Chapter 1

Title: The Market at the Bottom of the Pyramid

Quote:

“The distribution of wealth and the capacity to generate incomes in the world can be captured in
the form of an economic pyramid.”

Expectation:

I expect that I will learn more about the real life of all levels of income of the economic society.

What I have learned:

I have learned that mostly poor people are not brand conscious and they are just value conscious.
They live life practically and more simple unlike some fortunate people who are not yet satisfied
on what they already have in life.

Integrity Question:

What is an economic pyramid?

What are the powers of poor people?

What are the dominant assumptions of the economic pyramid?

What are the characteristics of poor people?

What is the importance of illustrating the economic pyramid?

Book Review:

This chapter generally illustrates the economy level of every people. In a pyramid, there
will always be people under the center of the pyramid, some are at the bottom and few are living
with fortune in their lives. This association is consist by poor, civil society organizations,
governments and large firms that can create the world’s growing market rapidly. Being a
businessman or an entrepreneur has a big role in solving poverty.
 Both small and large enterprises have begun to build their own markets at the bottom of
the pyramid or the BOP. This chapter also showed the economic pyramid of the world. This
pyramid illustrates the allocation of wealth and capacity to make incomes in the world. It is
because the distribution of wealth and the ability to produce incomes in the world can be
illustrated by the form of an economic pyramid.

One of the topics that he also discussed is the nature of the BOP market. It has
characteristics that are different with each other. These are the money at the BOP, access to BOP
markets, BOP markets are band-conscious, BOP market is connected and BOP consumers accept
advanced technology readily. The fact is poor people often no power of purchasing, whereas,
they do not stand for a feasible market.

Another dominant assumption is that distributions of the economy level of different

people into the pyramid are complicated and that is therefore there should be a main obstruction
for the input of large firms. Poor people are also not brand conscious, as long as they have
something to wear and eat they always go for it. They live very practical and not like other
people who are not yet satisfied on their lives. They are just value conscious by necessity. BOP
consumers benefit to the information from different networks because they have a large
opportunity to know it. They also accept advanced technology readily.