Analyzing Social Entrepreneurship
The 21st century is characterized by an increasing level of attention devoted to the issues that persists in society. As a matter of fact, there is a complex set of problems that continue to undermine the strength and unity of the people around the world. Some of the them are recent, having become the product of the new reality. Others stem from older periods of the civilization, gradually evolving as a result of the lack of attention to them. With the beginning of the new age, the reorganization of social and economic relations has made it possible to address these issues with the new tools and mindset. Their range is immense, as it covers a variety of problems that threaten the global society. From housing access and food inequality to climate change, social entrepreneurship initiatives embark on a journey to facilitate the struggle of the people. While its purpose may resemble charity work, it is different in nature. However, the end goal of social entrepreneurship is not to make profits or extend the business network. Instead, the emphasis is in laid on impacting the community in a meaningful way.
By its very nature, social entrepreneurship is a relatively new phenomenon that is still in the process of forming its uniform, complete definition that would embody the vision of active individuals across the globe. The United States Chamber of Commerce refers to it as a “for-profit business model that strives to make a positive impact on social issues or the environment” (Peek, 2020). Thus, revenue gains are not excluded from this equation, and the model remains open for companies of all sizes and backgrounds. In other words, an aspiring social entrepreneur is not required to possess millions of disposable cash at the start to make a difference, as long as the business model is aimed at sustained growth. One of the key examples of social entrepreneurship is the case of Muhammad Yunus who has become a pioneer in the sphere of microfinance (Yunus et al., 2010). His organization has been able to make profits and grow while helping thousands of people defeat poverty on an individual level. However, the range extends further, encompassing healthcare accessibility, water supply, climate issues, and educational opportunities.
The examples provided in the video are highly inspirational, as they show the key difference between social and regular entrepreneurship. Social entrepreneurs address the problem directly by centering their business model around it, instead of making collateral contributions in a free space that becomes available within their normal operations. Evidently, both formats remain viable in the contemporary environment. Even though social entrepreneurship is a phenomenon of paramount importance for building sustainable communities, standard business models cannot be fully replaced by it. However, it also provides valuable lessons for the overall community of entrepreneurs that should be considered. More specifically, such organizations are highly goal-oriented in that they address the problem directly and efficiently. They are characterized by their strong vision and determination, through which they move toward a concrete, quantifiable goal. Revenue gains are not in the focus of their attention, but profits still come, allowing businesses to thrive. Perhaps, it is time for all companies to move away from dollar-centered philosophies and embed meaningful social or industrial changes as the cornerstone of their strategies.
Having examined the matter at hand, I feel inspired to research new opportunities in which I can address the issues faced by my community. The most important ones revolve around the access to reliable and affordable services that support public health. However, I feel obliged to investigate this matter further prior to devising a complete business idea in order to have a full understanding of how business functions and social needs can synergize.
Social Entrepreneurs Change the World
Based on decades of experience, a set of key qualities to be nurtured by social entrepreneurs has been developed. In order to cause major paradigm shifts within the system they are to exhibit advanced creativity, problem-solving, innovation, and communication skills. Within this framework, I would put problem-solving on top of the competency pedestal of social entrepreneurs. As established, such businesses need to be solution-oriented, meaning that they should address the problem directly and radically. Problem-solving is essential to form an understanding of what the issues is and how it can be solved with greater efficacy.
Second, communication skills are the next entry of the priority list. As embedded in the very term, social entrepreneurship is performed for the people and by the people. It is the ultimate synergy of social unity, in which people work together toward a common goal. Any work of this kind cannot be performed without advanced communication. For such entrepreneurs, it is essential to be able to understand their communities and their needs, as well as deliver their own messages to their followers and stakeholders.
Third, creativity is the next important component of successful social entrepreneurship. Some of the issues this field aims to address have persisted throughout decades or even centuries. This indicates the extreme durability of the problems, as they could not be solved easily. Thus, a social entrepreneur needs to think creatively to find new way of addressing such issues in way that will put an end to them and correspond with the community’s vision.
The last but not the least, innovativeness is a key competency of the 21st-century business. Furthermore, it is not limited to social entrepreneurship, as technological progress has reached unprecedented levels in the recent decade. Community-centered business models need to benefit from the new high-tech solutions that emerge in order to reach higher standards of efficiency. Only a leader who can accept and utilize novelties can make profound changes in the system.
References
Peek, S. (2020). What is social entrepreneurship? 5 examples of businesses with a purpose. U.S. Chamber of Commerce. Web.
Yunus, M., Moingeon, B., & Lehmann-Ortega, L. (2010). Building social business models: Lessons from the Grameen experience. Long Range Planning, 43, 308–325.