I. Introduction What is social entrepreneurship? Social entrepreneurship is a process by which citizens build or transform institutions to advance solutions to social problems, such as poverty, illness, illiteracy, environmental destruction, human rights abuses and corruption, in order to make life better for many. The social entrepreneur also helps others discover their own power to change by helping them envision a new possibility and recognize how it can be broken down into doable steps that build momentum for change. What are the qualities of a social entrepreneur?
Social entrepreneurs are individuals with innovative solutions to society’s most pressing social problems. Rather than leaving societal needs to the government or business sectors, social entrepreneurs find what is not working and solve the problem by changing the system, spreading the solution, and persuading entire societies to move in different directions. ust as entrepreneurs change the face of business, social entrepreneurs act as the change agents for society, seizing opportunities others miss to improve systems, invent new approaches, and create solutions to change society for the better. While a business entrepreneur might create entirely new industries, a social entrepreneur develops innovative solutions to social problems and then implements them on a large scale. Social entrepreneurs drive social innovation and transformation in various fields including education, health, environment and enterprise development.
I have learned different definitions of social entrepreneurship which extended my knowledge about this particular field. I have gained a wider understanding of social ventures which includes its purpose and who it should be for or its main objective which is to improve people’s lives and give livelihood to those who are underserved. I have come to realize that we should pay attention to this field, which was described as an emerging field, because it impacts the world in good way. Most, if not all, entrepreneurs should start getting involved in this field because they are not only creating profit but they are also able to help those unfortunate people to have a better way of living. I have learned that social entrepreneurs should be innovative and should think of how they can create value and impact to the society.
Entrepreneurs use business techniques to find solutions to social problems within the community, by building strong and sustainable organizations to create social change. A social entrepreneur is much like a business entrepreneur, in that, they create opportunities, transform
Social Entrepreneurship It is defined as individual’s effort in solving economic problems for the benefit of the society. Such solution requires business methods and very innovative strategies to address the problem. In order for such thing to be successful, the business itself must be also built in the idea of sustainability. What makes it similar to regular business is the idea that the act itself is problem solving but what draws the line between an ordinary business and entrepreneurship is that, social entrepreneurship is mostly aimed to be a non-profit organization or for-profit and it is aimed to solve complex social or human problems. Application of Business Principles Market Mechanism Unlike business ventures, social entrepreneurs
Nevertheless, social entrepreneurs today will need to apply modern business models to generate more income to maximise social impact. For example, instead of relying on donations alone, social entrepreneurs will need to adopt a long term, self-sustaining approach towards generating income to fund its social initiatives. To maintain attraction of capital and draw the attentions of potential volunteers, social enterprises will need to manage the needs of all stakeholders, not only that of the donors. This is in line with the Stakeholder’s Theory by Edward Freeman, where he argued that many other parties are involved in an organisation and that their needs must be equally addressed. One important stakeholder in social enterprises is the volunteers.
Entrepreneurs are innovators and have a purpose in what they do with their occupation to have an effect on lives. Their bright ideas help bring income to make a living off of the product. Public relations are a big asset to an entrepreneur because they create opportunities for them and others. Such as charities to help children and the elderly, also they get introduced to businesses and as well be the face of them for the companies. Overall, the entrepreneurs just want to be successful and have their hands on opportunities to make money.
Johnstone and D. Lionais call these kinds of entrepreneurs as community entrepreneurs. They have also been referred to as social entrepreneurs but care needs to be taken because there is a slight difference. Though both operate on disadvantaged societies, it is important to not here that community entrepreneurs do not establish charitable organizations, but rather they establish business organization that incorporates the society with all the benefits trickling back to the society.
Like many business missions, as social mission states the aim and objectives of the organizations. However the difference between a social mission and a business mission is the fact that the social mission is embedded for social purposes. Social entrepreneurs tend to have a clear picture of their social mission, usually through the discernment of the social needs and how to improve the depressing status of the social needs (Dees and Muller, 2008). Social entrepreneurs transcends charitable giving’s and philanthropy to achieve their social mission and usually they focus on the challenges causing the social problems rather than just identifying and alleviating the symptoms (Nga and Shamuganathan, 2010). The growing global awareness of the concept of social entrepreneurship can be attributed to the four factors that were highlighted by Zahra et al (2008).
High levels of earned income are often not innovative and may not be related with high levels of social impact. The business orientation of a social entrepreneur is that it seeks to change the world’s big patterns for the good of all. It is associated with efficiency, dynamism, innovativeness, high performance and economic sustainability. The social enterprise has been learning how systems change work together. The entrepreneurs now days face more complex and requires set of tools addressed for existing systems.