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Community initiative investments as a strategy for development‐led business: Comparative analysis
Author(s) -
Anbarasan Periyasami
Publication year - 2018
Publication title -
business strategy and development
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.488
H-Index - 7
ISSN - 2572-3170
DOI - 10.1002/bsd2.28
Subject(s) - livelihood , scope (computer science) , business , poverty , investment (military) , business development , business model , industrial organization , economic growth , marketing , economics , political science , computer science , ecology , agriculture , politics , law , biology , programming language
Businesses have the potential to enhance the livelihoods of societies and individuals. Business activities do not occur in isolation but instead are an integral part of social activities. There may be developmental activities that cause the loss of livelihood due to involvement in mass production; therefore, responsibility is not enforced in business operations, and local communities must be viewed as integral parts of business activities. Development activities may not be sufficient to support the business activities; only an increase in income will decrease poverty. Therefore, low incomes must be addressed by expanding the local communities' capabilities. Hence, community initiative investment is a strategy for development‐led business that is demonstrated by the two case studies of Dabur and Tech Mahindra. Total interpretive structural modeling is developed, reverse causality is discussed, and the study is validated by a simple linear regression analysis. Further implications and the future scope of this research are discussed.