Algramo: Smart Purchasing

Published 26 Oct 2015
Reference 6167
Topic Strategy
Region South America
Summary

Algramo is a company whose objective is to improve the lives of those living below the poverty line. Using a revolutionary technology tailored to "bottom of the pyramid" customers, Algramo's products can save families on average 40%, while the company’s return is around 20%.

Teaching objectives

The case provides instructors with an excellent opportunity to discuss the strategy of a business with a social purpose and a heavy reliance on innovative design. The options facing Algramo regarding expansion, while remaining loyal to the company´s original version, encompass a wide range of possible strategies that will challenge student thinking.

Keywords
  • Social Entrepreneurship
  • Ghetto Tax
  • South America
  • Social Impact
  • Making Money with the BoP
  • Dispenser Machine
  • Q11516
  • Corporate Governance
  • Value Creation, Strategy and Implementation