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Corporate-Led Sustainable Development and Energy Poverty Alleviation at the Bottom of the Pyramid: The Case of the CleanCook in Nigeria

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  • Sesan, Temilade
  • Raman, Sujatha
  • Clifford, Mike
  • Forbes, Ian

Abstract

Corporations are increasingly viewed as key actors in poverty alleviation. “Bottom of the Pyramid” (BoP) advocates suggest that MultiNational Corporations (MNCs) can simultaneously alleviate poverty and make profits by selling scaled-down products to the poor. Our paper investigates this claim using the case of the CleanCook stove-and-fuel technology introduced in Nigeria by an MNC working through a nonprofit organization and local business actors. Supply and demand-side analyses show that the CleanCook is least likely to reach the energy-poor BoP households originally targeted. The evidence suggests that serving the BoP requires greater differentiation than can be achieved with profit-driven business models.

Suggested Citation

  • Sesan, Temilade & Raman, Sujatha & Clifford, Mike & Forbes, Ian, 2013. "Corporate-Led Sustainable Development and Energy Poverty Alleviation at the Bottom of the Pyramid: The Case of the CleanCook in Nigeria," World Development, Elsevier, vol. 45(C), pages 137-146.
    • Handle: RePEc:eee:wdevel:v:45:y:2013:i:c:p:137-146
    DOI: 10.1016/j.worlddev.2012.10.009
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    2. Mario Pansera & Fabien Martinez, 2017. "Innovation for development and poverty reduction: an integrative literature review," Post-Print hal-02887777, HAL.
    3. Ans Kolk & Miguel Rivera-Santos & Carlos Rufín, 2018. "Multinationals, international business, and poverty: A cross-disciplinary research overview and conceptual framework," Journal of International Business Policy, Palgrave Macmillan, vol. 1(1), pages 92-115, June.
    4. Kleemann, Linda & Humberg, Kerstin, 2014. "Social business: A new private sector contribution to development? Reflections on opportunities, limitations, and risks," Kiel Policy Brief 82, Kiel Institute for the World Economy (IfW Kiel).
    5. Mariana Voros Fregolente & Marly M. Carvalho, 2023. "Exploring BoP Generations through Business Model Innovation Lens: A Review and Framing," Sustainability, MDPI, vol. 15(17), pages 1-37, August.
    6. Lee, Chien-Chiang & Yuan, Zihao, 2024. "Impact of energy poverty on public health: A non-linear study from an international perspective," World Development, Elsevier, vol. 174(C).
    7. Aman, Sadaf & Seuring, Stefan, 2022. "Interestingly it's innovation: Reviewing sustainability performance management in the base of the pyramid (BoP)," Technovation, Elsevier, vol. 112(C).
    8. Manoj Kumar, & Sachin Kumar, & Tyagi, S.K., 2013. "Design, development and technological advancement in the biomass cookstoves: A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 26(C), pages 265-285.
    9. D’Amelio, Matilde & Garrone, Paola & Piscitello, Lucia, 2016. "Can Multinational Enterprises Light up Developing Countries?," World Development, Elsevier, vol. 88(C), pages 12-32.
    10. Raja Usman Khalid & Stefan Seuring, 2019. "Analyzing Base-of-the-Pyramid Research from a (Sustainable) Supply Chain Perspective," Journal of Business Ethics, Springer, vol. 155(3), pages 663-686, March.
    11. Bensch, Gunther & Kluve, Jochen & Stöterau, Jonathan, 2021. "The market-based dissemination of energy-access technologies as a business model for rural entrepreneurs: Evidence from Kenya," Resource and Energy Economics, Elsevier, vol. 66(C).
    12. Sarkar, Soumodip & Pansera, Mario, 2017. "Sustainability-driven innovation at the bottom: Insights from grassroots ecopreneurs," Technological Forecasting and Social Change, Elsevier, vol. 114(C), pages 327-338.
    13. Cieslik, Katarzyna, 2016. "Moral Economy Meets Social Enterprise Community-Based Green Energy Project in Rural Burundi," World Development, Elsevier, vol. 83(C), pages 12-26.
    14. Tsai Chi Kuo & Wei-Jung Shiang & Jessica Hanafi & Sz Ying Chen, 2018. "Co-Development of Supply Chain in the BOP Markets," Sustainability, MDPI, vol. 10(4), pages 1-14, March.

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