Patrimonio Hoy Harvard Case Solution & Analysis

Patrimonio Hoy is a program focused on the housing needs of low-income CEMEX, Mexico's largest companies and the world's leading cement producers. Originally conceived as a project to understand the customer better self-construction segment, the main component of the Mexican housing in low-income neighborhoods, Patrimonio Hoy led to the recognition and goodwill for the company. Its innovative approach significantly reduces the cost and time needed by the poor to improve their housing. Launched in 1998, the program has reached break-even in 2004, with strong growth prospects in the future. President of CEMEX North America asked whether the program should be made into a major line of business of the company. Provides a good understanding of the mechanisms of financing available to home builders in Mexico, and is an interesting application of microfinance and product design, to open a new market segment, based on the needs of low-income customers. "Hide
by Arthur I Segel, Michael Chu, Gustavo A. Herrero Source: Harvard Business School 18 pages. Publication Date: November 8, 2004. Prod. #: 805064-PDF-ENG

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