R van Haeringen Inclusive Business: expression of Social Responsibility Alignment of social res...
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Preso SNV Inclusive Business

Published on: Mar 4, 2016
Published in: Business      
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Transcripts - Preso SNV Inclusive Business

  • 1. Contents <ul><li>Social Responsibility in a Latin American context </li></ul><ul><li>Inclusive Business model </li></ul><ul><li>Case example: DOLE in Peru </li></ul><ul><li>Inclusive Business as an expression of Social Responsibility </li></ul>
  • 2. 20 January 2011 Inclusive Business: an expression of Social Responsibility Reintje van Haeringen Executive Director Knowledge Institute SNV Latin America
  • 3. Public Investment Private Investment 160 million 200 million 220 million Income < 2 USD/day Informal economy, limited access to markets and services, limited social and economic investment 38% of population in poverty and extreme poverty Income 2 to 8 USD/day Latin American context
  • 4. Inclusive Business <ul><li>Integrates the low-income segment in the production processes and value chain of large companies, generating mutual value </li></ul><ul><li>Generates a return on investment for the company through: </li></ul><ul><ul><li>Improved supply chain management </li></ul></ul><ul><ul><li>Entry to new markets </li></ul></ul><ul><li>Improves the relationship company-community through the co-creation of a business initiative: </li></ul><ul><ul><li>Understand the poor community as a market </li></ul></ul><ul><ul><li>Commercial agreement between company and community </li></ul></ul><ul><ul><li>Community as an economic actor that adds value to the production chain </li></ul></ul>
  • 5. Maximizing Social and Economic value Why Develop Inclusive Business? Inclusive Business Model Core Business Initiative (related to value chain) Market-Based (business need) Inclusion of Low-Income Segment Suppliers Consumers Distributors Economic Benefits (profit) Social Benefits (inclusion) High Low Business Philanthropy Non-profit Commercial For-profit Venture Does not provide sufficient opportunities to low income segments Inclusive Business Short-term intervention, not self-sustainable Producers
  • 6. Market Opportunity Inclusive Business Expected impact <ul><li>Tourism is booming in Peru </li></ul><ul><li>Market demand for responsible tourism </li></ul><ul><li>Demand for services that include poor people without sacrificing quality nor security </li></ul><ul><li>Income of 300 families increased with 250 USD/month </li></ul><ul><li>Small entrepreneurs develop and formalise their business </li></ul><ul><li>Small entrepreneurs provide their services to other tour operators </li></ul><ul><li>Replicable in other communities </li></ul><ul><li>Sustainable and permanent source of income </li></ul><ul><li>Strengthened community </li></ul><ul><li>Carriers program </li></ul><ul><li>Weavers program </li></ul><ul><li>Community tourism </li></ul>CONDOR Market Leader in Tourism Misminay community Commercial service agreement Progress to date <ul><li>170 carriers trained and perceiving an income of 700 soles / month </li></ul><ul><li>2 weavers associations formed that bill for an amount of 300 soles / woman </li></ul><ul><li>16 houses improved and owners trained to receive tourists </li></ul><ul><li>7 new tourism products designed and offered through the tour operator </li></ul><ul><li>Cóndor known for working with the best carriers in the region </li></ul><ul><li>Cóndor increased its income – offering new products and high quality services </li></ul><ul><li>Misminay community strengthened </li></ul><ul><li>Market procurement </li></ul><ul><li>Technical assistance </li></ul><ul><li>Funding (risk capital) </li></ul>THE COMPANY <ul><li>Receives the biggest amount of tourists in Peru </li></ul><ul><li>Operations in Peru and in 5 other LA countries </li></ul><ul><li>More than 50,000 tourists per year </li></ul>Production Supply Distribution Consumption
  • 7. 22/09/10 – FF/IB project – R van Haeringen Inclusive Business: expression of Social Responsibility Alignment of social responsibility with the company’s core business in a win-win situation Introduces principles like accountability, transparency and ethical behaviour Social Responsi-bility Initiative that combines social benefits with commercial gains Inclusive Business

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