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Overcoming The Last Mile Challenge: Distributing Value To Billions
You can buy a Coca-Cola KO +0.26% anywhere in the world, but affordable products that provide essential value like water treatment or lighting often do not reach billions of poor populations around the globe. However, in what is commonly known as the “last mile distribution challenge,“ some social entrepreneurs are providing innovative solutions to make the last mile a first opportunity.
A majority of the population in developing economies live in rural areas often accessible only by poor quality road infrastructure. Furthermore, geographical isolation or limited access to relevant information disconnects populations in many developing countries from any business value chain. The consequence—which can affect both urban and rural populations—is that products providing essential value either do not reach the intended customers or are more expensive or lower quality than the standard products that are accessible by other populations.