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Danimal in South Africa: Management Innovation at the Bottom of the Pyramid

Verity Hawarden; Helena Barnard

商品編號:9B10M099
出版日期:2011/01/21
再版日期:
商品來源:Ivey/GIBS
商品主題:Entrepreneurship; General Management/Strategy; International Business
商品類型:Case (Field)
涵蓋議題:Social Marketing;Positioning;Developing Countries;Innovation
難易度:5 - MBA/Postgraduate
內容長度:15 頁
地域:South Africa
產業:Food and Kindred Products
事件年度:2010

The case focuses on management innovation in the South African dairy industry, describing how an innovative new yoghurt product, Danimal, was created specifically for the market at the base of the pyramid. It explains how management of the product line embodied the various innovation opportunities and challenges presented. The concept was initially introduced in order to assess the feasibility of profitably servicing this market. However, the project was not simply about introducing a cheap brand to poor people but was more about creating brand awareness in the market at the base of the pyramid. The new product took into consideration the nutritional shortcomings in the diet of children in this market and also allowed for the lack of available infrastructure - electricity and refrigeration. The case illustrates the importance of a product being affordable, relevant and available for this market. Innovation went further than product design and also took into account the necessity of a lean distribution channel. This took the form of micro-distributers, referred to as Danimamas, who comprised township residents, unemployed or part-time employed individuals. The case offers insights into the complexity of doing business in developing countries. The company admits that it has not been a sustainable business model in terms of current profitability but the value that has been gained from social marketing and long-term brand development has been great. The case concludes with the challenge of how to ensure that the project continues on its upward trajectory. The objectives of the case are to encourage students to have a better understanding of the strategies required to successfully impact on low-income markets in developing countries, the different metrics that one could consider when assessing the impact of interventions on the base of the pyramid market, and the importance of harnessing opportunities and overcoming the challenges of management innovation.

教學手冊:8B10M099
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