0302 - We were discussing improving self-employment...

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We were discussing improving self-employment earnings. 6. Micro-franchising The idea of a franchise is something like McDonalds, where the major corporation has standards that it imposes to anybody that wants to operate that franchise. Price is not specified. McDonalds, for example, pays for the training. How are profits divided? An example of such an approach in the context of developing countries is that in the developing countries, the contact for telecommunications has jumped right over . . (?) The Grammin Foundation - set up village cell phones - make loan available so that borrower can buy cell phone and buy instructions Cell phone can generate an income of $!2 a week Two types of micro-franchising: Top-down: And Bottom-up: Dairy farms in the Ithaca area. They form cooperatives for marketing their milk. In developing-countries: Honeycare Africa is an example – you need four beehives to be able to Each farmer’s honey would be pooled with other farmers honey They learn they can form their own cooperatives Micro-franchising, as with the others: there’s lots of detail but fields wants to introduce us to them There’s more than just ways of giving loans…such as providing business know-how Final example: New Mexico – potteries (in packet) Some people wouldn’t buy it because people don’t know if its made with lead based paint or not Cost $40 to use non-led glazes on the pots As a result people came to believe led-free pottery was led-free Now making more money by exporting pots certified by the Mexican overnment, selling them overseas. Government can facilitate self-employment earnings simply by putting into effect some sort of standard Rug-mart, for example. The inspectors certify that the rug did not involve child labor. Label is put on the rug so that people feel more comfortable buyng the rug.
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This note was uploaded on 03/04/2009 for the course ILRIC 6350 taught by Professor Fields during the Spring '09 term at Cornell.

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0302 - We were discussing improving self-employment...

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