How can shakti contribute to hll s bottom line make an economic case

To access this wide range of sources, Genpact has begun applying the retail sourcing model to hiring by opening storefronts for recruiting — job stores where candidates can walk in to apply for jobs and get offers within four to six hours.

It signifies a shift from aid which focuses on infrastructure projects through public spending, to a belief that the people through the market forces, and the private-sector are essential to poverty alleviation.

This was because growth rates in urban markets would slow down as competition heated up and the number of competitors continued to grow while rural markets and their wealth remained largely untapped.

This gives HLL access to large markets that would not otherwise be easily accessible. Grameen Bank expanded its lending and GrameenPhone harvested a network of women reselling phone calls through their network. Was it a CSR initiative. Leaders, however, take risks and break out of industry conventions.

The story of Kegg Farms, a pioneering Indian poultry producer is remarkable and is now a case study at the Harvard Business School.

The expression "bottom of the pyramid" was coined by C. You may also want to join the discussion group on the topic at: What was the motivation for the Shakti initiative.

Then AMUL built up a huge milk industry from scratch together with local farmers. Applying best practices from supply chain management and vendor development to the HR domain, it has redefined the paradigm of people recruitment and development.

Such amounts are used for their daily consumption needs as well as for making goods to sell. Stable brands were running out of internal budgets The brands which were funding for Vani programs from their advertising expenses were facing budgetary constraints.

Additionally, it creates an eco-system that is inherently sustainable. Acumen Funda non-profit venture fund that invests in entrepreneurial solutions to address poverty, endorses what it calls a new kind of financial investment mechanism called patient capital.

The age of social entrepeneurship

The Social Entrepreneurship Bloom The line between pure non-profit work and socially-minded business is blurring. Even if Shakti is not profitable, it is serving its larger purpose of improving the standard of living in rural areas, empowerment of women, creating awareness about hygiene, extending benefits of information technology to rural area.

Therefore, the third key to unlock the fortunes at the bottom of the pyramid, along with compassion and innovative business models, is the skill to create partnerships. It identified rural India as a key source of growth and competitive advantage in the future.

The other is to accelerate the growth of incomes of people below the required income line by providing them with opportunities to increase their incomes through employment or business entrepreneurship.

Inclusion, the way to market growth

The most obvious is innovating in the value proposition. The entrepreneur Arvind Mills saw a niche market in stylish jeans at an affordable price that was not being filled by any company.

Members use the loan out of the group corpus for their personal needs initially.

Hll Shakti Case Analysis

It also enables HLL access hitherto unexplored rural hinterlands. From the current figures of 12, entrepreneurs across 12 states and 50, villages, the Shakti Project must double its reach tovillages by the end of Due to the large scale Arvind Mills manages to make a profit on the low margins per jeans.

Example- Network creation must be stressed among women for better results. The impact is slow and HLL too is not expecting any quick returns on this project. The sponsoring agency would offer micro-credit to one or more members of the self-help groups in rural India and HLL would partner with these recipients by offering them opportunities for micro-enterprise.

In general BOP cost structures are kept low by selling very large volumes and thus profiting from economies of scale. Now the model has been refined based on our learning here and we expect to roll out quickly in other states. Dec 11,  · 2) How can Shakti make a contribution for HLL bottom line By the following measures Shakti can contribute for HLL bottom line.

Ø Shakti can provide a loyal customer base and a self motivated team of sales representatives which can penetrate the rural market which is largely untapped.

Shakti is HUL’s initiative that combines social responsibility, sustainability, and business strategy.

Case Study

India has more than 6, 30, villages, most of these are 'hard to. Despite the widely accepted ideal of “shared value,” research led by Harvard Business School’s Kasturi Rangan suggests that this is not the norm—and that’s OK.

With working capital provided by HLL, Shakti women entrepreneurs sell HLL products to their local village. This gives HLL access to large markets that would not otherwise be easily accessible.

70% of the Indian population lives in villages, of which there are aroundDec 11,  · 2) How can Shakti make a contribution for HLL bottom line By the following measures Shakti can contribute for HLL bottom line.

Ø Shakti can provide a loyal customer base and a self motivated team of sales representatives which can penetrate the rural market which is largely untapped.

How can Shakti make a contribution to HLL's bottom line? HLL total turnover= Rs.

Case Study

billion Direct rural business in bottom end market= 20% of HLL turnover= 22 billion Also, direct coverage of rural business=40% of total rural business So, total rural business= 22/=55 billion Shakti’ contribution in HLL rural turnover =15 % of total rural business = billion Currently, Shakti is contributing % to .

How can shakti contribute to hll s bottom line make an economic case
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The age of social entrepeneurship | Asia Times