The evolution of social entrepreneurship is a challenging concept in any country. Researchers have a different idea regarding the term social entrepreneurship. Social entrepreneurship is an approach by the group of individuals or entrepreneurs who implement social and environmental issues. In the year 2010, social entrepreneurship commenced on social media and social networking sites. Social entrepreneurship is different from other types of entrepreneurship. The role of the business community is to fulfil the technical and non-technical needs of the community. Social entrepreneurs include improvising systems, new approaches and grasping new opportunities. In social entrepreneurship, the strategy is cooperative instead of competitive. Social entrepreneur marketing implies the profit does not fully cover costs. It is said that a problem for the commercial entrepreneur emerges the opportunity for the social entrepreneur.
The main difference between social entrepreneurship and traditional entrepreneurship is finding the mission and market impressions. This article focuses on the meaning of social entrepreneurship and will provide you a guide on social entrepreneurship.
Characteristics of social entrepreneurship
According to the concept given by the business development literature, entrepreneurship is the set of activities carried with the different mind set to maximise the profit and revenue. The best social entrepreneurs have the ability to understand the needs and desires of the society. Also they know how to leverage the resources and develop new and innovative methods to tackle the obstacles. In today’s world, finance and human capital is scarce. Social entrepreneurs should know how to best optimise the resources. Changing the world is not an easy task. It takes time. They should take the small steps to reach the heights of success and achieve the goals of social entrepreneurship.
Social entrepreneurs should also have the ability to adapt the solutions. Adaptability and flexibility plays a vital role in social entrepreneurship. Social entrepreneurship cannot be an individual work. It is a team sport. Social entrepreneurs are open for partnerships and collaborations. The best quality of a social entrepreneur is how to learn from failures, adjust with the new methods. They don’t give up when they dont succeed.
After having the look at the characteristics let’s have a view on the objectives and benefits of social entrepreneurship.
Objectives and benefits
Social entrepreneurship is a concept which is necessary to understand the market failures and economic conditions. Also it plays a very important role in analysing government and other businesses why they are not able to solve the social and environmental problems.lems. The main objective behind social entrepreneurship is serving humanity beyond earning income. Along with the objectives there are some advantages and benefits. An entrepreneur or a business cannot exist in isolation in the society. Social objectives help the business to be managed and organised.
Social entrepreneurs focus more on the ways to reduce or eradicate the social pressures.In today’s era, people are inclined towards the business or the firm which is
Inclined towards the social good. Social entrepreneurship helps the firm or business to create a goodwill and relationship with the community. Everything has an advantage and a disadvantage. Apart from the advantages and benefits. There are a number of challenges which are faced by social entrepreneurs.
In Spite of all the positive things, frequently the entrepreneurs have to face challenges. Social enterprises are different from corporate enterprises. When it comes to funding it is more difficult for the social enterprises as compared to corporate enterprises. To overcome the issue of funding, crowdfunding is becoming the legitimate method of financing.
The second main challenge faced by the social entrepreneurs is finding the good manufacturers. The additional costs can lead to the death of a business. For example, in e-commerce, if you are selling a product with specific requirements it will lead to huge costs. There is a need to accept the burden for good quality. The only solution for this problem is to find the perfect production company in the business to avoid the complications. Social entrepreneurs also face the challenge of lack in clarity in message. The problem of lack of funding can also be solved if there is clarity in the message given by the social entrepreneur. It is very important to articulate the message properly.
Starting the business is a great and innovative idea which also creates a problem. But these problems should be faced in an organised and effective manner. These challenges should not be a hurdle for the goal you have to achieve by opening the venture.
MUHAMMAD YUNUS’ on social entrepreneurship
Dr. Muhammad has a great contribution in changing lives of millions of poor people. According to him economic theory is fundamentally wrong as it is based on the assumption that human beings are selfish in nature. He also stated that if an entrepreneur can have a selfish business, he can also run a selfless business in which he wants to serve the society. He said, “ there is a difference in the present and older generation. Present generation have a vast range of technology on their fingertips. In today’s era, people are only told that once you get the best job your life is done. Systems don’t provide the knowledge of how to use this technology for a better cause.
In a guest lecture, Dr Muhammad Yunus said, social business depends on the trust between individuals and investment returns. According to him, social entrepreneurship helps the individuals to come together to maximise their collective gain and reduce the degradation of the environment in which they live. Cooperation is more important and vast than competition.
The evolution of social entrepreneurship has enhanced in a very little span of time. It is accompanied by various organisations as well as non-profit organisations. The basic foundation for social entrepreneurship is recognising the opportunity which helps to start a business and further enhances the social, cultural and environmental goals. Government and non-profit organisations play the role of funding in such organisations. Many colleges, schools and other educational institutions are organised and establish programmes which focus on training and concept of social entrepreneurship.
We hope you understood the guide on social entrepreneurship. If you are willing to become a social entrepreneurship this article will help you to understand the concepts.