Innovation and the base of the pyramid (BOP) context

Abstract

This entry focuses on critical interlinkage between innovation and the base of the pyramid (BOP), which represents the economically marginalized majority of global population. The entry presents a background of the BOP concept and summarizes the key elements stressed by extant research concerning this topical area. The entry specifically considers how innovation is intrinsically associated with the BOP context, as life quality of this population segment has been improved through various innovative approaches which resulted in social empowerment, financial inclusion, affordable housing, and entrepreneurial development. In line with this, the entry refers to indigenous innovation, which is also termed jugaad innovation or agile innovation, along with more popular innovative applications such as FinTech, InsurTech, and HealthTech. It further discusses how such forms of innovation tend to empower the BOP population segment. Finally, the entry refers to agility and resilience of BOP entrepreneurs and innovators, considering BOP not only an object or source of innovation, but also a valuable contributor in innovation and value co-creation.