BoP market: an opportunity for the construction industry
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Abstract
This article examines the Base of the Pyramid (BoP) housing market within the construction sector, using evidence from Norte de Santander, Colombia. A survey of 2,394 households, of which 469 fall under the BoP income threshold, was used to describe floor and wall materials and the number of rooms and bathrooms. Chi-square tests, exact contrasts and association measures were applied to explore links between these characteristics, income levels inside the BoP and urban or rural residence. The results show significant associations between floor and wall materials and the three income tiers, as well as between area of residence, floor material and number of bathrooms. Overall, the study reveals a neglected market segment whose living conditions remain constrained, but also a space for inclusive business models in construction that adapt products, financing and distribution to low-income households and contribute to improving their housing quality.
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