Harvard Case - Projet Jeune Leader: Scaling Challenges of Social Entrepreneurship in Madagascar
"Projet Jeune Leader: Scaling Challenges of Social Entrepreneurship in Madagascar" Harvard business case study is written by Amy Moore, Tracey Toefy. It deals with the challenges in the field of Entrepreneurship. The case study is 11 page(s) long and it was first published on : May 23, 2023
At Fern Fort University, we recommend Projet Jeune Leader (PJL) adopt a hybrid growth strategy combining organic expansion with strategic partnerships and venture capital investment. This approach will allow PJL to leverage its existing strengths in training and incubation while accessing new markets and resources to scale its impact.
2. Background
Projet Jeune Leader is a social enterprise in Madagascar focused on empowering young entrepreneurs through training, incubation, and access to financing. Founded in 2010, PJL has successfully nurtured over 1,000 entrepreneurs, contributing to economic growth and job creation in the country. However, PJL faces challenges in scaling its operations to reach a larger audience and achieve greater impact.
The case study focuses on the challenges faced by PJL?s founder, Nantenaina, in navigating the complex landscape of social entrepreneurship in Madagascar. The organization struggles with limited resources, a lack of market awareness, and the need to adapt its business model to the evolving needs of its target audience.
3. Analysis of the Case Study
To analyze PJL?s situation, we can utilize the Business Model Canvas framework:
Key Partners:
- Government agencies
- NGOs
- Private sector companies
- Local universities and institutions
- International organizations
Key Activities:
- Training programs
- Business incubation services
- Financial assistance
- Networking events
- Market research and analysis
Value Propositions:
- Enhanced entrepreneurial skills
- Access to funding and resources
- Business mentorship and support
- Networking opportunities
- Market validation and feedback
Customer Segments:
- Young entrepreneurs in Madagascar
- Aspiring entrepreneurs
- Small and medium enterprises (SMEs)
Channels:
- Online platforms
- Community outreach programs
- Partnerships with local organizations
- Media campaigns
Customer Relationships:
- Personalized mentorship
- Regular communication and feedback
- Community building events
Revenue Streams:
- Training fees
- Incubation fees
- Interest on loans
- Grants and donations
- Partnerships with private sector companies
Key Resources:
- Experienced trainers and mentors
- Financial resources
- Technology and infrastructure
- Strong network of partners
- Strong brand and reputation
Cost Structure:
- Staff salaries
- Training materials
- Operational costs
- Marketing and outreach
- Financial assistance
Analysis:
- Strengths: PJL has a strong reputation, experienced staff, and a proven track record of success. They have established a strong network of partners and a deep understanding of the local entrepreneurial ecosystem.
- Weaknesses: PJL faces limitations in resources, market awareness, and scalability. They lack a comprehensive marketing strategy and struggle to attract venture capital investment.
- Opportunities: The demand for entrepreneurial support in Madagascar is high, and PJL can leverage its existing strengths to expand its reach and impact. They can explore new revenue streams, partnerships, and technology solutions to enhance their services.
- Threats: Competition from other organizations, economic instability, and limited access to finance pose significant challenges to PJL?s growth.
4. Recommendations
Develop a Scalable Business Model: PJL should explore business model innovation to increase its reach and impact. This could involve:
- Franchise model: PJL can partner with local organizations to establish franchise operations in different regions of Madagascar. This will allow for rapid expansion while leveraging local expertise and resources.
- Technology-driven platform: PJL can develop a web and mobile application to provide online training, mentorship, and access to funding. This will enable them to reach a larger audience and offer more flexible and accessible services.
- Partnerships with corporations: PJL can collaborate with corporations to provide training and incubation services to their employees or to develop social impact initiatives. This will provide access to resources, expertise, and a wider market reach.
Implement a Comprehensive Marketing Strategy: PJL needs to invest in marketing and branding to increase its visibility and attract new customers. This should include:
- Targeted marketing campaigns: PJL should develop targeted marketing campaigns to reach specific segments of young entrepreneurs. This could involve utilizing social media platforms, local media outlets, and partnerships with educational institutions.
- Content marketing: PJL can create valuable content such as blog posts, articles, and videos to educate and inspire potential entrepreneurs. This will establish them as thought leaders in the field and build trust with their target audience.
- Event marketing: PJL should organize workshops, conferences, and networking events to engage with potential customers and showcase their services. This will provide opportunities for direct interaction and build brand awareness.
Seek Venture Capital Investment: PJL needs to secure venture capital funding to scale its operations and expand its reach. This requires:
- Developing a compelling pitch: PJL should create a strong pitch deck outlining their vision, mission, business model, and financial projections. This should highlight their social impact and potential for high returns on investment.
- Building a strong network: PJL should actively network with venture capitalists, angel investors, and other potential funders. This can involve attending industry events, joining relevant organizations, and leveraging existing connections.
- Demonstrating scalability: PJL should showcase their ability to scale their operations and achieve significant impact with the investment. This can involve providing data on their existing success, outlining their growth plans, and demonstrating a clear path to profitability.
Strengthen Organizational Capacity: PJL needs to build a strong team with the skills and experience necessary to support its growth. This involves:
- Hiring and recruitment: PJL should invest in hiring experienced professionals with expertise in marketing, finance, technology, and social entrepreneurship.
- Leadership development: PJL should provide leadership training and development opportunities to its staff to prepare them for the challenges of scaling the organization.
- Organizational structure and design: PJL should review its organizational structure and design to ensure it is aligned with its growth strategy. This may involve creating new departments, roles, and reporting lines to support the expansion of its operations.
5. Basis of Recommendations
These recommendations are based on the following considerations:
- Core competencies and consistency with mission: The recommendations align with PJL?s mission to empower young entrepreneurs and contribute to economic growth in Madagascar. They leverage PJL?s existing strengths in training, incubation, and networking while addressing its weaknesses in scalability and market reach.
- External customers and internal clients: The recommendations focus on meeting the needs of PJL?s target audience, including young entrepreneurs, aspiring entrepreneurs, and SMEs. They also consider the needs of PJL?s internal clients, such as its staff and partners.
- Competitors: The recommendations acknowledge the competitive landscape in Madagascar and aim to differentiate PJL by offering a unique value proposition and leveraging its strengths in social impact and local expertise.
- Attractiveness ? quantitative measures: The recommendations aim to improve PJL?s financial performance by increasing revenue streams, reducing costs, and attracting venture capital investment. While quantitative measures are difficult to predict at this stage, the recommendations are designed to create a sustainable and scalable business model that can generate positive financial returns.
- Assumptions: The recommendations assume that PJL has the capacity and commitment to implement the proposed changes. They also assume that the demand for entrepreneurial support in Madagascar will continue to grow and that PJL can successfully navigate the challenges of scaling its operations in a complex and evolving market.
6. Conclusion
By adopting a hybrid growth strategy, PJL can leverage its existing strengths while accessing new markets and resources to scale its impact. This will involve developing a scalable business model, implementing a comprehensive marketing strategy, seeking venture capital investment, and strengthening organizational capacity. These recommendations will enable PJL to achieve its mission of empowering young entrepreneurs and contributing to economic growth in Madagascar.
7. Discussion
Alternatives:
- Focus solely on organic growth: This would involve PJL expanding its operations gradually through its existing resources and partnerships. However, this approach would be slow and may not be sufficient to meet the growing demand for entrepreneurial support.
- Merging with another organization: This could provide PJL with access to resources, expertise, and a wider market reach. However, this approach would require careful consideration of cultural fit, organizational structures, and potential conflicts of interest.
Risks:
- Failure to attract venture capital investment: This could limit PJL?s ability to scale its operations and achieve its goals.
- Competition from other organizations: PJL needs to differentiate itself from competitors and offer a unique value proposition to attract customers.
- Economic instability in Madagascar: This could impact PJL?s operations and the demand for its services.
Key Assumptions:
- PJL has the capacity and commitment to implement the proposed changes.
- The demand for entrepreneurial support in Madagascar will continue to grow.
- PJL can successfully navigate the challenges of scaling its operations in a complex and evolving market.
8. Next Steps
- Develop a detailed business plan: This should outline PJL?s growth strategy, financial projections, and key milestones.
- Conduct market research: PJL should gather data on the demand for its services, the competitive landscape, and the potential for growth in different regions of Madagascar.
- Develop a marketing plan: This should outline PJL?s target audience, marketing channels, and budget.
- Identify potential venture capital investors: PJL should research and connect with venture capitalists who are interested in social entrepreneurship and emerging markets.
- Develop a strong pitch deck: This should outline PJL?s vision, mission, business model, and financial projections.
- Implement a hiring and recruitment strategy: PJL should identify and recruit experienced professionals with the skills and experience necessary to support its growth.
- Review and update its organizational structure and design: This should ensure that PJL is well-positioned to support its expansion.
By taking these steps, PJL can effectively implement its hybrid growth strategy and achieve its goals of empowering young entrepreneurs and contributing to economic growth in Madagascar.
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Case Description
This case explores the development of Projet Jeune Leader, a social entrepreneurship enterprise founded by Maia Ramarosandratana in 2013 to provide comprehensive sexuality education (CSE) to middle school children throughout Madagascar. Ramarosandratana had grown the organization to have fifty-six educators reaching over 29,490 adolescents. As she thought about the next plans for scaling the work, which included partnering with the Ministry of Education to help with technical assistance to institutionalize CSE within the department's existing educational structures, what else needed to be considered? What were some of the lessons learned over the last nine years, and what other building blocks should she be thinking about?
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