2021
DOI: 10.1108/ebr-12-2020-0325
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Germinating seeds in dry soil: examining the process of frugal innovation in micro- and small-enterprises at the base of the pyramid

Abstract: Purpose This study aims to examine the process of frugal innovation (FI) in micro- and small-enterprises (MSEs) at the base of the pyramid (BOP) through the analytical lens of business models. Design/methodology/approach A case study was conducted with 30 MSEs from three different industries in a very poor region in Brazil. Findings The findings indicate that, in cases where FI is intense and dynamic, the start of the FI process is based on the reinterpretation of fashion trends and influences from the bus… Show more

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Cited by 3 publications
(6 citation statements)
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“…Second, by using data from more than 5400 Vietnamese manufacturing MSMEs operating during the 2010-2016 period, yielding a total of 37,557 observations, this study is among the first (DEA) studies focus on the performance of manufacturing MSMEs in developing countries to use big data. It is noted that the performance of manufacturing MSMEs has been examined in a few countries such as India (Kamble et al, 2020), Brazil (Borchardt et al, 2021), and Turkey (Sariyer et al, 2021), but a study combining big data and predictive analysis has not been conducted in the Vietnamese context. More importantly, the novel use of CSW means that it can provide widely acceptable recommendations for the MSMEs to help them improve their performance.…”
Section: Introductionmentioning
confidence: 99%
“…Second, by using data from more than 5400 Vietnamese manufacturing MSMEs operating during the 2010-2016 period, yielding a total of 37,557 observations, this study is among the first (DEA) studies focus on the performance of manufacturing MSMEs in developing countries to use big data. It is noted that the performance of manufacturing MSMEs has been examined in a few countries such as India (Kamble et al, 2020), Brazil (Borchardt et al, 2021), and Turkey (Sariyer et al, 2021), but a study combining big data and predictive analysis has not been conducted in the Vietnamese context. More importantly, the novel use of CSW means that it can provide widely acceptable recommendations for the MSMEs to help them improve their performance.…”
Section: Introductionmentioning
confidence: 99%
“…The present study investigates this phenomenon in the context of SL. We propose using SET (Blau 1964) to explain how SL stimulates FI via DKS. This theory argues that people feel obliged to others who provide them with support and resources needed and reciprocate desired behaviors.…”
Section: Theoretical Background and Hypotheses Developmentmentioning
confidence: 99%
“…Accordingly, frugal innovation (FI), which is based on simplification, striving for less instead of more (Albert 2022), has emerged as highly effective (Kroll and Gabriel 2020). It works by promoting the development of affordable products with only essential elements that meet the needs of resource-constrained consumers (Borchardt et al 2021;Cortese et al 2023). FI is not only an appropriate strategy to deal with resource constraints but also improves the customers' quality of life at the BOP level (von Janda et al 2020;Iqbal and Piwowar-Sulej 2023b).…”
Section: Jel Classification M10 • O30 • L26 1 Introductionmentioning
confidence: 99%
“…Bricolage, another innovation mindset, proves fitting for maneuvering through resourcescarce environments [27,60]. This approach encourages the amalgamation of available resources to solve problems and seize opportunities, serving as an engine for value creation [174]. It particularly finds application in situations where firms are resourceconstrained, enabling them to outpace competitors and generate value [175].…”
Section: Types Of Innovationmentioning
confidence: 99%
“…This includes customers, partners, suppliers, producers, investors, competitors, research institutions, civil society organiza-tions, the government, and other actors connected to the components of the business model. The configuration or reconfiguration of a business model responds to the ecosystem it operates within, and certain events or innovations can trigger systemic changes within the business ecosystem [6,32,174,177].…”
Section: Ecosystemmentioning
confidence: 99%