From outsider to insider: A Western SME's journey to inclusive innovation in a base-of-the-pyramid market

Sina Mortazavi, Markus Raatikainen, Esa Hiltunen, Roman Teplov*, Juha Väätänen, Mika Gabrielsson

*Corresponding author for this work

Research output: Contribution to journalArticleScientificpeer-review

Abstract

This study provides an in-depth look at how small- and medium-sized enterprises (SMEs) in the healthcare sector can enter a Base-of-the-Pyramid (BoP) market and foster inclusive innovation (ININ), an innovation meant to offer growth in BoP communities. The study stems from the intersection of internationalization and BoP literature by exploring how companies can internationalise and gain insidership in a BoP market through ININ. This qualitative case study uses primary and secondary data from a Finnish SME and non-governmental organization (NGO) to understand how this partnership led to inclusive expansion into Kenya. This study resulted in a conceptual framework for SME internationalisation through ININ. The findings identify challenges, including a lack of trust and market knowledge, the need for operational and financial adaptation, and antecedents, such as market exploration, partnership, and community inclusion. The study highlights the importance of collaboration with NGOs and suggests five propositions for further research.

Original languageEnglish
Article number115042
Peer-reviewed scientific journalJournal of Business Research
Volume186
ISSN0148-2963
DOIs
Publication statusPublished - 04.11.2024
MoE publication typeA1 Journal article - refereed

Keywords

  • 512 Business and Management
  • Base of the pyramid
  • Case study
  • Inclusive innovation
  • Insidership
  • NGOs
  • SMEs

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