C.K. Prahalad (1941-2010), an internationally renowned management consultant and professor, played a pivotal role in shaping the landscape of social innovation. His groundbreaking work highlighted the importance of addressing global poverty by harnessing the power of business and entrepreneurship.

 

Prahalad's career began in academia, where he earned a Ph.D. from Harvard Business School and later held a distinguished professorship at the University of Michigan (Ghemawat, 2010). However, his work on the "Bottom of the Pyramid" (BOP) truly set him apart as an innovative thinker.

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In his seminal book, "The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits" (2004), Prahalad argued that multinational corporations could help alleviate poverty by viewing the world's poorest citizens as a viable consumer base. He suggested that this untapped market of four billion people represented an opportunity for companies to innovate and create products that would generate profits and address the pressing needs of the poor (Prahalad, 2004).

 

One of the critical aspects of Prahalad's BOP concept was the recognition of the poor as "resilient and creative entrepreneurs" (Prahalad & Hart, 2002, p. 4).

 

He posited that by engaging with these individuals, companies could foster a new wave of social innovation characterized by the development of affordable and sustainable products and services tailored to the specific needs of the BOP market.

Prahalad's work sparked a new wave of research and practice in social innovation, with numerous corporations adopting BOP strategies. Examples include Unilever's Project Shakti in India and Nestlé's Popularly Positioned Products initiative, which aimed to make essential products accessible and affordable to low-income consumers (Prahalad, 2012).

 

C.K. Prahalad's BOP concept has profoundly impacted how businesses approach social innovation, inspiring new entrepreneurs to address global poverty through inclusive, sustainable, and profitable solutions.

 

 

                                                                                                References:

 

Ghemawat, P. (2010). Obituary: C.K. Prahalad (1941–2010). Academy of Management Perspectives, 24(3), 72-75.

Prahalad, C. K. (2004). The Fortune at the Bottom of the Pyramid: Eradicating Poverty Through Profits. Wharton School Publishing.

Prahalad, C. K., & Hart, S. L. (2002). The Fortune at the Bottom of the Pyramid. Strategy+Business, 26, 2-14.

Prahalad, C. K. (2012). Bottom of the Pyramid: Reflections and Next Steps. In T. London & S. L. Hart (Eds.), Next Generation Business Strategies for the Base of the Pyramid (pp. 213-221). FT Press.