Chapter 30 – Social Entrepreneurship

Social entrepreneurship is the practice of creating and running businesses that pursue both social impact and financial sustainability. Unlike traditional entrepreneurship, which focuses mainly on maximizing profit, social entrepreneurship begins with the goal of solving a social or environmental problem and uses business tools to achieve that mission. The purpose is to generate revenue while also producing measurable benefits for communities, such as reducing poverty, improving health, or promoting sustainability.

This approach shares some common ground with corporate social responsibility (CSR), but the two are not the same. CSR refers to established companies integrating social or environmental concerns into their operations, often as part of broader branding, compliance, or stakeholder relations. Social entrepreneurship places the social mission at the center of the enterprise. Profit is not the end goal but a means of sustaining and expanding the impact.

The idea has evolved over time. In the past, social problems were addressed mainly through charities or government programs. As these problems grew more complex, new approaches were needed. Social entrepreneurship developed as a way to combine the innovation and efficiency of business with the values of service and community improvement. Today it is recognized worldwide as a way to tackle urgent issues with sustainable, market-based solutions.

References

Barreiro, Terri D., and Melissa M. Stone. 2013. Social Entrepreneurship: From Issue to Viable Plan. Business Expert Press.

Gordon, Michael. 2019. Becoming a Social Entrepreneur: Starting Out, Scaling Up and Staying True. Routledge.