Social Entrepreneurship

Module 5
 Social Entrepreneurship
• Introduction,
• Meaning,
• Perspective of social entrepreneurship,
• social entrepreneurship in practice,
• Boundaries of Social entrepreneurship,
• growth of entrepreneur communities,
• Few experiments.
 Social entrepreneurship
• Social entrepreneurship is a for-profit business model that strives to
make a positive impact on social issues or the environment
• A social entrepreneur is a person who explores business
opportunities that have a positive impact on their community, in
society or the world
• social entrepreneurship is a for-profit
• Social entrepreneurship is all about recognizing the social problems
and achieving a social change by employing entrepreneurial
principles, processes and operations.
• Social entrepreneurs design their thinking around the six P's of
launching an idea: people, problem, plan, prioritize, prototype, and
pursue
• Social entrepreneurship is a growing trend, alongside socially
responsible investing (SRI) and environmental, social, and governance
(ESG) investing
• Types of Social Entrepreneurs
• Community Social Entrepreneur: seeks to serve the social needs
of a community within a small geographical area-Microfinance
loans
• Non-Profit Social Entrepreneur prioritize social well-being
over traditional business needs. They reinvest any profits into
the business to facilitate the further expansion of services

• Goodwill Industries: serves as a great example: In 1902, the

company started employing poor residents to work with
donated goods, reinvesting all profits into job training programs
• The Transformational Social Entrepreneur These people are
focused on creating a business that can meet the social needs
that governments and other businesses aren't currently meeting
• The Global Social entrepreneurs seek to
Entrepreneur
completely change social systems in order to meet major
social needs globally
Elements of Social Entrepreneurship
Elements of Social Entrepreneurship
• Socio-Economic Value Creation
• Focus more on Social Value rather than Market Value of products &
services.
• Wealth creation in a sustainable way
• Successful Implementation of Changes
• requires involvement on both the micro and the macro levels
• Implementation on an individual level & societal level
Elements of Social Entrepreneurship
• Societal Mission
• Launching mission-driven businesses.
• Provides consumers with a sense that their purchases are
contributing to a greater good.
• Motivation for Societal Change
• Enhancing the quality of life for individuals within a community
• To motivate others to do the same
 Social Entrepreneurs
• Dr. Maria Montessori (Italy) – The Montessori approach to early childhood
education was developed by her.
• Vinoba Bhave (India) was the leader and founder of the Land Gift Movement. He
led to the redistribution of around 7,000,000 acres of land that later on helped the
landless and untouchables of India.
• Anshu Gupta, Founder of Goonj: Anshu, a media professional, wanted to provide
proper clothing to the underprivileged. He started collecting old clothes to upcycle
them and distribute them among the poor.
• Santosh Parulekar, Founder of Pipal Tree: Focusing on one of the most
underrated segments, jobs in rural India, this organization is the best example of
social entrepreneurship. Pipal Tree was established to help youth from rural India
find suitable jobs.
 Social Entrepreneurs
• Urvashi Sahni, Founder and CEO of SHEF (Study Hall Education
Foundation): Set up to educate girls in rural India, SHEF has
transformed more than 1,000 schools, trained tens of thousands of
teachers and impacted nearly 5 million students’ lives in UP and
Rajasthan.
• Harish Hande, CEO and Founder, Selco: India’s first solar funding
program, Selco aims to provide sustainable energy in the country’s
rural areas.
 Social Entrepreneurs
• Rang De is another example of a non-profit social enterprise.
• Established in the year 2008 by Ramakrishna and Smita Ram, it is an
online platform from where rural and urban poor people in India can
access micro-credits with an interest rate of as low as 2 percent per
annum
• Lenders from all across the country can directly lend money to
borrowers, track investments and receive regular payments online
Social Entrepreneurs
• (i) Florence Nightingale (United Kingdom (UK) :
• Founder of the modem nursing, she established the first school for
nurses and fought to improve hospital conditions.
• (ii) Margaret Sanger (United States (US) :
• Founder of Planned Parenthood Federation of America, she led the
movement for family planning efforts around the world.
• (iii) Robert Owen:
• Founder of the cooperative movement.
• (v) Satyan Mishra (India): empowering rural communities by
creating significant cost and time savings to sell a range of products
and services.
Social Entrepreneurs
• (vi) Bunker Roy:
• Created the Barefoot College in Rural India to train illiterate and semi-
literate men and women.
• (vii) Muhammad Yunus (Bangladesh):
• Founder of Bangladesh’s Grameen Bank and recipient of the 2006
Nobel peace prize
 Social Entrepreneurs
• The George Foundation is one more nationally recognized social
enterprise
• The Women’s Empowerment Program creates awareness among
women by providing them education, vocational training, cooperative
farming, business development and savings planning
 Importance of Social Entrepreneurs

• Social Impact and Inspiration

• Make the World a Better Place
• Generation of Social Capital
• Focus on Social Problems
• Change Agent in Social Sector
• Increased Accountability
• Deepening Social Innovation
• Support of Government
Perspective of social entrepreneurship
• (a) Ambitious: They are the ambitious people tackling major
social issues and offering new ideas and solutions for wide-scale
change
• (b) Missionaries: the ultimate purpose is not creating just
wealth, but most importantly, generating as much as possible
social value
• (c) Strategic: They use opportunities to improve the existing
social systems, create solutions, and invent new approaches that
create social value
Perspective of social entrepreneurship
• (d) Resourceful: they need to be skilled enough to muster and
mobilize human, financial, and political resources required to
solve the social problems
• (e) Result Oriented: results change even transform the
existing equilibriums, realities, and create new pathways for the
benefits of the disadvantaged and downtrodden people of the
society
Boundaries of social entrepreneurship
Boundaries of social entrepreneurship
Boundaries of social entrepreneurship
Boundaries of social entrepreneurship
 Social Stock Exchange SSE
• Social Stock Exchange (SSE) is an electronic fund raising platform
under the regulatory ambit of Securities and Exchange Board of India
(SEBI) for listing For-Profit Social Enterprises (FPSEs) and Not-for-
Profit organizations (NPOs) working for the social welfare to raise
capital as equity, debt or as units like a Mutual Fund
• here are 18 companies registered on NSE and 24 with BSE
funds may be raised through following means
Social enterprise
• Eradicating hunger, poverty, malnutrition and inequality;
• Promoting education, employability .
• Promoting gender equality,
• Ensuring environmental sustainability,.
• Promoting livelihoods for rural and urban poor,
• Slum area development,
Types Of Social Entrepreneurship

• 1. Community Social Entrepreneur:

• Community social entrepreneurs work in specific geographies and
communities but for a wide variety of causes
• From hygiene and sanitation to employment and food distribution services
and from plantation and environment safety to providing employment to
deserving ones, they do it all
• entrepreneurs are the ones who bring about instant change and strive for
more
• Entrepreneurial communities are forward-thinking, innovative, and locally-
based partnerships
• Community entrepreneurs are one or more self-employed individuals that
build or manage an online or offline community space where members can
congregate to discuss similar interests and goals
Entrepreneurial communities
• Forward-thinking, innovative, and locally based partnerships
• They come together in community-based partnerships to
generate effective and sustainable employment by developing
their human capital
• Building on community-level partnerships, entrepreneurial
communities stimulate talent and entrepreneurship in an
innovative way
• By thinking outside the box, entrepreneurial communities can
help to unleash entrepreneurial
Features of Entrepreneurial communities
• Capacity and willingness to work collaboratively towards a common
goal
• Leadership and proactive approach to drive community’s growth
• A collaborative environment that encourages new ventures’
establishment and scalability and growth of existing ones
• Helping in all dimensions- training, mentors, networks, and other
resources
• Providing financial support through community, regional and other
investor sources
• Networking for business expansion and specialized assistance to
grow a venture.
Types Of Social Entrepreneurship
• 2. Non-Profit Social Entrepreneur:
• entrepreneurs believe in reinvesting profits. So, along with the initial cost,
they put their profits into the cause
• companies and organizations chose non-profit social entrepreneurship to
utilize their social goodwill for the cause
• 3. Transformational Social Entrepreneur: These entrepreneurs focus on
establishing a business that can solve a purpose that government initiatives
and other businesses can’t
• social entrepreneurs includes a collaborative set-up of multiple businesses
serving society collectively and individually
• Example: CRY (Child Rights and You), Goonj and JusTea
Types Of Social Entrepreneurship
• 4. Global Social Entrepreneur: entrepreneurs think on a larger scale
and focus on changes required at the global level
• They put social responsibility above profits
• They usually collaborate with organizations working on similar causes
in specific regions/countries
• Make A Wish Headquartered in Phoenix, Arizona actively works in
around 50 countries, fulfilling the wishes of critically ill children
Characteristics of social entrepreneur
• Leadership: . A Good, Inspirational Leader Is A Must For Every Cause.
They Can Influence Opinions As Well As Physical Outputs.
• Emotional Balance: Social Work Requires Both Empathy And A
Practical Approach At The Same Time. An Emotionally Balanced
Person Will Handle Difficult Situations Better.
• Vision: Visionaries Come Up With The Best Solutions To Social
Problems. They Think Of Long-Term, Permanent Resolutions
Characteristics of social entrepreneur
• Ability To Multitask:
• Entrepreneurship And Multitasking Go Hand-In-Hand.
• Decision-Making:
• Social Entrepreneurs Must Prioritize And Make Sound Decisions As
They Affect The Lives Of People In Need
• A Social Entrepreneur Need a Vision:
• They need to thoroughly understand the system they work in fully
and then make a systematic and specific approach towards achieving
their visions.
• Case 1 Pranshu is the founder of "Karo Sambhav," a company that works with
producers and brands to come up with and implement transformative circular
and extended producer responsibility (EPR) solutions. Karo Sambhav is building a
local ecosystem to set up a strong solution for India-wide collection, recycling,
and management of secondary materials for many types of waste, such as e-
waste, plastics waste, batteries waste, and glass waste.
• The technology platform and systems used by Karo Sambhav help with good
governance, fairness, trust, transparency, and tracking. Apple, Cisco, Dell, HP,
Ericsson, Vivo, Oppo, Xiaomi, Hafele, Toshiba, Coca-Cola, Pepsi, CavinKare,
Tetrapak, Reliance, Luminous, Saint Gobain, etc. are some of the brands that
have worked with
• Karo Sambhav. Karo Sambhav works with a wide range of partners, such as IFC,
ILO, GIZ, WEEE Forum, GWMA, MEITY, MAIT, and FICCI, to co-create industrylevel
frameworks and engagement programmes that change people's habits over time
and make it possible to collect and recycle waste on a large scale in a responsible
way.
• Read the case and uncover the characteristics of a Social Entrepreneur.
• CASE 2: RIVER has started several satellite schools in and around the Rishi Valley.
About 550 children are currently getting help from these. RIVER's work over the
past 30 years has led to the creation of the RIVER multi-grade multi-level
methodology (MGML), which aims to solve problems that are common in the
Indian countryside. It helps schools in rural and urban areas where there is no
link between age and ability and where there are a lot of students who drop out.
Its goal is to give the child more control over his or her education. It includes a
technological part where content can be sent to cheap tablets. It can be made
bigger without having to standardise, which is what most programmes that are
made bigger need to do.
• It has been shown beyond a reasonable doubt that the MGML technique is
effective in achieving social and gender fairness. It is inclusive, making room for
both rapid learners and slow learners to thrive within its environment. It allows
former students to resume their education without forcing them to start
• Contd……
• Contd….
• from scratch academically. It is adaptable and may be altered to fulfil specific
needs in a given location. It draws on evaluations that are ongoing and thorough.
It makes it easier to make comparisons between different schools. The approach
is cost-effective since a single classroom can accommodate students from grades
one through five with the help of a single instructor who has been educated in
the technique. Schools are envisioned in the design to serve as community
resource centres for the surrounding populace and as a hub for recreational
activities in the Commons.
• Read the case and discuss how it is different from Corporate Entrepreneurship.
Assignment Questions
• Write a brief note on 'social Entrepreneurship'.
• Explain the point of difference between social Entrepreneur and
other Entrepreneurs.
• Discuss the relevance of social Entrepreneurship for a country like
India.
• What is the importance of social entrepreneurship ? Give examples of
social entrepreneurship in practice