BURN Manufacturing: Fueling Sustainability through Product Innovation and Carbon Financing in Africa

BURN Manufacturing: Fueling Sustainability through Product Innovation and Carbon Financing in Africa
Case Code: LDEN224
Case Length: 18 Pages
Period: 2011-2024
Pub Date: 2024
Teaching Note: Available
Price: Rs.400
Organization : BURN Manufacturing
Industry :Home Appliances & Consumer Products
Countries : Kenya
Themes: Social Entrepreneurship, Sustainable Innovation, Channel Strategy & Development,Corporate Social Marketing
BURN Manufacturing: Fueling Sustainability through Product Innovation and Carbon Financing in Africa
Abstract Case Intro 1 Case Intro 2 Excerpts

Abstract

This case study focuses on BURN Manufacturing, a pioneering clean cookstove manufacturer in Kenya, and its efforts to provide sustainable cooking solutions across sub-Saharan Africa. As of July 2022, biomass fuels still accounted for 85% of household cooking energy in the region, highlighting the urgent need for more efficient alternatives. Co-founder Peter Scott spearheaded BURN's mission by developing fuel-efficient cookstoves, including charcoal, wood, and electric models, followed by LPG stoves. The company emphasized R&D through the BURN Design Lab and pursued continuous innovation to enhance product efficiency.

BURN also established a full carbon value chain, incorporating sustainable manufacturing processes and partnering with credit cooperatives to offer financing options. A gender-focused distribution strategy was employed, training local women to promote cookstoves within their communities, boosting adoption rates. Despite challenges in scaling, BURN implemented financing innovations such as carbon financing and green bonds. The company collaborated with e-commerce platforms, supermarkets, microfinance institutions, and social organizations to accelerate the adoption of clean cooking solutions, particularly in underserved regions.

BURN’s impact extends to over 20 million lives, reducing carbon emissions, improving women's health, and providing financial benefits. The case is ideal for management courses on Sustainable Business Growth, Financing Mechanisms, and Operational Challenges in Emerging Markets, particularly for social enterprises.

Issues

The case is structured to achieve the following teaching objectives:

  • Identify the operational challenges and strategic responses for scaling a social business in the context of emerging markets.
  • Explain the various benefits of integrating sustainability into a business
  • Examine how gender-focused marketing strategies can enhance product adoption and market penetration.
  • Evaluate the role of different financing mechanisms for scaling operations of social businesses
  • Examine how companies can align their operations and strategies with global sustainability targets, such as SDG7, and measure their impact.

Contents

Keywords

Social Entrepreneurship; Sustainable Innovation; Scaling up Business; Sustainable Business Models; Social Entrepreneurship; Carbon Financing, Green Bonds; Gender-Based Marketing Strategies; Operations in Emerging Markets,Clean Energy; Emerging Markets; Gender Empowerment; BURN Manufacturing; Impact Entrepreneurship; Carbon Credits;

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