Linking Inclusive Business Models and Inclusive Growth

This paper links the macro concept of “inclusive growth” to the micro concept of “inclusive business”. Its main contribution is the creation of a multi-level taxonomy of business models that can be applied by (large) multinational corporations and in which the direct and indirect consequences for inclusive growth are taken into account. One of the links that is clearly missing between the two dimensions is cross- sector partnerships. They form the meso-level link between micro-level business models and macro-level national development strategies. The taxonomy makes it possible to comparatively study large corporations across national and cultural boundaries, distinguish patterns and determinants of strategies,and examine corporate claims regarding their contribution to inclusive growth. A first application of this taxonomy on the business and partnership models adopted by the first one hundred Global Fortune companies, shows that particularly European firms are proactively applying inclusive business models, and are proactively engaged in crosssector partnerships. Very advanced business models for inclusive growth, however, have not yet been developed.