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Connecting the Rural Poor to the World:
Grameen’s Village Phone in Bangladesh

by Ted London

Description: Grameen Telecom’s Village Phone is a program that is focused on bringing cellular service to people in rural villages in Bangladesh. In 2006, Grameen’s Village Phone initiative had an installed base of more than 233,000 village phones across 50,000 villages in the country, and annual revenues of approximately US$93 million. This case explores opportunities both within Bangladesh and beyond the country’s borders to expand the Village Phone program. Teaching Points: “After discussing this case study, students will be able to:

  • Analyze the advantages and limitations of globalization (global trade) from the perspective of those at the base of the pyramid (BoP) and explore the pros and cons of grant-based and market-based approaches to poverty alleviation.
  • Assess the business opportunities and potential poverty alleviation outcomes of a venture (Village Phone) that is serving the poor.
  • Understand the core principles of Grameen’s poverty alleviation approach and compare it to traditional donor-funded aid programs.
  • Assess whether Grameen Phone fits the definition of a base of the pyramid (BoP) venture.”

Key Topics: 

• Base of the Pyramid (BoP)
• Business Information Technology
• Financial Services
• Leadership & Organizational Behavior
• Strategic Management

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