Social Entrepreneurship
Entrepreneurship is not just about money, it is
about finding solutions to improve people's lives. Social Entrepreneurship[1] is
the use of start-up company-style business venture techniques to find, develop,
fund and implement innovative solutions to social, cultural, or environmental
issues. Social entrepreneurs have a non-profit organization approach, or they
blend business goals with generating a positive "return to society".
It attempts to further broad social, cultural, and environmental goals often
associated with the voluntary sector. It is a new approach to Business, Social
Engagement and Social Services. Social Enterprises do not have as goal to
increase the wealth of their shareholders, they operate in order to contribute
to Social Equality and improve the living conditions of people living in the
community. Generated profit is reinvested in the business or in realizing
social goal like job creation, social inclusion, cultural needs, healthcare and
preservation of the environment. A Social Enterprise places Social Goals ahead
of profit, uses business as a means of social change, resolves social problems
through market strategies. It is also a good way for civil society
organizations that want to reduce their dependency on government systems and
gain greater financial and operational freedom. Starting a social enterprise is
a challenge for all those to whom profit is not the only goal, who want a job
that makes sense and has a purpose.
Social entrepreneurship is also seen as a Job
Creation Tool. In many developing countries that do not have a thriving private
sectors to provide employment opportunities, Social Entrepreneurship can play a
big role. With growing inequality between rich and poor social entrepreneurship
is an innovative technique leading to the solution of the problem. Social
entrepreneurs are ambitious to tackle major social issues. From increasing the
college enrollment rate of low-income students to fighting poverty in
developing countries. Social entrepreneurs fight unemployment by creating
innovation and change in various areas like education, health and environment. Social
entrepreneurs reduce poverty by generating social value but not wealth. While
wealth creation is part of the process, it is not an end in itself. The real
objective is promoting systemic social change.
Today, more than 2.5 billion people do not have
an account with a bank of financial institution. Muhammd Yunus[2], a
Bangladeshi social entrepreneur, banker, economist, and civil society leader. He was awarded the Nobel
Peace Prize for founding the Grameen Bank and pioneering the concepts of
microcredit and microfinance to create economic and social development
from below. Microfinance refers to lending small amount of loans to povertized people bringing them of the poverty line leading the poor people to participate in the society. The Norwegian Nobel Committee said that "lasting peace cannot be achieved unless
large population groups find ways in which to break out of poverty" and
that "across cultures and civilizations, Yunus and Grameen Bank have shown
that even the poorest of the poor can work to bring about their own development".
The situation in India, a Third World country, is very bad. However, thanks to
the emergence of creative geniuses like Mr. Yunus, growth and wealth creation
is also reaching the region.
Cristian Bøhnsdalen
CMO/CFO and Co-Founder @ITRevolusjonen
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