Bottom-of-the-Pyramid: Organizational Barriers to Implementation

by Mette Olsen, Eva Boxenbaum


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Abstract

A new branch of corporate sustainability, Bottom-of-the-Pyramid (BOP), seeks out new market opportunities with low-income consumers in the developing world that simultaneously contribute to the sustainable development of these regions. While many companies consider the addition of BOP strategies to their sustainability portfolio, many also hesitate because of the uncertainties that surround this new sustainability practice. This article investigates strategies adopted by the corporate sustainability function in Novozymes, a multinational company with a solid track record in corporate sustainability, to implement a BOP project within key areas of the company’s operational core. There are four internal organizational barriers that interlock one another and that have so far prevented the implementation of this project in key areas of operations. The article examines the challenges for sustainability managers who seek to overcome interlocking cognitive, processual, and structural barriers to the implementation of this new branch of sustainability practices.

California Management Review

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