World Housing: A Blueprint for Creating Third World Bottom of the Pyramid Housing Supply through a First World One-for-One Real Estate Gifting Model

This study examines a blueprint for a business model that creates housing for dump dwellers in the third world. The subject of this study is a social venture called “World Housing” which applies a one-for-one gifting model (based on TOMS Shoes’ business model) where a real estate buyer purchasing a new condominium in the first world activates the funding, construction, and gifting of a new home to a qualified dump dweller family in the third world. The homes cost approximately $1,500 (USD) to construct and are paid for by the development team from the proceeds of each sale. This investigation applies grounded theory and mixed methods research processes to answer two research questions through intensive interviews, online surveys, case studies, and business modeling sessions. The research subjects included real estate developers, condominium buyers, non-government organizations specializing in third world landfill communities, third world dump dwellers, and social entrepreneurs. The data generated from the research was applied to a business planning process to identify and test key business model elements of the World Housing business model against emerging theory. This study suggests that a social venture like World Housing will be effective in delivering bottom of the pyramid housing to qualified and deserving recipients. At the same time, the one-for-one model also creates a higher awareness of third world slum issues for the first world participants.