Scaling Social EnterprisesDairy Cooperatives in developing countries

Luca Castellanza I6121154

Social context of the dairy industry.

A scalable model.

The role of narratives.

“300 million East African Farmers earn less than $2 per day.”

“African Farmers produce food

“Traffic of 10-year old children is widespread in the third world.”

but are, themselves, malnourished.”

“Ask a customer if he cares about child slavery in cocoa plantations.”

“Ask that customer if he would pay 30 cents more for his chocolate mousse.”“Ask your company if they would give up 30 cents of profit per mousse.”

Tarja Neuwirth, Danone

Can we establish large-scale social businesses?

How can a single person tackle such huge problems?

How can a firm gather adequate resources to pursue its social mission?

How can we change systems, institutions and beliefs?

“Milk Farmers could deliver only 1-2 litres per day.”

“Milk prices were arbitrarily determined by milk processors and corporations.”

“India was not self-sufficient in terms of milk.”

“A cooperative model was established inside villages.”

“The model was copied and replicated across the region.”

“Village cooperatives joined the first Milk Federation of India.”

“Local strikes were organized against processors and corporations.”

“Amul remained independent and farmer-owned at every organizational layer.”“Dr. Kurien eventually became leader of a Governmental Development Plan.”

“India celebrates the birthday of the legend, Dr. Kurien, as National Milk Day.”

“He was the man with the Billion Litre Idea.”

“He revolutionised the industry producing milk powder from buffalo milk. ”

Is there an excessive Heroic Characterization?

Was the process straightforward and without inconveniences?

Was Dr. Kurien alone in the process?

Was him a real Hero? Do narratives and branding influence reality?

“More than 20 years were needed for farmer cooperatives to achieve recognition.”

“The White Revolution was a 30-year long and uncertain process.”

“In the end, India produced more milk than Indian customers could afford. ”

“Mr. Patel founded Amul in 1946. Dr. Kurien joined four years later.”

“Mr Kalaya actually produced milk powder from buffalo milk.”

“Deep political turmoil has always been present across the process. ”

“Farmers are trained on breeding strategy, cattle development and animal health .”“Farmer cooperatives are taught market principles to deal with traders. ”

“In 2008, East Africa Dairy Development started a cooperative model.”

“True development is not the development of land, or of cows;it is the development of men and women.” Dr. Verghese Kurien

Thank you !

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Additional SourcesNeuwirth, Tarja (2015), Danone Company Presentation, attended on 30/11/2015 at Maastricht

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