Microfranchise: Future Needs

By David Stoker, Guest Author

What is the next step for MicroFranchising?

First there is an enormous need for innovation in Design. There are a number examples of current projects designing specifically for the bottom of the pyramid: the $100 Laptop, Tata’s proposed $2000 car, AIDG products, or innovations out of the D-Lab at MIT, but there are endless needs for design to meet the specific needs of the poor and the conditions under which the products will need to operate. Some of this innovation can come from the poor themselves and they will need to be consulted on all such design.

There is also a great need for Middle Management. My personal belief is that while MicroFranchising should build off the systems and financial services of Microfinance institutions it should not target the same clientele. I think it will be the children of microcredit borrowers that have now been able to attend school that will be the target population to be employed as microfranchisees and the educated young adults from the city that are unemployed that should provide the middle management for the growing organizations. The poor will benefit most through employment under the franchisee and from decreased costs of essential products and services.

There is also need for MicroFranchise Accelerator or Incubator organizations similar to what Unitus is doing for promising microfinance institutions. One group of people that can fill this need is the growing population of baby boomers in the United States who are reaching retirement with vast amounts of expertise and wealth as well as vitality and good health not enjoyed by previous generations. In general, I think there is a growing trend of people who have been personally successful in western capitalism yet are unfulfilled and want to make a greater impact in the world. MicroFranchising is one way such individuals can use their skills and expertise do something that can change the world.

My hope is that MicroFranchising will remain true to its social mission while also being able to grow across sectors and across countries to help millions of people help themselves out of poverty.

This segment is a part in the series : Microfranchise