Leveraging Constraints for Innovation

9OVERCOMING MARKET CONSTRAINTS IN EMERGING MARKETS: LESSONS FROM SOCIAL ENTERPRISES IN THE INDIAN HEALTHCARE SECTOR

Nivedita AgarwalFriedrich-Alexander-Universität, Erlangen-Nürnberg, GermanyAlexander BremFriedrich-Alexander-Universität, Erlangen-Nürnberg, Germany

Introduction

Social enterprises are hybrid ventures that use innovative business models to address existing societal challenges in a financially sustainable way. Creating social impact is the main goal of such enterprises, and generating economic value is necessary for their sustainability. The immense success of these social enterprises in emerging markets has caught the attention of both business and academia. Blending business strategies with inclusive growth, these enterprises have reached unimaginable scale and inaccessible markets. Leading exemplars are the Grameen Bank and the Bangladesh Rehabilitation Assistance Committee in Bangladesh and Aravind Eye Care System (AECS) and Narayana Health in India. For example, Grameen Bank offers microfinancing opportunities to more than 97% of the villages in Bangladesh while the Bangladesh Rehabilitation Assistance Committee has successfully delivered healthcare services to more than 90% of the households in hard-to-reach regions. Similarly, AECS and Narayan Health, accessing over 15 million blind people and around 2 million heart patients every year, have been successful in reaching the poor population in India who were cut off from traditional healthcare structures. ...