Fundación Paraguaya (A): The San Francisco School

by: Paul Godfrey

Publication Date: December 2, 2011
Length: 18 pages
Product ID#: 1-429-216

Core Disciplines: Base of the Pyramid, Entrepreneurship & Innovation, Strategy & Management

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Teaching Note

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This case focuses on Fundacion Paraguaya, a microfinance institution in Paraguay that helps primary and secondary schools become financially self-sufficient. Its most recent acquisition – an agricultural high school in Paraguay – was almost insolvent when Fundacion Paraguaya came to its aid. After helping the school become financially self-sufficient, Martin Burt, CEO of Fundacion Paraguaya, wants to replicate and scale his successful business model to other schools in Paraguay and Latin America, but is uncertain what is the best way to proceed. This case is accompanied by the Fundacion Paraguaya (B) and (C) cases.

Teaching Objectives

After reading and discussing the material, students should:

  • Explain how an organization develops and implements a new business model.
  • Gain a solid analytical understanding of the elements that create value for stakeholders.
  • Synthesize a complete business model and see the challenges to replication and scalability that may occur.
  • Calculate the Social Return on Investment (SROI) of the new model to see both the potential advantages of measurement as well as the difficulties.
  • Compose a set of larger, more abstract questions about social impact measurement.