The Payoff of Pay-for-Success

V. Kasturi  Rangan; Lisa  Chase

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Article | Stanford Social Innovation Review

The Payoff of Pay-for-Success

by V. Kasturi Rangan and Lisa Chase

Abstract

Pay-for-success contracts also known as social impact bonds, have been widely touted as a clever way to fill the funding gap plaguing social programs by attracting a tranche of the trillions of dollars in private return-seeking capital. This article takes an in-depth look at the evidence from the first seven contracts in the U.S., to conclude that although that scenario is not likely, the pay-for-success model will have a positive impact, just not in the way that many proponents think.

Keywords: impact investing; social impact bonds; public innovation; social enterprise; Social Enterprise; Investment; Innovation and Invention;

Format: Print

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Citation:

Rangan, V. Kasturi, and Lisa Chase. "The Payoff of Pay-for-Success." Stanford Social Innovation Review 13, no. 4 (Fall 2015): 28–36.

About the Author

V. Kasturi Rangan

Malcolm P. McNair Professor of Marketing

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Case | HBS Case Collection | March 2005 (Revised August 2019)

Cisco Systems: Managing the Go-to-Market Evolution

V. Kasturi Rangan

With the collapse of the dot-com market and related shrinkage in the high-tech industry, Cisco took a dip in its sales and profits in 2001. Coming back from the recession, Cisco had to manage and evolve its go-to-market strategy and design in keeping with its new business strategy. Describes those changes and poses new channel management challenges in light of Cisco's entry into new markets and technologies.

Keywords: Change Management; Design; Business Cycles; Growth and Development Strategy; Marketing Channels; Marketing Strategy; Market Entry and Exit; Business Strategy;

Citation:
Rangan, V. Kasturi. "Cisco Systems: Managing the Go-to-Market Evolution." Harvard Business School Case 505-006, March 2005. (Revised August 2019.) View Details

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Case | HBS Case Collection | February 2011 (Revised August 2019)

Hindustan Unilever's 'Pureit' Water Purifier

V. Kasturi Rangan and Mona Sinha

The case asks students to formulate a strategy to respond to various competitive threats to its Pureit Water purifier, launched in 2008, targeted at millions of low-income Indian consumers who did not have access to safe drinking water. The case describes in detail the product development and launch process that required HUL, the $3.5 billion Indian subsidiary, to innovate on many different fronts. It details competitive actions since the launch to set the stage for what the company should do next.

Keywords: Multinational Firms and Management; Marketing Strategy; Product Launch; Product Development; Social Enterprise; Competitive Strategy; India;

Citation:
Rangan, V. Kasturi, and Mona Sinha. "Hindustan Unilever's 'Pureit' Water Purifier." Harvard Business School Case 511-067, February 2011. (Revised August 2019.) View Details

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Case | HBS Case Collection | July 2019

Jai Vakeel Foundation: Addressing Disability

V. Kasturi Rangan and Kairavi Dey

Jai Vakeel, a nonprofit organization in India, serves individuals with Intellectual Disability (IQ below 70). The organization was founded by the parents of a child with Down Syndrome, and they (and their next generation) steadily built the organization over 60 years to the become the largest such organization in India. Yet the organization served only some 1000 children annually when there were millions more needing the healthcare, education and skills to lead a decent life with ID. This case describes the evolution of the organization from the founder’s family (six decades) to the first CEO from outside. As Archana Chandra appointed in 2013 brings about several changes to the organization she wonders how to scale the organization from the current 1,000 people it serves annually to at least 10,000 and then to the many millions who are in need.

Keywords: Social Enterprise; Nonprofit Organizations; Transition; Growth and Development Strategy; Organizational Change and Adaptation; India;

Citation:
Rangan, V. Kasturi, and Kairavi Dey. "Jai Vakeel Foundation: Addressing Disability." Harvard Business School Case 520-010, July 2019. View Details

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The Payoff of Pay-for-Success

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