Pursuing Financial Inclusion of Family Firms at the Base of the Pyramid (BoP): The Case of Convenience Stores and Microenterprises in Nuevo León, Mexico

Abstract

In order to tackle one of the multi features contributing to the growth and survival challenge Latin American, family-owned and run microenterprises face, this paper proposes a “private” business model to generate mutual value creation at the Base of the Pyramid (BoP) in which large Mexican family-owned convenience stores provide financial services to “changarros,” which are Mexican family-owned microenterprises. This initiative aims to: 1) support the economic growth, and hence survival chances, of Mexican family-owned microenterprises—changarros: 2) promote, to some extent, “financial inclusion” for those at the BoP in Nuevo León, Mexico; and 3) generate the creation of an enhanced business network between two different kinds (especially in size) of family firms—the convenience stores and the changarros— which will allow them to collaborate and co-opt, instead of compete.