The report, released this week in English in time for Global Entrepreneurship Week, reveals a changing landscape for Base of the Pyramid (BoP) customers in Brazil, where 40 million people are still living below the poverty line. Three key groups in this emerging sector -businesses, capacity development providers and investors — were examined. Operations, performance and impact were evaluated, and data was aggregated by business sector.

The mapping project was conducted by Plano CDE, a research and consultancy firm based in Brazil specializing in the BoP. Among the study’s key findings:

• The Southeast region of Brazil has a concentration of talent: 39 percent of the 140 social or inclusive businesses identified, 75 percent of capacity developers, and 86 percent of investors were based in this region.

• Social impact matters: more than 90 percent of the 50 businesses which were examined in depth in the report were established with the intention of creating social impact; 93 percent of investors consider social impact when evaluating investment proposals.

• 70 percent are relatively young, established within the past ten years, and nearly 75 percent of the businesses sell their goods and services to individuals and households.

• The education sector proved key, with 75 percent of capacity development providers focused on this sector, and 64 percent of the investors surveyed preferred to invest in this area.

• Over the last three years, the 40 capacity development providers studied have supported 250 businesses, more than 50 percent of which are now self-sustainable.

“Social and inclusive businesses as well as being economically lucrative, have a direct positive impact on low-income people, whether offering high-quality products and services at affordable prices or creating opportunities in the value chain,” said Rob Parkinson, Coordinator of the ANDE Brazil Chapter.

The study shows that 72 percent of the beneficiaries of these businesses come from the lowest income groups, households earning less than two minimum wages (approximately $680/month). 38 percent of businesses surveyed focus their impact on women, 30 percent on children and teenagers, and 16 percent on those with disabilities.

The mapping confirms that well managed and economically viable social businesses make an important contribution to the well-being of low-income groups in Brazil, as a source of income and access to essential products and services.

To read the full report, please visit: http://www.aspeninstitute.org/policy-work/aspen-network-development-entrepreneurs/chapters/brazil
To view the Portuguese version, please visit: http://www.aspeninstitute.org/policy-work/aspen-network-development-entrepreneurs/chapters/brasil

About the Aspen Network of Development Entrepreneurs (ANDE) (www.aspeninstitute.org/ande)

ANDE is a global network of organizations that invest money and expertise to propel entrepreneurship in emerging markets. ANDE members are the vanguard of a movement that is focused on small and growing businesses (SGBs) that create economic, environmental, and social benefits for developing countries. ANDE’s Brazil Chapter brings together member organizations across the country to generate and share knowledge around businesses focused on the base of the pyramid, facilitate dialogue with other players in the entrepreneurship ecosystem, and build connections with the international movement for SGBs.

About the Aspen Institute (www.aspeninstitute.org)

The Aspen Institute's mission is twofold: to foster values-based leadership, encouraging individuals to reflect on the ideals and ideas that define a good society, and to provide a neutral and balanced venue for discussing and acting on critical issues. The Aspen Institute does this primarily in four ways: seminars, young-leader fellowships around the globe, policy programs, and public conferences and events. The Institute is based in Washington, DC; Aspen, Colorado; and on the Wye River on Maryland's Eastern Shore. It also has offices in New York City and an international network of partners.

About AVINA Foundation (www.avina.net)

AVINA Foundation contributes to sustainable development in Latin America by encouraging productive alliances based on trust among social and business leaders and by brokering consensus around agendas for action. AVINA works in almost all of the continent, implementing national and regional strategies.

About Plano CDE (www.planocde.com.br)

Specializing in understanding socioeconomic classes C, D & E, Plano CDE is a consultancy firm that helps organizations from all sectors to develop new activities and inclusive businesses involving the base of the pyramid population. Plano CDE also carries out qualitative and quantitative research to better address its clients' concerns, as well as providing executive training and guidance on working classes C, D & E in Brazil and with emerging markets.

About Potencia Ventures (http://www.potenciaventures.net/)
Potencia Ventures backs system-changing new business models, businesses, and institutions to help create the entrepreneurial ecosystem that improves opportunity for the base of the pyramid.Potencia has been the first investor and principal strategic partner for a half-dozen key initiatives for business serving the base of the pyramid in Brazil. This includes a venture capital fund (VOX Capital), an organization that develops high performance teams for businesses that reduce poverty (Artemisia), and Brazil's premier source for information about the field (NextBillion Brasil). Potencia Ventures has also supported other initiatives in Latin America, Asia, West Africa and Europe.