Encouraging Social Entrepreneurship in South Asia

Understanding the need to design for extreme affordability is giving birth to a new generation of entrepreneurs. These are entrepreneurs with a social conscience who are motivated by the desire to do good and do well at the same time. They are finding new ways to empower the poor by satisfying their basic needs for safe water and electricity in emerging markets.

According to Wikipedia definition, a social entrepreneur is someone who recognizes a social problem and uses entrepreneurial principles to organize, create, and manage a venture to make social change. Unlike a business entrepreneur who typically measures performance in profit and return, a social entrepreneur assesses success in terms of the impact s/he has on society. While social entrepreneurs often work through nonprofits and citizen groups, many work in the private and governmental sectors.

The main aim of a social entrepreneurship as well as social enterprise is to further social and environmental goals. This need not be incompatible with making a profit, but social entrepreneurs are often non-profits. Social enterprises are for ‘more-than-profit’.

In addition to their inner desire to help others while also helping themselves, what has encouraged such entrepreneurs is the successful penetration of the mobile phones among the poor in India and Pakistan, many of whom subsist on less than a dollar a day. The rapid growth of cell phones among the rural poor in South Asia has shown that even the poorest of the poor are willing to offer several months' earnings for the benefit of connectivity. By doing so, they have demonstrated their potential as consumers of affordable products that offer them real benefits, such as a glass of safe drinking water and a bright source of light at night.

Safe, Clean Water for the Masses

Saafwater, Inc. is a startup helping people in Karachi, Pakistan with access to safe drinking water. The company founders, Sarah Bird, Saira Khwaja and Khalid Saiduddin, emerged as finalists in Massachusetts Institute of Technology’s 100k Entrepreneurship Competition in 2007, and received $10,000 to put the concept of SaafWater into practice.

The company's first product is SaafWater Daily Capsule - a simple capsule of chlorine solution that can treat one family’s daily supply of drinking water. SaafWater’s mission is to provide affordable clean water to low-income communities in urban areas. Their goal is to create a profitable distribution network that can supply billions of people with clean water.

The company has worked closely with the US Centers for Disease Control’s Safe Water System which has been responsible for pioneering this technology and reaching an estimated 16 million users worldwide. With their help the company has learned from their experiences and to ensure that it meets all the relevant World Health Organization Guidelines for Drinking Water Quality.

Going door-to-door, SaafWater representatives sell daily chlorine capsules, which can be immersed in a family’s water container rendering the supply free of contaminants in 30 minutes. Sales representatives offer a week’s supply for about 30 rupees, the rough equivalent of U.S. 40 cents. SaafWater also plans to launch independent programs with existing NGOs to help create self-sustaining water purification programs throughout Pakistan.

Saafwater's vision is to build and extend this network to include many other life-saving and life-enhancing products such as clean-burning fuels, sanitation, renewable electricity, refrigeration, eye-glasses, multi-vitamins for mothers and children, and construction materials to name but a few.

Bright Light for Night

D.light, founded by two Stanford graduates, marries next-generation light-emitting diodes (LEDs), proprietary power-management tools, and increasingly cheap solar panels. The founders, Nedjip Tozun and Sam Goldman, attended Professor Jim Patell's Stanford Business School class called Entrepreneurial Design for Extreme Affordability, highlighted recently by Fortune Magazine.

As a result, D.light is able to offer poor communities an affordable alternative to kerosene, which is ubiquitous but hazardous. The quality of the kerosene lamp light isn't good, it emits pollutants, and it's just plain dangerous. "You travel around these villages, and everyone has a story of a child being burned or a house destroyed by fire," says Tozun, speaking to Fortune by phone from his office in Shenzhen, China. "And yet in some places we found that people were spending 15% to 20% of their income on light." The world's poor spend about $38 billion a year on kerosene for lighting, according to the International Finance Corp.

According to Fortune magazine, the D.light lamps sell for about $25, steep for someone earning $1 per day, but the D.light team quickly found that the quality of light was so good that people with the D.light lamps were able to do more work at night and increase their income. Two families in New Keringa, a village of 47 families in southern India, took the plunge on D.light lamps. Says Tozun: "All of a sudden the two families were able to work at night," mostly weaving banana leaves into plates. "Their average monthly income increased from $12 to $18, and they could save the time spent traveling to buy more kerosene." Within a few days the entire village had sprung for the lights. "These people are great customers if you give them a clear value proposition," Tozun says.

In November, D.light raised $6 million in venture capital funding from Draper Fisher Jurvetson and Garage Technology Ventures, among other venture capital firms, to ramp up production and get its lamps into markets, initially in India and Africa.

Empowering would-be customers is one of the mantras of Patell's class at Stanford. Each year some students, like Goldman and Tozun, take their ideas and try to build businesses. Patell doesn't expect every student to start a company, but he does demand that every product in the class offer poor consumers tools for their own microenterprises. "We want to design things so that a farmer can decide to leave his farm and support his family selling water pumps or drip-irrigation tubing," Patell says. "We want things to be sold at a price that covers the cost of manufacturing and distribution."


The need and the opportunity for social entrepreneurs have never been greater. Both SaafWater and D.light are examples of what the institutions of higher learning can do to encourage such entrepreneurship catering to the needs of the billions of poor people in Africa, Latin America and South Asia who can potentially become a huge new lucrative market. What is needed is for the budding entrepreneurs to recognize such opportunities to offer highly useful and essential products at extremely affordable prices. Educational institutions in Pakistan and India can and should play a leading role to encourage and prepare them to do good and do well, and investors should open their minds to see the great opportunities that lie ahead for them to make good returns on such investments.

Related Links:

Supporting Youth Entrepreneurship

iGenius Goes Big in Pakistan

India's Innovative Social Entrepreneurs

Youth Engagement Services (YES) Network in Pakistan

Water Shortage in Pakistan

United Nations World Water Development Report

Water Resource Management in Pakistan

Water Supply and Sanitation in Pakistan

Light a Candle, Do Not Curse Darkness

China Profile

Safe Drinking water and Hygiene Promotion in Pakistan

UN Millennium Development Goals in Pakistani Village

Orangi Pilot Project

Three Cups of Tea

Volunteerism in America

Dr. Akhtar Hamid Khan's Vision

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Comment by Riaz Haq on February 7, 2013 at 9:32pm

Here's a Guardian report on social entrepreneurship in Pakistan:

The social enterprise landscape in Pakistan is nascent but fast-growing. From diverse sectors ranging from dairy farms to educational hubs to micro drip irrigation, early-stage enterprises have the potential of achieving hybrid financial return and social impact. Crucially, they are attracting interest from impact investors and business angels alike.

But how can these entrepreneurs be better financed, nurtured and trained?

Crucially, funding for small enterprises should meet the specific needs of the entrepreneur from seed financing to venture capital to growth equity. Social entrepreneurs need financial, but also non-financial, support such as mentoring, implementation guidance, and skills training development. Business school 'accelerator' programs and incubator hubs, which aim to accelerate the development of successful enterprises through such support mechanisms, combined with strong policy frameworks, can help create a long-term, self-sustaining ecosystem.

A report launched today by the Economic Policy Group (EPG) explores how incubator hubs can unlock the innovation potential of Pakistan's social entrepreneurs.

Successful incubator models already exist in some of Pakistan's premier business schools. The country's top business school, the IBA in Karachi, has in fact launched a partnership with Invest2Innovate (i2i), a social impact intermediary, to fast track the best entrepreneurs through its i2i Accelerator, a four-month program providing access to quality entrepreneurship education, skills, and opportunities.

"The IBA-i2i partnership helps start-ups who have passion and ability, but not the resources, to start their own businesses. It is a necessary step for growing and scaling viable businesses in the Pakistani market," says Kalsoom Lakhani, founder of i2i.

Other independent incubators across Pakistan, such as the Pasha Social Innovation Fund and Women's Business Incubation Centre, work with entrepreneurs across demographic segments in both rural and urban areas. The rise in popularity of these players is largely due to their ability to harness technology and digital media as communication platforms to empower entrepreneurs.

In the northern areas of Pakistan, where honey is one of the main agricultural commodities, Hashoo Foundation's Honeybee Project provided women beekeepers with beehives, as well as the associated training programmes to transfer this specialised skill-set to the wider community.
------------
According to Dr Iman Bibars, regional director of Ashoka Arab World, "creating awareness for the potential of entrepreneurship among policymakers, relevant institutions and the public at large is essential to help establish an enabling environment that social entrepreneurs can flourish in."

On a macro level, the investment in human talent and institutions will raise both investor confidence and entrepreneurial confidence in the country. By changing minsets through incubator hubs, education, mentoring and training programmes, a strong enabling environment for social entrepreneurship can be fostered in Pakistan.

http://socialenterprise.guardian.co.uk/social-enterprise-network/20...

Comment by Riaz Haq on October 16, 2014 at 8:27am

Social enterprise is an emerging force in Pakistan

New social start ups tackling water, energy and construction challenges in Pakistan hope to help break the country’s reliance on aid

Walled city of Old Lahore, PakistanIn Pakistan, new social enterprises hope to break the country’s reliance on international aid. Photograph: Daniel Berehulak/Getty Images

The term social enterprise may be relatively new in Pakistan but it is gaining popularity in its areas of development.

While it may be an unfamiliar concept for many engaged in local grassroots businesses they can nevertheless see the potential of engaging in ventures which have a social impact.

According to the Opportunity Pakistan Report – produced by i-genius, an initiative supporting social entrepreneurs worldwide – despite the country’s social and political unrest, it offers opportunities for investment and innovation.

“Countries experiencing transition are fertile places for new ideas to thrive”, said Shivang Patel, commission coordinator of i-genius. “Despite media attention in the west on all things bad in the region we found a country progressing through slow but significant positive reforms. There is considerable untapped potential for social businesses”.

A new wave of creative and confident young entrepreneurs has emerged developing innovative start ups in areas such as environment, health and skills. Scores of young women and men from remote areas of Pakistan are becoming social entrepreneurs.

A longstanding lack of investment in Pakistan’s public sector has prompted local business leaders to invest in ideas which tackle issues such as water and sanitation problems as well as those which can address its energy and environmental concerns.

Water

One such example is Pharmagen Water. Established in 2007,it aims to provide poor communities in Pakistan’s second largest city, Lahore, with affordable clean and purified drinking water. It is supported by theAcumen, which invests in entrepreneurs and creates venture capital which can provide solutions to causes of poverty.

PharmagenPharmagen display. Photograph: Pharmagen

“We have set up a chain of 17 shops at various less affluent areas of Lahore through which we are servicing 250,000 underprivileged people,” said the company’s CEO Parvez Sufi.

“Our water is purified with balanced minerals which is made using state of the art reverse osmosis purification process on international lines in accordance with the World Health Organisation standard”.

Energy

Another business offering a solution to parts of Pakistan’s energy strapped areas is SRE Solutions. Established just last year with Acumen’s support it offers to harness solar energy for off-grid customers in districts of Punjab and Khayber Pakhtunkhwa provinces.

Solar panelsSolar panels form SRE Solutions. Photograph: Pindi Ghaip

Sophia Ahmed, business associate of Acumen’s arm in Pakistan explains, “Its solutions range from 5W-100W, integrating imported Chinese solar panels with DC based imported bulbs and fans. They offer a viable alternative to kerosene oil based lanterns currently being used in most of the remote off grid rural communities.”

Construction

Similarly a low-cost engineering and construction enterprise, Ghonsla, was set up in the aftermath of Pakistan’s devastating earthquake in 2005. With 73,000 people killed and large parts of its cities and villages destroyed in the north by the disaster, the plight of 2.5 million people left homeless hung in the balance.

While carrying out field work during this time Zehra Ali, the company’s founder, saw a demand for sustainable, greener insulation for the housing solutions being offered to those affected by the earthquake.

“Since our product is linked directly with making people’s homes more comfortable in the winter and reducing consumption of fuel wood, it provided a part of the solution to reducing indoor smoke,” Ali explained.

In the coming months she is looking into increasing production and collaborating with another insulation firm based in Germany while working locally to increase the company’s footprint in Pakistan’s northern district of Chitral, a scenic yet underdeveloped area bordering the Himalayas.

Finance

The initial funding for Ghonsla’s pilot project came from Seed, Social Entrepreneurship and Equity Development, a venture which supports startups and grassroots innovations.

Its incubation centres in Pakistan provide opportunities for young entrepreneurs in their early years of startup.

It was established by friends Faraz Khan and Khusro Ansari and runs five distinct projects, including StartUp Dosti, a business plan based competition for early stage startups in India and Pakistan. It seeks to build relationships between the next generation of entrepreneurs from the two countries and the wider South Asian diaspora. As part of this it also launched Pakistan’s first television programme closely based on the BBC’s Dragons Den format. It is to be aired in India and Pakistan in November.

Meanwhile a second conference is also being hosted by i-genius next month in Lahore to explore how social enterprise can transform Pakistan’s economic prospects.

Blanket foreign aid funding of development projects in Pakistan, often linked to its fortune in the world of geopolitics, does not go beyond crisis management. What is more likely to get results, as some of these initiates demonstrate, is incentivising the country’s base economies which can be run on sustainable social enterprise models and help it break away from the cycle of aid dependency.

Nishat Ahmed is a freelance journalist focusing on South Asian policy and development

http://www.theguardian.com/sustainable-business/2014/oct/10/social-...

Comment by Riaz Haq on October 16, 2014 at 9:03am

Opportunity Pakistan Report by i-genius commission on social entrepreneurship:

In September 2013, fifteen people (Commissioners) from Australia, Italy, Pakistan and the United Kingdom, embarked on a journey to a country which for many was an entirely new experience. The aim was to discover the true story of a country which much has been written about but few, outsiders at least, have understood. The prism of this journey was social entrepreneurship – a form of business whereby the initiators explicitly seek to develop businesses to achieve a social or environmental benefit.

This Report seeks to articulate what the Commission discovered. Yes, it illustrates the many problems facing Pakistan but as any entrepreneur - social or otherwise - knows, such problems represent opportunities.
Pakistan’s problems present Pakistan with opportunities. Pakistan is a highly complex country. No body of people, however well intentioned, can hope to capture the magnitude of this complexity in a short visit of several days. But this, we trust, is an
authentic and considered portrayal of what we found.
All members of the Commission were agreed, Pakistan is a land of opportunity
---------

The Commission, convened by i-genius, comprising 15 members from UK, Italy, Australia and Pakistan,
visited Karachi, Lahore, Islamabad and Punjab to ascertain the opportunities and challenges facing the
development of social entrepreneurship and innovation. In understanding its work, the Commission was
mindful of the positive changes taking place such as the historic transfer of power from one
democratically elected government to another, the talent residing amongst young people, the growing
empowerment of women and the long tradition of social giving.
The Commission was impressed by the optimism and resilience of all those it encountered in both urban
and rural communities, but it does not underestimate the enormous hurdles Pakistan faces in
overcoming corruption and division within its society, which are the primary barriers to fulfilling its
potential.
Social entrepreneurs are people who create businesses to promote social or environmental
improvement. The agenda for social innovation and entrepreneurship in Pakistan and beyond is to build
sustainable businesses and institutions for all the people of Pakistan.
The guide for all stakeholders who desire a prosperous and inclusive economy should be to make easier
the journey of those who desire to improve their country. The commission believes Pakistan has
considerable untapped potential amongst all sections of society which needs to be recognised and
supported.
A full report will be published in the coming weeks which will include recommendations for political
leaders, corporations, NGOs, finance and by specific sections of society including the wealthy elite. The
Commission encourages relevant government ministries to integrate social entrepreneurship and
innovation into government policy. It is willing to contribute to this process by sharing better practice
from other parts of the world.


http://www.i-genius.org/images/Opportunity-Pakistan-Final-Report.pdf

Comment by Riaz Haq on February 13, 2020 at 4:27pm

Meet #Pakistan’s barefoot #entrepreneurs. Famous #Pakistani architect Yasmin Lari has spearheaded a project to train #beggars to become #skilled craftspeople enabling them to earn a living. | The Social Enterprise Magazine - Pioneers Post https://www.pioneerspost.com/news-views/20200213/meet-pakistan-s-ba... via @Pioneerspost

In late 2018, however, when an opportunity for a better life knocked at Marbee’s door, she decided to embrace it – by enrolling in classes to learn the craft of ‘Kashi’ (glazed tile work and terracotta art).

Marbee is one of more than 200 people from eight villages, all belonging to former mendicant (people who live on alms) communities, in Makli region of Sindh province who have been trained as part of the ‘Green Skills and Crafts for Livelihoods’ project — a collaboration between the Heritage Foundation of Pakistan and University of Glasgow, supported by the British Council.

The impoverished communities live in the shadow of the vast Makli Necropolis, a cemetery containing half a million tombs and graves and a Unesco World Heritage Site. The villages lack the grandeur enjoyed by the much-frequented tourist destination. According to World Bank estimates, about 34.2 per cent of the population in Sindh lives in poverty and rural-urban disparity in the region is very high. The numbers are bleaker in the province’s Thatta district — which is home to Makli — where close to half the residents live in poverty.

For Marbee, however, a year’s worth of training has meant that she no longer needs to ask for charity on the streets to feed her six children. The products she and other villagers make are sold in other villages and at exhibitions, with the craftspeople being paid on a biweekly or monthly basis.

“I find it easier to make ends meet now … life is better,” Marbee, who now earns 400 rupees (£2) a day, tells Pioneers Post. She says her family is now also able to save money to occasionally purchase things like jewellery for her young daughter and a goat for the household.


Mother Earth products
The participants from the eight Makli villages have been given hands-on training at workshops to produce a range of – as the Heritage Foundation calls them – ‘Mother Earth products’, articles using mostly organic materials with a zero-carbon footprint.

Each village specialises in a certain type of product, which include glazed tiles, ceramic goods, bamboo furniture, Moringa powder, mud bricks, organic soap, homemade yoghurt, ‘Pakistan 'chulah' (earthen smokeless stoves) and compost. In addition, the villagers are taught techniques to grow vegetables at the local nursery.

The villagers are trained at the Zero Carbon Cultural Centre in Makli, which has been transformed into a colourful social space where the local women and youth can come and go, besides joining in the workshops.

Comment by Riaz Haq on January 31, 2022 at 2:45pm

Pakistan start-up looks to break taboos around menstruation
Many women in the country remain uninformed about periods, but a social media-based project is targeting the problem

https://www.ft.com/content/e1bc10d8-d25b-45e7-93a3-43a024c80cd4



Saba Khalid has set herself the goal of breaking some of Islamic Pakistan’s long-held taboos with the help of the internet, smartphones and WhatsApp.

“Technology offers a sense of comfort,” she says of the work of Aurat Raaj, her Pakistani social enterprise. It educates women and adolescent girls about menstruation by means of audio messages sent via the WhatsApp social media platform.

Three years after Khalid, a journalist turned social entrepreneur, launched Aurat Raaj, she believes “there is a change of views coming” among communities in Pakistan’s southern Sindh province, where her service operates.


Though still short of meeting its objective of seeing information on menstruation included in Pakistan’s school textbooks, Aurat Raaj has come a long way, Khalid says.

Rather than treating periods as a matter of shame, she and 30 field workers — so-called menstrual champions — spread their message about periods as a healthcare matter.

Aurat Raaj says it has reached at least 50,000 women through urban and rural campaigns, as well as podcasts and gatherings known as period parties.

Internet coverage in the region is patchy, so recorded messages in the native Sindhi language, rather than live content, are sent to the menstrual champions. These cover topics such as instructions on making sanitary pads with locally available cloth and the sanitisation of pads for reuse.

For Shaiwana Nasir, a menstrual champion based in Sukkur, 350km north-east of the port city of Karachi, making inroads into communities is a gradual process. “It’s a sensitive subject. People became offended when they were first approached,” she says.

The other challenge was the low level of smartphone ownership among women in the roughly 50 villages in Nasir’s area of responsibility. “We had to first convince village elders that this was an essential service. Once we gained acceptability, we were able to enrol local women in our sessions,” she says.

Each menstrual champion sets aside a room, typically in their home, where women gather to hear audio messages and participate in group discussions.




Breaking taboos around menstruation in rural Sindh has been difficult, because of the deeply conservative values many residents hold. Similarly, on matters of sex and birth control, the challenge was evident at a clinic in Karachi, where a doctor saw a woman in her mid-twenties who was in her seventh pregnancy in as many years of marriage to a truck driver.

The couple and their six children live in a two-room slum in Lyari, one of Karachi’s poorest neighbourhoods, where waterborne infections and other ailments are rife. “I told [the patient] that her life will be in danger [if she has more children], but it’s the same reply as I have heard from other patients — the husband doesn’t agree,” the doctor says.



The challenge of discussing sex-related issues is greatest among Pakistan’s uneducated poor — almost one-third of the population lives below the poverty line — but women from middle- and upper-income households also face obstacles in accessing such information. “In many homes, irrespective of their income level, women are under pressure to have more children,” the doctor adds. “The ideal of a two-child home is disregarded because families and husbands insist on large families.”

Khalid, however, remains optimistic. Although the Covid-19 pandemic forced Aurat Raaj to scale back meetings last year, the platform has since returned to its regular schedule, and the number of menstrual champions is set to rise to 100 in Sindh. Khalid is also hoping to expand Aurat Raaj’s services into Punjab province, which is home to some 60 per cent of the country’s population, and to send out its messages in local languages such as Punjabi and Pushto.

Comment by Riaz Haq on July 14, 2022 at 5:02pm

Speaking at the inaugural event of the new Infosys Science Foundation (ISF) building in Bengaluru Thursday, founder of Infosys Ltd Narayana Murthy stressed on the need to offer innovative and affordable solutions in science, mathematics and engineering to solve India’s “grand problems”.

https://indianexpress.com/article/india/india-still-a-long-way-from...

“Our country is making scientific and engineering progress. We have sent rockets and satellites into space, built dams, steel plants and have produced Covid vaccines. However, we are still a long way off from solving our grand problems of education, healthcare, nutrition and shelter for every one of our 1.4 billion Indians,” he said.

He added, “As people interested in science, mathematics and engineering, we must think about how they can solve our grand problems. The need of the day is for us to use the power of the human mind to find quick, innovative and affordable solutions to these and other major problems that our country is facing.” He added, science is a “front-line warrior” against solving the grand problems.

The ISF, which opened its physical space in the city Thursday, aims to facilitate opportunities for science enthusiasts, start-ups, companies, industrialists and students to exchange ideas and congregate to deliver science related speeches, presentations, workshops that addresses a larger social issue.

Kris Gopalakrishnan, the co-founder of Infosys, said, “Not many are utilising the advantage of Bengaluru’s capabilities in terms of tapping into deep technology and using the public spaces to exchange ideas. ISF wants to bring in the collaborative culture to utilise science and technology and work together in a public space. I also feel that we need to invest more money in research, wherein we need to increase spending from 0.7% of GDP to 3% of the GDP.”

ISF is also a foundation that gives the Infosys Prize to Indian scientists and scholars working on path breaking research in categories like engineering, computer science, mathematical sciences, social sciences, life sciences, physical sciences and humanities.

The inaugural event also featured a panel of students at various stages of their education and research careers who spoke about their aspirations and experiences in the greater Indian research landscape. A panel comprising Arundhati Ghosh (Executive Director, India Foundation for the Arts), Jahnavi Phalkey (Founding Director, Science Gallery Bengaluru), and V Ravichandar (Honorary Director, Bangalore International Centre) also discussed the importance of public spaces in enabling arts and sciences.

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