Running the Numbers

by Paul Polak and Sydney Bergen Over the last 30 years I have found it useful to constantly and obsessively “Run the Numbers” when I look at any business opportunity. I try to do this in a way that quickly strikes to the heart of any business. Running the numbers can identify key transformative opportunities as well as the greatest likely stumbling blocks to success. Just about every entrepreneur I know can generate the financial projections required by a standard business plan. But the ability to carry out rapid and sequential back-of-the envelope estimates of things like where the sweet spot in the market lies,…

Continue Reading
End Poverty or Bust
Paul Polak speaks about commercialization and scale at Cornell University

End Poverty or Bust

Creating a Runway for Profitable New Multinational Businesses to Transform Poverty By Paul Polak Five years ago, Steve Bachar and I decided to create a venture capital fund that would only invest in companies capable of achieving three goals: Transforming the livelihoods of at least 100 million customers living on $2 a day or less; Generating at least $10 billion in annual revenues; and Earning sufficient profits to attract commercial financial investment. There was only one problem. We couldn’t find any companies to invest in that met these criteria. Among social entrepreneurs, design for scale is as rare as hen’s teeth.  So my partners and I…

Continue Reading

Achieving Scale

Scale is the single biggest unmet challenge in development and impact investment today. IDE, the development organization I founded, has helped some 20 million people living on a $1/day move out of poverty, but this is a drop in the bucket compared to the 2.7 billion people still living on less than $2/day.  About the only big business to reach poor people at scale is mobile phones, and that happened pretty much by accident.  I think it’s entirely feasible to help 100 million poor people at a time move out of poverty with technologies they need to raise their incomes, with the right distribution systems, and…

Continue Reading

Four Transformative Business Opportunities in Emerging Markets

University of California, Berkeley- Haas School of Business March 13, 2012 I’m going to describe a little bit about the four businesses and then we’ll have a little bit of time for question and answers. Here’s an example in the area of health. The four businesses I talked about are: health, education, water, and energy. One opportunity in health is that about a billion people need reading glasses. You don’t have to design a technology; you can actually have reading glasses of various strengths built in mainland China for about 50 cents or less. The real challenge is the global distribution system and a robust…

Continue Reading

Simplicity Brings Hope to the Digital Age

Seoul Digital Forum, May 22, 2012 Business leaders today spend all their time trying to serve the richest 10% of the world’s customers. We need a revolution in business thinking to create products and services for the other 90%, not because it is the moral thing to do, but because there are vast new profitable markets awaiting the brave companies willing to create ruthlessly affordable new products serving the world’s 2.6 billion bypassed customers who live on less than $2 a day. The Appropriate Technology Movement, which showed such great initial promise, died prematurely because it was peopled by tinkerers instead of hard-headed entrepreneurs. Henry…

Continue Reading

From Concept to Market: How to Design for Impact

Responding to Martin Herrndorf's (@Herrndorf) blog post titled All That Glitters is Good on NextBillion.net "How do we commercialize university and do-it-yourself projects for the Other 90%? Too much sits in research." Paul Polak's video response is below: "The Appropriate Technology movement failed because it was peopled by technocrats rather than hard-headed entrepreneurs, and technologies were designed to solve technological problems rather than being designed for the market." "The same problem exists when technologies are designed in design courses in universities, rather than being designed to fit into markets, and markets that are scalable. In order to make things work with practical impact they have to be designed…

Continue Reading

Affordable Design Comes to Denver – “Design for the Other 90%” – RedLine Gallery

by Kali Friedmann The Smithsonian Cooper-Hewitt “Design for the Other 90%” exhibit has arrived at RedLine Gallery in downtown Denver, showcasing products designed explicitly to fit the needs and circumstances of the world’s poorest customers - the “other 90%” who are bypassed by current design processes. The exhibit, organized in part by International Development Enterprises (iDE), showcases products from an array of designers, engineers, and organizations focused on development, including Design Revolution (D-REV), the non-profit technology incubator co-founded by Paul Polak. D-REV is an outgrowth of Dr. Polak’s vision of fomenting a revolution in how companies design, price, market, and distribute their products, to produce…

Continue Reading

The Future Corporation

The Future Corporation will remain competitive in the global marketplace by creating vibrant new markets serving $2 a day customers at scale. Three years ago, General Motors, the biggest, most powerful corporation in the world,was brought to its knees by failing to react quickly and effectively to competition from Japanese imports, which were smaller, more fuel efficient, and cheaper. Companies like Wal-mart, Coca-Cola, and Microsoft will soon face the same do-or-die crossroads General Motors did if they don’t react quickly and effectively to the challenge of earning attractive profits at scale from emerging markets.  This will require nothing less than a revolution in how businesses currently…

Continue Reading

Social Enterprise and the End of Untouchability

by Bhavna Toor This week Paul Polak has guest blogger Bhavna Toor.  Bhavna will be talking about the new work Paul has been doing in India.   Originally Posted at Primal Fellowship Bhavna developed a deep curiosity for understanding the drivers of economic growth and social equity by witnessing socio-economic disparities firsthand in the half dozen countries around the world that she called home throughout her childhood. She has worked part-time with a number of non-profits and social enterprises by applying her business acumen to their respective issues. Bhavna recently completed her MBA from NYU Stern School of Business where she specialized in Social Innovation and…

Continue Reading

Applying the Design Revolution to the Woes of Big Canals

By Paul Polak The 13,324 miles of canal system in Pakistan’s Sindh province irrigates 12 million acres of land. That’s a canal that’s long enough to cross the United States three times! This canal system and others like it make as significant a contribution to feeding the world’s growing population as the introduction of the green revolution’s miracle seeds. But big canals come with big problems. Namely, rampant corruption, water wastage, numbingly inefficient operation and maintenance as well as millions of acres of productive land ruined through water logging and salinization. Because of water losses from evaporation, leakage, evaporation, poor operation and maintenance and prehistoric…

Continue Reading
  • 1
  • 2