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The Community Fund ProgramPRESENTATION
Executive Summary
Part One: Background and Justification
Part Two: The IOM proposal
Part Three: The Building of Milestones
International Organization for Migrations--IOM. Guatemala, February, 2002
A country with two Economic HistoriesA country with two Economic Histories
La Cochinilla
Second HistorySecond History
COFFEECOFFEE
YEAR 1875YEAR 1875
PASTPAST FUTUREFUTURE
LA COCHINILLA COFFEE
YEAR 2001YEAR 2001
PastPast FUTUREFUTURE
?COFFEE
CRISESCRISES
SOLUTION: To Look for new
export products
IOM: besides new products, now there is a need to build another economic platform.
Guatemala Pyramidal Country Organization
83 percent live in poverty
•60 percent have less than one dollar per day per capita. Extreme Poverty
•23 percent have less than two dollars per day per capita. Poverty
Guatemala year 2000: 11 Million inhabitants.
Figures from the United Nations: Human Development Report, year 2,000.
There is a line that divides and separates us all.
Why?
We need to explain why we have reached the XXI Century with more than 80 percent of the people living in poverty.
Throughout our history:
The country has been organized in three different pyramids: in top and bottom structure. Municipal
MarketsCapital City Market
International Export-Import Market
It may be drawn like this:
Connecting the three markets, there is common platform that reunites the three markets into one economic system.
This economic platform divides the country into two separated groups:
Those who have access and can move within the platform: which is a small group.
And those who live in poverty and cannot reach the economic platform
According to the International Labor Office--ILO--the country needs to generate 1.0 Million jobs to meet the employment requeriments of the year 2000.
It is estimated than 1.0 Million Guatemalan workers have migrated to the USA.
The outcomes:
Problems increase instead of diminishing within a national environment of violence.
Part II: The IOM Proposal
END Part One: Background and Justification
Value of present offer
Sales and Profits
Investment
Current Business
We are going to use a very well known business model to explain the Guatemalan situation. This is our departing premise: a company has two parallel ways--or cycles-- to invest.
ONE: is to improve its current business
The second cycle, is to invest on the development of future products and services that will come from their business environment.
Value of present offer
Sales and Profits
Investment
Current Business
Business Ecosystem
Improve Commercial Platform
Value of core offer
Sales and Profits
Investment
Current Business
Business Ecosystem
Improve Commercial Platform
Export System
Financial System
Business Communities
Coffee System
Improve Commercial System Jobs
This is Guatemala
Value of core offer
Sales and Profits
Investment
Current Business
Business Ecosystem
Improve Commercial Platform
Export System
Financial Sysstem
NO development in the rural Communities
Coffee System
NO Improvement in the Commercial System Jobs
NO investment in the development sector of the economy.
More than 130 years investing only in one sector of the economy.
Not enough Jobs: people migrating to USA
Value of core offer
Sales and Profits
Investment
Current Business
Business Ecosystem
Improve Commercial Platform
Export System
Financial Sysstem
NO development in the rural Communities
Coffee System
NO Improvement in the Commercial System Jobs
Year 2001: The Coffee Crash.
An 880,000 job problem.
Not enough Jobs: people migrating to USA
Our Proposition
Value of core offer
Sales and Profits
Investment
Current Business
Business Ecosystem
Improve Commercial Platform
Work on a NEW Export System
A FRESH Financial System
Development in the rural Communities
Work on a NEW ECONOMIC System
Work on a NEW Commercial PLATFORM
New Jobs
The starting point: the creation of a new financial bridge.
GO BACK to the rural communities where the richness of the country comes from
