The Pyramid and the Pie: Corporate Involvement in Sustainable Development

by Atul Wad.

How do we solve the problems of poverty in developing countries? Increasingly, people look to the private sector as an answer.

Notable in this trend is the recent book by Professor C.K. Prahalad, "The Fortune at the Bottom of the Pyramid," in which he makes the compelling argument that corporations need to go beyond concepts of corporate philanthropy and social responsibility if they seek to combat global poverty (the bottom of the pyramid). In doing so, he says, they can reap larger profits while also achieving social good.

Central to this thesis is that corporations need to start viewing the poor as 'customers' for a range of products, services and technologies, which, if properly designed, priced and distributed, will benefit the underprivileged.

Professor Prahalad has done a great service by this contribution; nevertheless, some issues need to be recognized if one is to have a broader perspective of the problem at hand.

..... The rest of this article is available on Sustainablebusiness.com