Page 242 - DMGT509_RURAL MARKETING

Unit 12: Principle of Innovation

in value chain analysis was mentioned as an important step in this direction. Environmental Notes
indicators are needed in the evaluation to indicate long-term productive capacity.
There has also been very little long-term assessment of NGO interventions and the sustainability
of the market activities promoted beyond the short-term donor funding period. The BOND
network was highlighted as an appropriate forum to hold discussions with donors, particularly
the EU on NGO roles and best practices as market facilitators. NGO organisational culture One
of the challenges facing NGOs in moving to a facilitation role is to convince and support staff in
country offices to move away from their traditional roles and adopt this new approach. NGO
staff need greater market literacy and to understand the language of the private sector. The
Small Enterprise Education and Promotion network (SEEP) (www.seepnetwork.org) could be
helpful in this respect. It is practically oriented, offering materials and training. It has a working
group on market development. NGO practitioners could engage more with this group.

Engaging with the Private Sector

NGO staff need to learn how to deal with a new set of actors in the form of the private sector.
They are getting better at working with the private sector as they have started to hire people
with business skills. There is a need to be better linked to the corporate social responsibility
community and networks.

Economic Models and Modelling

It was proposed that there was a need to make a business case to individual companies of the
benefits of engaging in participatory market chain analysis with NGOs. Some companies were
reluctant to participate because they could not see the ‘win-win’ outcomes of making changes to
the market systems. Some economic modelling of different market systems and scenarios might
help to convince companies to participate.

It was suggested that NGOs want absolute certainty and are risk-averse, whereas entrepreneurs
are more focused on understanding the risks and then making a decision. It is accepted in
business circles that some start-ups fail.

Self Assessment

State whether the following statements are true or false:
9. NGOs have also taken a role in market intermediation.
10. Policy advocacy has also had considerable attention from NGOs with efforts being focused
now on the renegotiation of the International Coffee Agreement.
11. Practical Action works with actors in the market including middlemen to conduct
participatory market mapping to identify the blockages in the system and the opportunities
for improvement.
12. The obascus forum produced a manual for extension workers and village development
committees containing guidance on production, harvesting and drying.
13. Foreign Exchange always operates through a local entity or NGO.
14. The aim of the focussed groups was to allow focused discussion of key issues and areas.
15. Microenterprise programme has done some evaluation of NGO market activities.

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