Over half of the world’s population lives on $2.50 a day or less. Yet the world’s poor constitute the world’s largest untapped market.
CK Prahalad’s 2004 book, “The Fortune at the Bottom of the Pyramid,” brought companies’ attention to the huge profits to be made by tapping into the bottom of the pyramid, as well as the benefits this move could yield for the poor. Yet, many companies still wonder, what’s in it for us? As it turns out, that is the right question to ask. Too many altruistic endeavors have failed because companies were not business-oriented or profit-minded enough.
For example, Hewlett Packard’s project, dubbed “e-inclusion,” was founded under the noble goal of providing access to all the available modern digital, social and economic opportunities to everyone in the world. The project was quickly abandoned because it did not fall in line with HP’s overall mission. Proctor & Gamble introduced a product called PUR, which was a water purification powder, aimed at bottom of the pyramid markets. The product failed commercially and Proctor & Gamble stopped distributing it. DuPont attempted to reduce the suffering of millions of people from malnutrition by selling soy-fortified food. After a test run in India, the company gave in because it seemed impossible to make a profit.
Mark Martin is the vice president of international marketing at SC Johnson. He points out what he believes is the biggest challenge of harnessing bottom of the pyramid markets: “each consumer makes a very small purchase. You need lots and lots of consumers.” Because of the small purchasing power of each consumer, it is vital that costs of production are kept low.
Despite these challenges, advocates of Prahalad’s book, as well as the general public, feel corporations have a role to play in alleviating poverty. In a poll conducted by The Guardian, 83 percent responded that they believe corporations have an important role to play in the poorest markets. Seventy-three percent believe there is money to be made by serving the poor, and 89 percent see the importance of financial inclusion to enable poor people to participate in the economy.
In a live chat with a panel consisting of Mark Martin and other professionals in similar positions at different companies, all agreed that the primary focus of a company tapping into the Bottom of the Pyramid should be making a profit. Getting carried away by altruistic theories is neither practical nor efficient.
“Our customers design our products,” explains Donn Tice, CEO of d.light, a company that provides solar energy to poor rural areas. By entering a new market with a focus on making profits and the willingness to adapt the product to fit the needs and wants of target consumers, success can be achieved.
As many companies have become disillusioned with Prahalad’s premise, the professionals participating in the live chat concluded that the bottom of the pyramid still represents a vast market of untapped potential. The key to success is in adaptability, patience and attention to details.
Martin describes one of SC Johnson’s strategies, in which adaptability, patience and attention to detail are utilized. Farmers in Rwanda are trained in agricultural practices, sustainability and financial management. SC Johnson sources pyrethrum, a product used in Raid, from these farmers. This is accomplished through partnerships with nonprofits in Rwanda.
SAB Miller has a similar technique of adapting to local needs. The company adapts the beer it sells in a particular region to the local crops of the region. For example, in Mozambique, the beer is made with cassava, and in Uganda it is made with sorghum. By using local crops it not only tastes better to the consumers, but also supports local farmers and keeps costs low.
“The reason for focusing on profits for us is so we can demonstrate sustainability and stay in the markets to truly make a difference in the area we are focused,” Martin explains. Businesses, after all, survive off profits, and financial needs cannot be sacrificed for social gains. It may seem counter intuitive to noble-minded companies, but focusing less on charity and more on making a profit will benefit both the company and the consumers in the target area.
— Julianne O’Connor
Sources: The Guardian 1, The Guardian 2, The Guardian 3, Marketwatch, Reuters
Photo: Architonic
Aid to Education Decreasing
Aid to education has decreased by 10 percent since 2010. There are still 57 million children and 69 million adolescents who are not enrolled in school. Countries are beginning to worry that the goals set by the Education For All Act and the Millennium Development Goals will not be met.
For the first 10 years of the 21st century, aid to education has been steadily increasing. All three divisions — basic education, secondary education and post-secondary education — have seen rises in their funding. But educational funding hit its peak in 2010; since then, total funding has decreased, specifically in the basic education category.
Basic education is the level of education where children learn the foundational skills and core knowledge necessary to advance in the world. This is a vital step in the educational process for children across the globe, but seems to be neglected the most. Basic education is currently receiving the same amount of aid as it was in 2008.
The areas feeling the cuts most are those that are furthest from reaching their educational goals. Sub-Saharan Africa holds half of the world’s children who are not in school, and 12 of the African countries have experienced cuts totaling $10 billion since 2010.
South and West Asia have experienced the most severe cuts in their education aid. They saw cuts worth over a quarter of their total aid in 2010. India and Pakistan were hit the hardest with financial cuts.
Education seems to be a cause that is getting pushed aside when it comes to where aid is being allocated. Other sectors are receiving higher amounts of humanitarian aid; in 2013, the food sector received 86 percent of its requested funds and the health sector received 57 percent of its requested funds. Meanwhile, the education sector is struggling, receiving only 40 percent of its requested funds.
The Global Partnership for Education’s Replenishment Pledging Conference in Brussels is a two-day conference, beginning on June 25, during which donors will be asked to resubmit themselves to the global education cause. The goal is to raise $3.5 billion to support education in the poorest countries.
“We owe it to the children of the world — particularly the poorest and most marginalized — that both international donors and developing country governments step up and commit more funding to education,” said Julia Gillard, board chair of the Global Partnership for Education.
— Hannah Cleveland
Sources: World Education Blog, The World Post, RTT News
Photo: Teach
Climate Change Affects Poverty
For years we have all heard that climate change threatens the sustainable future of our environment. After studying the changes and effects of the climate on the biosphere, 97 percent of climatologists agree that these climate-warming trends will only continue, especially since human activities are the most likely cause of these trends, according to NASA. Reducing these trends will not only provide a safer and healthier environment for future generations, but it will also help those living in extreme poverty.
Especially in developing countries, the poor rely heavily on their environment. According to the U.N.’s Food and Agricultural Organization, the use of forest resources contributes to the livelihood of almost 1.6 billion people globally. Forests provide essential resources such as food, fuel, medicine and even income, showing that these billions of people and the environment in which they live share an interdependent relationship with one another.
With the effects of climate change and environmental degradation on the rise, the livelihoods and habitats of these people could soon disappear completely. It is for this reason that USAID announced the plan to give 45 million Kenyan shillings to a global climate change initiative, which will address a variety of environmental concerns, such as the loss of biodiversity, deforestation and other vulnerabilities to climate change.
With this initiative and other programs already in place, researchers are hopeful that poverty might also decrease along with the effects of climate change. Purdue University researchers announced on May 29 that global malnutrition — one of the key causes of poverty — could decrease by 84 percent by 2050. This would be a huge decrease, since the U.N. currently estimates that approximately 870 million people suffer from malnourishment globally.
However, this percentage decrease relies heavily on the improvements to be made in agricultural productivity and if climate change does not damage that productivity. Although researchers at Purdue University agree that an increase in temperatures and carbon dioxide could benefit agricultural productivity for some time by lengthening the season and improving water proficiency, they also agree that these possible benefits would only be temporary.
All this shows that climate change could have a direct impact on not only nutrition levels, but also the environments of the poor in developing countries. Since these issues are so closely connected, U.N. advisor Professor Jeffrey Sachs warned the New Environmentalism Summit that “We have to tackle climate change if we are to have any hope of tackling poverty.” Sachs also stressed the idea that climate change is not a problem for future generations, but a problem that we must address in today’s society.
Global leaders are experimenting with ways to address this issue, and many, like Sachs, hope that climate change will be a central element in the U.N.’s Sustainable Development Goals, which will expand on the current Millennium Development Goals, to continue global progress in a variety of health and societal issues after 2015. Regardless of disagreements over how to best resolve this problem, climate trends must be addressed in some way to not only help the poor, but also the planet.
— Meghan Orner
Sources:
Sources: NASA, FAO, All Africa, Purdue University, Business Green, U.N.
Photo: The Guardian
World Cup Viewed Across the Globe
The World Cup truly defines the idea of international competition. With the current 2014 World Cup only two weeks in, the viewership of clips, games, advertisements and the like are higher than any other international competition. According to latinpost.com, people have watched over 1.2 billion minutes of World Cup-affiliated advertisements, which is four times more views than the 2014 Super Bowl ads received.
FIFA research supports this, demonstrating numbers from the 2010 World Cup in South Africa. Over 3.2 billion people tuned in for at least one minute of the games, compared to 900 million that tuned into the Olympics Opening Ceremony, which is the most highly watched portion of the event.
3.2 billion people represents a large demographic of the world, many of whom represent developing countries. The World Cup represents the level of accessibility isolated countries have to opportunities even to just watch a game. There is a level of danger to watching games in some countries such as the 48 people who died in Kenya at a viewing party, but the dedication to their countries trumps their socio-economic status.
Few events draw the attention of billions, however the World Cup bonds nations. The U.S. typically has a low viewership rate of Major League Soccer in comparison to the NBA, NFL and NHL views.
The Miami Herald reported that 15.9 million Americans tuned into ESPN and Univision to watch the U.S. versus Ghana game, which is the second highest recorded viewership for a World Cup match in the U.S. It pales only to the U.S. versus England match of 2010 which held 17.1 million viewers. Trumping this, are the 18.2 million people who tuned in to watch the U.S. and Portugal battle it out, according to CNN Money.
The possible reason for this is the higher number of countries filming and reporting on the event, with 48 countries present and 34 ultra-high definition cameras watching from all angles. The more access countries have to the games, the more people who will flock to small businesses who play the games for those without home access.
Many of the countries competing represent developing countries, such as Colombia, Uruguay, Nigeria, Ghana and many others. These countries typically have low participation and success in other international competitions such as the Olympics, so they find their nationalism and support in the World Cup due to the accessibility and commonality of soccer.
The number of people tuning to watch their home countries fight for international competitive prestige shows that even in times of turmoil and struggle, nations can be united through watching a small, fuzzy screen of their teams playing everyone’s favorite sport.
— Elena Lopez
Sources: CNN, Latin Post, Miami Herald, Reuters
Photo: Zap 2 It
3 Ways Billboard Advertising Can Help Humanity
Not many people appreciate huge billboards blocking out landscapes and pushing companies’ products on such a large scale. Some companies are using innovative methods to change this perception of billboard advertising and clean the environment for their communities. This blend of environmentalism and economics allows companies to sell their brand while cleaning the air and water in their cities. These three types of billboards are doing just that:
1. River-Filtering Billboards
The Pasig River in Manila, the capital of the Philippines, has been devastatingly polluted for decades. A Japanese company has plans to clean up the river through the use of floating billboard advertising.
Shokubutsu Hana, a Japanese cosmetics brand, teamed up with the Pasig River Rehabilitation commission, Vetiver Farms and agency TBWA\Santiago Mangada Puno to design an advertisement using a grass called vetiver. Vetiver has the ability to filter water that passes through its system, cleaning pollution out of 2,000 to 8,000 gallons of water per day. It can filter out nitrates, phosphates and heavy metals, all of which are found in the Pasig.
The billboard is planted to spell out “clean river soon,” an encouragement to the community that their river is being cleansed of pollution. This phrase also serves as a reminder to passersby to avoid throwing garbage in the water. With the success of this billboard, there are plans to create more floating advertisements along the river.
2. Water-Purifying Billboards
The fifth-largest city in the Western Hemisphere is Lima, Peru. It is also located in the middle of a coastal desert, and it sees approximately half an inch of precipitation per year, while also averaging 83 percent humidity. Poor families in Lima cannot afford the exorbitant price of water — a basic necessity to survive.
The University of Engineering and Technology (UTEC) has developed a new billboard that pulls moisture from the atmosphere and converts it into drinkable water — all to advertise for the school. Although it requires electricity to run, the billboard is far easier than the unclean wells that many Lima citizens currently use. It has the capacity to produce 9,450 liters in three months, which is enough to sustain hundreds of families. The idea was the brainchild of advertising agency Mayo DraftFCB, with the hope that the billboard would draw students into engineering at UTEC, while also providing a service to the many people in need.
3. Air-purifying Billboards
In addition to the lack of water, the air quality in the city of Lima, Peru is the poorest in South America. A recent increase in construction has created a toxic atmosphere for many of the city’s residents. The pollutants near these sites cause disease, and possibly even cancer. Again partnering with Mayo DraftFCB, UTEC has developed an air-purifying billboard to alleviate the air pollution caused by growing construction.
The billboard purifies the air as much as 1,200 trees, creating a safe place to breathe within a radius of five city blocks. The billboard dissolves pollutants into water before releasing clean air back into the street. That waste water can then be recycled back into the system, and all of this happens while using only about 2,500 watts of electricity per hour.
UTEC is not the first brand to purify the air with a billboard. Back in Manila, in 2011, Coca-Cola created a billboard that actually contained plants, in partnership with the World Wide Fund for Nature. It is made up of 3,600 Fukien tea plants, which combined removed almost 50,000 pounds of carbon dioxide in a year. The plants grow as the background, forming a silhouetted Coca-Cola bottle. Even the pots the tea plants grow in are recycled from old Coca-Cola bottles. All the plants are watered through trickle irrigation, which drips water down the billboard.
Both billboards provide a healthy environment for citizens who pass through the pollutant-free area.
— Monica Roth
Sources: Fast Company, Visual News, Time, FCB Mayo, Gizmag, Triple Pundit
Photo: Shaw Contract Group
Secret Military Detentions in Thailand
As of late, Thailand has been struggling to produce a functional government. A coup in 2006 led to a military supported democratic government, which in the past six months, has suffered heavy street protests. This led to its fall and another coup on May 22 of this year. The new military junta has decided to call itself The National Council for Peace and Order led by Gen. Prayuth Chan-ocha. They have stated that they intend to install another democratic government, but the time frame for military power has been given as “indefinite.” A recent incident involving illegal military detentions do not bode well for a democratic Thailand.
This week Human Rights Watch called for the arbitrary military detentions by the Thai junta to stop. More specifically, it called for the release of a political activist named Kritsuda Khunasen, 27, who was arrested on May 28, and has not been seen or heard from since. The military government has declined to disclose any information on her whereabouts.
The reason Khunasen’s case raises some red flags is because most of the people arrested with her have been set free, and on June 17, the military junta put her name on a summons list for people who have to turn themselves in or face arrest. By putting her name on the list, it would appear that the military junta is trying to create the perception that she has not already been detained.
Rights organizations are worried they put her on the list because something has happened to her and they are trying to cover up her disappearance. However, there is video evidence of her being arrested on May 28 and her family has not seen her since the arrest.
Khunasen works with the United Front for Democracy against Dictatorship, which is a group that was opposed to the late and ineffective prime minister, Yingluck Shinawatra. They recently switched objectives and have begun to oppose the military coup. Within the group Khunasen “has been instrumental in a campaign to provide legal and humanitarian assistance to UDD members and supporters affected by political violence.” She is a well-known political activist so her detention is not surprising as many other prominent activists have been detained.
This detention is illegal. It violates the 1949 Martial Law Act which was adopted by the military junta after it took power on May 22 of this year. This law only allows for seven days of detention. Thailand is also a party of the International Covenant on Civil and Political Rights, which rules against arbitrary arrests and torture. Disappeared people historically suffer high levels of torture.
The detention of Khunasen and the possible cover-up of her disappearance is worrisome for Thailand, which has been in the midst of political crisis for years now. Since the junta took power a few short weeks ago, between 300-500 people have been detained. The junta has also enforced a curfew and has begun cracking down on immigrant labor. In fact, 188,000 Cambodians have fled the country in recent weeks.
Although the NCPO claims to be in the process of arranging democratic elections by August, an attempt to cover-up an illegal detention brings those claims into question. How can they claim to believe in democratic ideals when they detain people illegally? If the NCPO wants to move Thailand in the right direction, it would seem that Khunasen should be released, or at least given access to a doctor and legal counsel.
— Eleni Marino
Sources: Human Rights Watch, Time, NY Times
Photo: CNN
Education in Swaziland
Swaziland is a lower middle-income country with a population of about 1.2 million people. Most citizens are ethnic Swazis. The official languages are both Swati and English. Its ruler, King Mswati III, is one of the world’s last absolute monarchs, and a man who is not too keen on handing his throne over entirely to parliament.
About half of Swazis live in poverty. Forty percent of Swazis are unemployed and 70 percent of the workforce is employed in sustenance farming. In 2009, there were 0.17 physicians for every 1,000 people.
But it’s not all bad news. Roads are well-paved and far-reaching. The literacy rate is over 91 percent, which might be expected when 8.3 percent of the GDP is spent on education.
Primary school education in Swaziland is not compulsory, but is fully government-funded. Students receive textbooks, stationary, exercise books, meals and school furnishings free of charge. At age 6, students begin Grade one, followed by two and then followed by Standards one through five. At the end of the seven years, children take the Primary School Examination, which determines eligibility for future schooling. Over 90 percent of children in Swaziland complete their primary school education.
From there, things become a little bleaker. Many students forgo secondary education in favor of working to support their families. Only 20 percent of students who attend primary school go on to Forms one through three. There are two main goals of secondary education. The first is to complete schooling and join the skilled workforce in an entry-level position. The second is to take and pass the exams for the Swaziland or International General Certificate of Secondary Education. Both exams are accredited by the Cambridge International Examination and certify preparedness for university.
A tertiary education is a rare thing indeed. Just 5 percent of students go on to attend university. Students looking to stay close to home have the choice of three main universities, all government sponsored. The University of Swazliand offers bachelors, masters, and Ph.D. degrees in education, commerce and science, as well as health science and agricultural fields.
Swaziland’s Department of Education manages curriculum and assessment procedures. Education is so centralized that it can ensure the implementation of its policies. It is not responsible, though, for its budget. That is allotted by the Ministry of Finance, which has caused internal friction.
Still, Swaziland’s educational system seems to be improving. Achievement scores have, in the past, been quite low. In 2000, 76 percent of grade six students read below a grade six level. Ninety-six percent were below grade six level in math. This has improved significantly in recent years. In 2007, the 76 percent in reading decreased to 62, while the 96 percent of struggling math students dropped slightly, to 94 percent. These are projected to continue dropping.
From the investment of the Swazi government in education, to the monitoring of test scores, there are many things that Swaziland is doing right. One of the best things has not yet been mentioned: There is virtually no gender disparity among students. Education is clearly a priority in Swaziland, so improvement seems happily inevitable.
— Olivia Kostreva
Sources: Swazi Legacy, SACMEQ
Photo: Flickr
5 Facts about Education in Kyrgyzstan
Kyrgyzstan has been transitioning into its own government after the rule of the Soviet Union, which ended in 1991. Throughout the 1990s, Kyrgyzstan struggled economically due to a decline in production output after the termination of its reliance on the USSR’s industrial regulations.
Due to the country’s difficult economic history, there is a high poverty rate among its citizens; 22 percent of the population lives on less than $2 per day and 41 percent live below the poverty line. Due to the difficult economic situation in Kyrgyzstan, education in Kyrgyzstan has not been a priority. Here are five facts about education in Kyrgyzstan:
1. Low Employment Leads to Low Demand for Education
Due to the low employment rates, citizens of Kyrgyzstan saw less of a value for education after 1991. As a result, the government lowered the required education to nine years while changing other educational policies. Recently, the government has been re-investing itself in education, increasing educational spending and increasing access to education.
2. Decreasing Enrollment
The enrollment in Kyrgyzstan’s pre-primary schools is 10 percent; 87 percent for primary schools, 80 percent for secondary schools and 37 percent for tertiary schools. Throughout the past five years, these numbers have decreased. It is possible that this is due to the 2007 decree that a school uniform is mandatory for all students. Many families are unable to afford this uniform.
3. The Urban-Rural Gap
There is not a significant gender gap in education. There is, however, a gap in urban versus rural access to education. For secondary school, there are 6 percent fewer children attending in rural areas than in urban areas.
4. Struggling Academic Performance
In 2006, Kyrgyzstan scored 57 out of 57 countries for educational performance in reading, mathematics and science.
5. Low Teaching Wages
The student to teacher ration in Kyrgyzstan is one student to 24 teachers. In addition, teachers are paid less than 40 percent of the average national earnings.
Although Kyrgyzstan has been reforming its education — such as a $12.7 million grant to improve preschools — the country has many reforms left to be made in order to improve the quality of education offered to its citizens.
— Lily Tyson
Sources: 24 News Agency, UNICEF, Ministry for Education
Photo: Partnerships in Action
Sri Lankan Safety: Preparing for Natural Disasters
On December 26, 2004, an earthquake at the bottom of the Indian ocean triggered an enormous tsunami that washed over large swaths of Southern Asia. Though Sri Lanka was technically only the second hardest-hit country (Indonesia having seen the most death and destruction,) it still experienced an overwhelming loss of life and infrastructure. On that day nearly 10 years ago, 40,000 Sri Lankans were killed as the massive wave crashed over their homes, schools and offices.
We all remember that day, so it’s no surprise that Sri Lankans have not forgotten the pain they endured that day and in the months and years that followed in which they strove to rebuild what they could of what was lost. By better preparing themselves for natural disasters, Sri Lankans hope to ensure that rebuilding their communities has not been for naught.
Research efforts supported by the International Development Research Centre have been used to design alert systems that will increase Sri Lankan safety and better inform communities when disasters are headed their way, giving individuals more time to protect themselves and their families. These new alert systems were specifically created to be able to access even the most remote areas of Sri Lanka, where inadequate communication on behalf of government authorities left unaware individuals most vulnerable.
To be used in circumstances of tsunami, tornadoes, earthquakes and other “rapid-onset disasters,” the new national warning system is sure to save many lives with the next natural disaster that hits Sri Lanka. By investing in the safety of its citizens, Sri Lanka is also investing in a more prosperous populace.
Natural disasters can quickly throw individuals into abject poverty, leveling their homes and workplaces in a span of minutes. Though the new alert system does not strengthen the infrastructure rebuilt in the 10 years since the Boxing Day tsunami, by allowing individuals to seek shelter sooner when natural disasters are headed toward them, Sri Lanka is simultaneously allowing those individuals to protect themselves and their families against the destruction these disasters can wreak on humans, which itself can cost thousands of dollars.
Other developing nations would be wise to emulate Sri Lankan safety by better preparing themselves for the natural disasters that occur in their corners of the world. Protection from destruction is a step toward flourishing in the future – a fate which many more Sri Lankans can now happily expect.
— Elise L. Riley
Sources: IDRC, BBC
Photo: Sunday Observer
Why Sell to the Bottom of the Pyramid?
Over half of the world’s population lives on $2.50 a day or less. Yet the world’s poor constitute the world’s largest untapped market.
CK Prahalad’s 2004 book, “The Fortune at the Bottom of the Pyramid,” brought companies’ attention to the huge profits to be made by tapping into the bottom of the pyramid, as well as the benefits this move could yield for the poor. Yet, many companies still wonder, what’s in it for us? As it turns out, that is the right question to ask. Too many altruistic endeavors have failed because companies were not business-oriented or profit-minded enough.
For example, Hewlett Packard’s project, dubbed “e-inclusion,” was founded under the noble goal of providing access to all the available modern digital, social and economic opportunities to everyone in the world. The project was quickly abandoned because it did not fall in line with HP’s overall mission. Proctor & Gamble introduced a product called PUR, which was a water purification powder, aimed at bottom of the pyramid markets. The product failed commercially and Proctor & Gamble stopped distributing it. DuPont attempted to reduce the suffering of millions of people from malnutrition by selling soy-fortified food. After a test run in India, the company gave in because it seemed impossible to make a profit.
Mark Martin is the vice president of international marketing at SC Johnson. He points out what he believes is the biggest challenge of harnessing bottom of the pyramid markets: “each consumer makes a very small purchase. You need lots and lots of consumers.” Because of the small purchasing power of each consumer, it is vital that costs of production are kept low.
Despite these challenges, advocates of Prahalad’s book, as well as the general public, feel corporations have a role to play in alleviating poverty. In a poll conducted by The Guardian, 83 percent responded that they believe corporations have an important role to play in the poorest markets. Seventy-three percent believe there is money to be made by serving the poor, and 89 percent see the importance of financial inclusion to enable poor people to participate in the economy.
In a live chat with a panel consisting of Mark Martin and other professionals in similar positions at different companies, all agreed that the primary focus of a company tapping into the Bottom of the Pyramid should be making a profit. Getting carried away by altruistic theories is neither practical nor efficient.
“Our customers design our products,” explains Donn Tice, CEO of d.light, a company that provides solar energy to poor rural areas. By entering a new market with a focus on making profits and the willingness to adapt the product to fit the needs and wants of target consumers, success can be achieved.
As many companies have become disillusioned with Prahalad’s premise, the professionals participating in the live chat concluded that the bottom of the pyramid still represents a vast market of untapped potential. The key to success is in adaptability, patience and attention to details.
Martin describes one of SC Johnson’s strategies, in which adaptability, patience and attention to detail are utilized. Farmers in Rwanda are trained in agricultural practices, sustainability and financial management. SC Johnson sources pyrethrum, a product used in Raid, from these farmers. This is accomplished through partnerships with nonprofits in Rwanda.
SAB Miller has a similar technique of adapting to local needs. The company adapts the beer it sells in a particular region to the local crops of the region. For example, in Mozambique, the beer is made with cassava, and in Uganda it is made with sorghum. By using local crops it not only tastes better to the consumers, but also supports local farmers and keeps costs low.
“The reason for focusing on profits for us is so we can demonstrate sustainability and stay in the markets to truly make a difference in the area we are focused,” Martin explains. Businesses, after all, survive off profits, and financial needs cannot be sacrificed for social gains. It may seem counter intuitive to noble-minded companies, but focusing less on charity and more on making a profit will benefit both the company and the consumers in the target area.
— Julianne O’Connor
Sources: The Guardian 1, The Guardian 2, The Guardian 3, Marketwatch, Reuters
Photo: Architonic
World Food Program USA: What it Does
In the ever-evolving global fight against hunger, the World Food Program USA, an ally of the United Nations World Food Programme (WFP,) is leading the charge against the humanitarian issue.
With its headquarters in Washington D.C., WFP USA is thought of as the American arm of WFP. While WFP is the largest humanitarian agency fighting hunger throughout the world, World Food Program USA “builds support for WFP through fundraising, advocacy and education in the United States.”
Through its work to connect American businesses, organizations and philanthropists, WFP USA seeks to “transform the lives of hungry people across the planet.” The organization views its relationship with American citizens as key to solving world hunger.
WFP USA releases an annual report each year detailing the state of hunger throughout the world. Its most recent report noted how the effects of conflicts in certain countries, including Syria, the Philippines, the Central African Republic and South Sudan, destabilize the ability for each nation to combat hunger and food security.
WFP has recently collaborated with such organizations as Yum! Brands, India Charitable Foundation and a bracelet line called The Brave Connection. These collaborations are sought to strengthen ties with different organizations.
Moreover, WFP seeks to alleviate the hardships caused by natural disasters or other emergencies, including a lack of adequate school meals and inadequate food security. The organization also strives to make a difference for women throughout the world.
A non-governmental agency, WFP received over $20 million last year through a combination of grants and fundraising. Both WFP and WFP USA rely upon contributions made by everyday individuals in order to continue to fight against global hunger and its related issues.
Through its relationship with WFP, WFP USA is one of the foremost leaders in the fight against world hunger. By working with businesses large and small and Americans of all socioeconomic classes, WFP USA is able to make an impact worldwide.
— Ethan Safran
Sources: World Food Program 1, World Food Program 2, Franchising, Huff Post
Photo: WFP USA