Download Social Entrepreneurship

Cairo University
Dr. Sherifa Fouad Sherif
SOCIAL ENTREPRENEURSHIP
WHAT IS ENTREPRENEURSHIP?
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Entrepreneurship is the act and art of being an
entrepreneur.
One who undertakes innovations or introducing new
things, finance and business acumen in an effort to
transform innovations into economic goods.
This may result in new organizations or may be part of
revitalizing mature organizations in response to a
perceived opportunity.
The most obvious form of entrepreneurship is that of
starting a new business referred to as startup company.
DEFINITION OF SE
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Social entrepreneurs are individuals with innovative
solutions to society’s most pressing social problems.
They are ambitious and persistent, tackling major social
issues and offering new ideas for wide-scale change.
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 take new leaps.
DEFINITION OF SE
Social entrepreneurs often seem to be
possessed by their ideas, committing their lives
to changing the direction of their field.
 They are both visionaries and ultimate realists,
concerned with the practical implementation of
their vision above all else.
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DEFINITION OF SE
Each social entrepreneur presents ideas that
are user-friendly, understandable, ethical, and
engage widespread support in order to
maximize the number of local people that will
stand up, seize their idea, and implement it.
 Every leading social entrepreneur is a mass
recruiter of local changemakers—a role model
proving that citizens who channel their passion
into action can do almost anything.
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DEFINITION OF SE
A term that captures a unique approach to
economic and social problems, an approach
that cuts across sectors and disciplines.
 Key areas of focus have been education,
health, welfare reform, human rights, workers'
rights, environment, economic development,
agriculture.
 The organizations they set up are non-profit or
for-profit entities.
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SOCIAL ENTREPRENEURS ARE CHANGEMAKERS
“Changemakers” are everyone that solve
problems in an entrepreneurial way, who have
the ideas, initiative, leadership skills, empathy
and team skills to create new opportunities and
respond to challenges in society.
 Also called pioneers of change.
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DEFINITION OF SE
Just as entrepreneurs change the face of
business, social entrepreneurs act as the change
agents for society, seizing opportunities others
miss and improving systems, inventing new
approaches, and creating solutions to change
society for the better.
 While a business entrepreneur might create
entirely new industries, a social entrepreneur
comes up with new solutions to social problems
and then implements them on a large scale.
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DEFINITION OF SE
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Social entrepreneurs drive social innovation and
transformation in various fields including education,
health, environment and enterprise development.
They pursue poverty alleviation goals with
entrepreneurial and, business methods and the courage
to innovate and overcome traditional practices.
A social entrepreneur, similar to a business
entrepreneur, builds strong and sustainable
organizations, which are either set up as not-for-profit or
for-profit companies.
COMPONENTS OF SOCIAL ENTREPRENEURSHIP
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There are 3 key components that emerge out of
these definitions of Social Entrepreneurship:
* Problem Recognition
 * A sustainable solution
 * Social change
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WHAT IS THE DIFFERENCE BETWEEN A
ENTREPRENEUR AND A SOCIAL ENTREPRENEUR?
A social entrepreneur is someone who recognizes
a social problem and uses entrepreneurial
principles to organize, create, and manage a
venture to make social change (a social venture).
 Business entrepreneur typically measures
performance in profit and return.
 The main aim of social entrepreneurship is to
further social and environmental goals.
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WHAT IS A SOCIAL ENTERPRISE?
Social enterprises are social mission driven
organizations which apply market-based
strategies to achieve a social purpose.
 The movement includes both non-profits that
use business models to pursue their mission
and for-profits whose primary purposes are
social.
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EUROPEAN UNION DEFINITION OF SE
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Social enterprise means an enterprise whose primary
objective is to achieve social impact rather than
generate profit for owners and stakeholders.
It operates in the market through the production of
goods and services in an entrepreneurial and
innovative way.
It is managed in an accountable and transparent way,
by involving workers, customers and stakeholders
affected by its business activity.
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SOCIAL ENTERPRISE
Their aim is to accomplish targets that are
social and/or environmental as well as
financial: is often referred to as the triple
bottom line.
 Many commercial businesses would consider
themselves to have social objectives, but social
enterprises are distinctive because their social
or environmental purpose remains central to
their operation.
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TRIPLE BOTTOM LINE
DEFINITION OF THE EUROPEAN UNION
Social Enterprise:
means an enterprise whose primary objective
is to achieve social impact rather than generate
profit for owners and stakeholders.
 It operates in the market through the
production of goods and services in an
entrepreneurial and innovative way, and uses
surpluses mainly to achieve social goals
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SOCIAL ENTREPRENEURS ARE:
Ambitious:
 Social entrepreneurs tackle major social
issues.
 They operate in all kinds of organizations:
innovative nonprofits, social-purpose
ventures, and hybrid organizations that
mix elements of nonprofit and for-profit
organizations.
SOCIAL ENTREPRENEURS ARE:
Mission driven:
 Generating social value —not wealth—is
the central criterion of a successful social
entrepreneur.
 While wealth creation may be part of the
process, it is not an end in itself.
Promoting systemic social change is the
real objective.
SOCIAL ENTREPRENEURS ARE:
Strategic:
 Like business entrepreneurs, social
entrepreneurs see and act upon what others
miss:
 Opportunities
to improve systems, create solutions
and invent new approaches that create social
value.
 And like the best business entrepreneurs, social
entrepreneurs are intensely focused and harddriving in their pursuit of a social vision.
SOCIAL ENTREPRENEURS ARE:
Resourceful:
 Operate within a social context rather
than the business world
 Have limited access to capital and
traditional market support systems.
 Must be skilled at mobilizing human,
financial and political resources.
SOCIAL ENTREPRENEURS ARE:
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Results oriented: Social entrepreneurs are
driven to produce measurable returns. These
results transform existing realities, open up
new pathways for the marginalized and
disadvantaged, and unlock society’s potential
to effect social change.
A SOCIAL ENTREPRENEUR IS A LEADER OR PRAGMATIC
VISIONARY WHO:
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Achieves large scale, systemic and sustainable social
change through a new invention, a different approach, a
more rigorous application of known technologies or
strategies, or a combination of these.
Focuses on the social and/or ecological value creation
and tries to optimize the financial value creation.
Innovates by finding a new product, a new service, or a
new approach to a social problem.
Continuously refines and adapts approach in response
to feedback.
Combines the characteristics represented by Richard
Branson and Mother Teresa.
SOCIAL ENTREPRENEURS SHARE COME
COMMON TRAITS INCLUDING:
An unwavering belief in the capacity of all people
to contribute meaningfully to economic and social
development
 A driving passion to make that happen.
 A practical but innovative stance to a social
problem, using market principles and forces,
coupled with determination, that allows them to
break away from constraints imposed by ideology
or field of discipline, and pushes them to take
risks that others wouldn't dare.
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EXAMPLES OF SOCIAL ENTREPRENURS
Maria Montessori (Italy) - Developed the
Montessori approach to early childhood education.
 Florence Nightingale (UK) - Founder of modern
nursing, she established the first school for nurses
and fought to improve hospital conditions.
 Ibrahim Abouleish (Egypt) - Founder of SEKEM,
a biodynamic agricultural corporation, alternative
medicine, and educational center located outside
of Cairo.
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EXAMPLES OF SOCIAL ENTRPRENURS
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Muhammad Yunus (Bangladesh) - Founder
of microcredit and the Grameen Bank. He was awarded
the 2006 Nobel Peace Prize.
Bill Drayton (U.S.) - Founded Ashoka, Youth Venture,
and Get America Working!
Jamie Oliver (U.K.) - TV chef who campaigned to improve
children's diet at school. He also trained disadvantaged
young people to become chefs. He created a restaurant
- a social enterprise - called Fifteen which employed
these newly trained youngsters. Fifteen is now a global
chain of restaurants.
SEKEM
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SEKEM – With a name that essentially means “vitality
from the sun,” this Egyptian company has certainly lived
up to its promise by continuously encouraging social,
personal and environmental development.
Since SEKEM was founded in 1977 by Dr. Ibrahim
Abouleish, a pharmacologist, it has:
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Produced medicinal, herbal, gastronomical and aesthetically
focused products that serve the needs of its customers
Improved the environment through biodynamic farms
Built an educational establishment for children to
emphasize creativity and analytical thought
Instituted a healthcare center devoted to holistic medicine
GRAMEEN BANK
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Reversed conventional banking practice by removing the need
for collateral and created a banking system based on mutual
trust, accountability, participation and creativity.
Credit is a cost effective weapon to fight poverty and it serves
as a catalyst in the over all development of socio-economic
conditions of the poor who have been kept outside the banking
orbit.
Muhammad Yunus, the founder, if financial resources can be
made available to the poor people on terms and conditions that
are appropriate and reasonable, “these millions of small people
with their millions of small pursuits can add up to create the
biggest development wonder.”