3rd EU-Africa Business Forum 28 September 2009 Nairobi, Kenya Business strategies at the Base of the Pyramid: Business that Matters to the Next 4 Billion Dr. Bérangère Magarinos Director Partnerships Global Alliance for Improved Nutrition

Driven by the vision of a world without malnutrition GAIN’s mission is to reduce global malnutrition through food fortification and other sustainable strategies aimed at improving the health and nutrition of populations at risk, particularly women and children Reach 1 billion people with improved nutrition, of whom, 500 million are at risk of malnutrition About GAIN

Created in 2002 at the Special Session of the UN General Assembly on Children Established as a Swiss Foundation in 2005 Headquarters in Geneva, Switzerland Regional offices in Beijing, Dhaka, New Delhi, Johannesburg 57 staff members worldwide Donors from North America, Europe, Middle East GAIN at a Glance

Salt Iodization National Fortification AfricaAsia South America Infant and Young Child Nutrition 40 projects in 27countries, fortifying staple foods, condiments, and complimentary foods with vitamins and minerals GAIN Country Presence

Base of the Pyramid: the rise of a new business model

BoP Business Model Key components that define a BoP business model Provide unique products specific to the local community Localize value creation throughout the supply chain Enable access to goods and services Partner to better understand

The Value of the Process Key drivers of a successful BoP project Partnership amongst stakeholders, including local groups Deep dialogue over a long period of time between company and community to build mutual understanding and trust Co-creation to decide on needs and objectives Innovation in products and processes to ensure a high quality product at an affordable price Mutual value provides sustainable business and sustainable development

Opportunity: Danone saw the opportunity to create a social business model to meet their mission statement: “Bring health through food to as many people as possible”. New Product: ‘Shokti Doi’, a nutritious yogurt product tailored to meet the specific nutritional needs of Bangladeshi children New Business Model: Manufacture the product in a micro plant 50x smaller than typical Danone plant Design simple, easy to use equipment and train local workers Use local suppliers and products wherever possible Build local community awareness and understanding through tailored nutrition programs Pioneer techniques to save natural resources and produce environmentally friendly packaging Distribute locally through shops and door to door salespeople A company working at the Base of the Pyramid: Group Danone

Danone, GAIN and Grameen Bank Partners in Improving Nutrition in Bangladesh