C.K. Prahalad , professor of business administration at the University of Michigan and chairman of a software company called Praja , says businesses can be successful in developing countries if they approach such markets with a different mindset. He argues that companies need to back away from traditional notions and ways of doing business, such as providing only text-based information in English on the Web or concentrating on ownership of technology instead of access to it. HP plans to launch initiatives in 1,000 villages worldwide that include providing access to health-care and education information in developing countries, setting up telecenters where residents can pay to access the Net or telephones, and providing the poor with better opportunities to sell their products via the Web. When the donations stop, the programs die. What we're committed to is putting solutions in place that are economically viable.
Obstacles remain for businesses willing to take a risk on the poorest markets.
Many agree that those governments must be willing to let industry invest in their countries. Even Hurst acknowledges that HP, for now, is working only in countries that are receptive. Some countries, such as Jordan and Costa Rica, have been very aggressive in trying to lure technology companies to invest in their nations and to provide access to technology. But McConnell and others say governments need to make it more attractive for private companies to conduct business in their countries, namely by creating a friendly regulatory environment. This includes deregulating the telecommunications sector, creating an independent regulatory agency to monitor competition and providing legal protections for intellectual property.