What does a goat have to do with development? diasporas, it, and the case of thamel.com*

Abstract

Considerable untapped resources are available to foster base-of-thepyramid (BOP) business development, including the intersection of diasporas, information technology, and transnational entrepreneurs who capitalize on both.1 Diasporas represent an enormous fund of human capital. Recent estimates of global economic remittances place them on a par with total ofacial development assistance (estimated at $70 billion per year in 2004, $125 billion in 2005, and $176 billion in 2006) (World Bank, 2004, 2005, 2006). In addition, information technology is affording access to new markets and opportunities for the co-creation of value throughout the developed world. Why not in developing countries? This paper examines one such example. Thamel.com’s business model links the Nepali diaspora with their families and loved ones, while nurturing local businesses and turning a proat. Its unique combination of home market services, remittance services, and business development services demonstrates how diasporas and information technology can change the landscape of BOP opportunities. Thamel.com’s story provides lessons not only for other diaspora entrepreneurs, it also illustrates how many of the common challenges to developing BOP markets can be overcome. Such lessons can provide the fodder for continuing creativity as the global community seeks to generate employment and reduce poverty under the most challenging circumstances. Before describing the case, a brief review of diasporas and key concepts on BOP markets is in order.