EXPLAINING INEQUALITY WITHIN THE BOP: URBAN VS. RURAL

Abstract

Little has been written about inequality within the base of the pyramid (BOP) and how this inequality offers different opportunities and challenges to detonate inclusive business innovation processes. This research contributes to the BOP literature by offering evidence of structural differences between urban and rural BOP based on unmet needs expressed by members of the BOP in both contexts. It can also be seen as a first approximation of the knowledge that multinational corporations, social entrepreneurs and policy makers need to detonate inclusive business innovation processes at the Mexican BOP. In-depth interviews were conducted with families, owners/people in charge of small businesses and government officials in ten different BOP communities randomly selected from each of the country’s five regions. The results provide relevant insights about unattended needs, consumption habits, and differences and similarities between urban and rural BOP communities, from which business opportunities might be discovered.