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1st slide:

SCOJO INDIA, an example of Low-Income Client Model

 Scojo Foundation is a health social enterprise specialized in eye care.


 Globally, 80% of all people above the age of 35 suffer from presbyopia
 Presbyopia can have a devastating effect on the productive activities of the poor, who
typically have little access to eye care
Explanation: Scojo Foundation is a health social enterprise specialized in eye care. Scojo's work
is premised on the statistic that globally 80% of all people above the age of 35 suffer from
presbyopia--blurry up-close vision.
In developing countries where optometry is a privilege of the middle income and wealthy,
presbyopia can have a devastating effect on the productive activities of the poor, who typically
have little access to eye care. Seamstresses, rug makers, weavers, mechanics, bookkeepers,
automobile or bicycle repair people, hairdressers, and others with occupations that require up
close vision can lose their livelihoods and their incomes if they suffer from presbyopia. Simple
low-cost readymade reading glasses, or simple magnifiers, enable these people to continue to
work.
2nd Slide

 Scojo Foundation founders began their program activities using a traditional nonprofit
approach: distributing free readymade reading glasses to the target population in
greatest need, the rural poor, but quickly learned that this model was not sustainable.
 In 2003, they launched Scojo India, an integrated social enterprise that operates in two
distinct markets in Andhra Pradesh state

Two Distinct Markets Target Market


Urban Markets Working- and middle-class customers
Rural Markets Poor and low-income people

Explanation: Scojo Foundation founders began their program activities using a traditional
nonprofit approach: distributing free readymade reading glasses to the target population in
greatest need, the rural poor, but quickly learned that this model was not sustainable.
In 2003, they launched Scojo India, an integrated social enterprise that operates in two distinct
markets in Andhra Pradesh state: urban centers, targeting working- and middle-class
customers; and rural markets, targeting poor and low-income people. Although greater social
need exists in India’s rural areas, and subsequently an opportunity to effect deeper social
impact than in urban areas, Scojo’s business could not operate exclusively in rural markets
without ongoing subsidy.
3rd slide:

Type of Market Characteristics of Scojo’s Market


Urban Market High population density, existing retail distribution, coupled with
local purchasing power and product price elasticity
Rural Market Notoriously high costs to sell and distribute eyeglasses in
sparsely populated areas to target population who lacks ability
to pay

 Urban market - commercial side of the social enterprise's operations


 Rural market - social program side of the social enterprise
Explanation: Characteristics of Scojo's urban market such as high population density, existing
retail distribution, coupled with local purchasing power and product price elasticity indicate
suitable conditions for a profitable ready-made eyeglass business. Scojo's rural market, on the
other hand, has notoriously high costs to sell and distribute eyeglasses in sparsely populated
areas to customers (target population) who lack the ability to pay.
Therefore, Scojo India created a social enterprise that integrates its business activities. The
urban market is the commercial side of the social enterprise's operations while the rural market
is the social program side of the social enterprise.
4th slide:
MANUFACTURING

 Products for both urban and rural markets are manufactured in the same local nonprofit
facility
 Scojo transfers modern spectacle frame- and lens-making technology to its Indian
partner, building local capacity to enable production of higher quality readymade glasses
than are currently available in India.
Explanation: Products for both markets are manufactured in the same local nonprofit facility,
and though style is differentiated in urban markets according to preferences, there is no
difference in quality.
Scojo transfers modern spectacle frame- and lens-making technology to its Indian partner,
building local capacity to enable production of higher quality readymade glasses than are
currently available in India. The production facility creates employment opportunities for local
people.
5th slide:
DISTRIBUTION AND SALES

Scojo India’s total sales target of 266,760 from low-cost readymade reading glasses in the first 3
years of operation (2003-2006) represents:

Sales

Government Sales
5.1%
Rural Markets
19.6%

Urban Markets
75.4%

 In urban areas, Scojo uses teams of sales agents to sell readymade glasses to non-
optical retail stores such as pharmacies, general stores, and bookstores.
 Scojo India sells reading glasses to hospitals, health, and microcredit NGOs, who
channel the glasses through their existing network of community-based vision health
workers or microentrepreneurs, making it possible for Scojo to penetrate the rural
market.

Explanation: Integration occurs at the level of the marketing function, but not in the sales
activities. Scojo India set a total sales target of 266,760 low-cost readymade reading glasses in
the first three years of operation (2003-2006). Based on the chart, urban markets represent
75.4% of sales or 201,060 units and rural markets represents 19.6% or 52,200 units while
government sales make up the remaining 5.1%.
In urban areas Scojo uses teams of sales agents to sell readymade glasses to non-optical retail
stores such as pharmacies, general stores, and bookstores. Sales agents are also dispatched in
innovative mobile sales units, vans stocked with glasses, to bring reading glasses to local
factories.
Scojo India sells reading glasses to hospitals, health and microcredit NGOs, who channel the
glasses through their existing network of community-based vision health workers or
microentrepreneurs, making it possible for Scojo to penetrate the rural market. Scojo also sells
reading glasses to the State Government for re-sale to their employees.
1st slide:
Explanation: Scojo Foundation is a health social enterprise specialized in eye care. Scojo's work
is premised on the statistic that globally 80% of all people above the age of 35 suffer from
presbyopia--blurry up-close vision.
In developing countries where optometry is a privilege of the middle income and wealthy,
presbyopia can have a devastating effect on the productive activities of the poor, who typically
have little access to eye care. Seamstresses, rug makers, weavers, mechanics, bookkeepers,
automobile or bicycle repair people, hairdressers, and others with occupations that require up
close vision can lose their livelihoods and their incomes if they suffer from presbyopia. Simple
low-cost readymade reading glasses, or simple magnifiers, enable these people to continue to
work.

2nd slide:
Explanation: Scojo Foundation founders began their program activities using a traditional
nonprofit approach: distributing free readymade reading glasses to the target population in
greatest need, the rural poor, but quickly learned that this model was not sustainable.
In 2003, they launched Scojo India, an integrated social enterprise that operates in two distinct
markets in Andhra Pradesh state: urban centers, targeting working- and middle-class
customers; and rural markets, targeting poor and low-income people. Although greater social
need exists in India’s rural areas, and subsequently an opportunity to effect deeper social
impact than in urban areas, Scojo’s business could not operate exclusively in rural markets
without ongoing subsidy.

3rd slide:
Explanation: Characteristics of Scojo's urban market such as high population density, existing
retail distribution, coupled with local purchasing power and product price elasticity indicate
suitable conditions for a profitable ready-made eyeglass business. Scojo's rural market, on the
other hand, has notoriously high costs to sell and distribute eyeglasses in sparsely populated
areas to customers (target population) who lack the ability to pay.
Therefore, Scojo India created a social enterprise that integrates its business activities. The
urban market is the commercial side of the social enterprise's operations while the rural market
is the social program side of the social enterprise

4th slide:
Explanation: Products for both markets are manufactured in the same local nonprofit facility,
and though style is differentiated in urban markets according to preferences, there is no
difference in quality.
Scojo transfers modern spectacle frame- and lens-making technology to its Indian partner,
building local capacity to enable production of higher quality readymade glasses than are
currently available in India. The production facility creates employment opportunities for local
people.
5th slide: Explanation: Integration occurs at the level of the marketing function, but not in the
sales activities. Scojo India set a total sales target of 266,760 low-cost readymade reading
glasses in the first three years of operation (2003-2006). Based on the chart, urban markets
represent 75.4% of sales or 201,060 units and rural markets represents 19.6% or 52,200 units
while government sales make up the remaining 5.1%.
In urban areas Scojo uses teams of sales agents to sell readymade glasses to non-optical retail
stores such as pharmacies, general stores, and bookstores. Sales agents are also dispatched in
innovative mobile sales units, vans stocked with glasses, to bring reading glasses to local
factories.
Scojo India sells reading glasses to hospitals, health and microcredit NGOs, who channel the
glasses through their existing network of community-based vision health workers or
microentrepreneurs, making it possible for Scojo to penetrate the rural market. Scojo also sells
reading glasses to the State Government for re-sale to their employees.

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