BOP Business on Poverty Reduction in Developing Countries: Effects and Strategies
Keywords:Poverty, BOP Business, Developing Countries, Effects, Strategies
Alleviating poverty has long been addressed as one of the most significant social issues in the developing world. The Base of Pyramid (BOP) business has become one of the most innovative ways to mitigate poverty by private sectors, while much less existing research has been conducted on the effects on poverty reduction and on the BOP business development strategy. Using secondary data compiled between 2000 and 2020, primarily from the World Development Indicators, and multiple linear regression modeling, the BOP business cases predicting the R2 variance in poverty headcount ratio was evaluated in 61 developig countries. The cases were found to be a significant predictor (F [1, 1268] = 12.822, p = .000), and thus justifying a theoretical framework representing poverty reduction and the BOP business maturity. Also, the grounded theory developed a conceptual framework of the BOP business development strategy that combines the economic development conditions per income lavel.