Subjects Covered: These NGOs must face the decision how and whether to sell their sharing in the start-up. VillageReach and the Mozambican Foundation for Community Development (FDC), both NGOs, got involved in the national immunization system, the Expanded Program on Immunization (EPI), in northern Mozambique. This system's goal was to ensure prompt and universal access to other medical supplies and vaccines. Early on, VillageReach had understood that the system's aims could not be met unless cold storage (and transport) of the vaccines was ensured. VillageReach sought for alternative options for supporting cold storage because electricity was unreliable and scarce in the area. VillageReach eventually decided to use LPG powered refrigerators, and, due to the lack of dependable sources of LPG in the area, VillageReach and FDC went on to fund VidaGas, an LPG supply business.
It soon became apparent an efficient supply network of LPG could provide benefits to society above and beyond at the time, most companies and families: well-being in the region cooked using biomass fuels. Such fuels are a considerable health hazard, as well as contribute to deforestation in the region. Although VidaGas could be considered a success, it'd to reach breakeven in its present operations. Moreover, new investments would be required to expand operations beyond the province used for the pilot, Cabo Delgado to nearby states. At the same time, FDC's resources for further investment and VillageReach are limited.
PUBLICATION DATE: June 11, 2009 PRODUCT #: 609107-PDF-ENG
This is just an excerpt. This case is about TECHNOLOGY & OPERATIONS
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