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Assignment On Social Enterprise

Social enterprises are businesses operated by non-profits that generate income through the sale of products or services while also creating social, environmental, or cultural value. The key difference between commercial and social entrepreneurship is the designation of returns - social entrepreneurs pursue high social returns rather than profits. Examples of successful social enterprises in India include Husk Power Systems, which has installed mini power plants serving over 150,000 people, and SELCO solar, which has sold and financed over 135,000 solar home lighting systems over 15 years. Building long-term viability and sustainability is challenging for social enterprises, which must be viewed as undertakings that progress over time rather than achieving all goals immediately.

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Anjali Daisy
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1K views

Assignment On Social Enterprise

Social enterprises are businesses operated by non-profits that generate income through the sale of products or services while also creating social, environmental, or cultural value. The key difference between commercial and social entrepreneurship is the designation of returns - social entrepreneurs pursue high social returns rather than profits. Examples of successful social enterprises in India include Husk Power Systems, which has installed mini power plants serving over 150,000 people, and SELCO solar, which has sold and financed over 135,000 solar home lighting systems over 15 years. Building long-term viability and sustainability is challenging for social enterprises, which must be viewed as undertakings that progress over time rather than achieving all goals immediately.

Uploaded by

Anjali Daisy
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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Assignment!on!Social!Enterprise!
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2S.Anjali!Daisy!
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11AC05! !
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Social!Enterprise:!
Social'enterprises'are'businesses'operated'by'non2profits'with'the'dual'purpose'of'generating'income'by'
selling' a' product' or' service' in' the' marketplace'and' creating' a' social,' environmental' or' cultural' value.'
Social'enterprises'are'social'mission'driven'organizations'which'apply'market2based'strategies'to'achieve'
a'social'purpose.'
Entrepreneurship:!
Process'of'creating'value'by'bringing'together'a'unique'package'of'resources'to'exploit'an'opportunity'
Social!Entrepreneurship:!
Process'of'creating'value'by'bringing'together'a'unique'package'of'resources'to'exploit'an'opportunity,'in'
pursuit'of'high'social'returns.'
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The'only'big'difference'between'commercial'and'social'entrepreneurship:'
Denomination!of!the!returns.!
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Social'and'commercial'entrepreneurship'have'most'of'the'same'characteristics.'
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!The!process!of!social!Entrepreneurship!
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1.
Find'an'opportunity'
2.
Develop'a'business'concept'
3.
Figure'out'what'success'means'and'how'to'measure'it'
4.
Acquire'the'right'resources'
5.
Launch'and'grow'
6.
Attain'goals'
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The!Difference!Between!Nonprofit!and!Social!Enterprises'
Most'non2profit'organizations'rely'on'donations'and'sponsorship''which'often'gives'the'organization'a'
short'lifespan;'it'seems'the'NPO'model'is'simply'less'than'functional'in'our'economic'model.'
Here,' the' social' entrepreneur' is' different' because' they' are' able' to' bring' in' a' number' of' additional'
resources.' Most' importantly,' they' are' able' to' generate' capital' by' incentivizing' investment' from'
individuals' and' businesses.' This' approach' allows' a' social' entrepreneur' to' compete' directly' with'
standard'organizations,'giving'them'increased'viability'in'the'modern'world.'
We'are'entering'a'time'where'entrepreneurial'spirit'must'be'redefined.'Those'who'continue'to'pursue'
profits'above'all'else,'not'pausing'to'consider'their'impact'on'resource'sustainability'or'the'people'they'
serve' and' employ,' will' continue' to' face' a' declining' reputation.' Meanwhile,' in' stark' contradiction,' the'
social'entrepreneur'shows'us'what'innovation'and'business'sense'can'do'in'the'modern'era.'
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INDIA'
A'social'enterprise'in'India'is'primarily'NGOs,'who'raise'funds'through'some'services'(often'fund'raising'events'
and' community' activities)' and' occasionally' products.' Despite' this,' in' India' the' term,' Social' Enterprise' is' not'
widely' used,' instead' terms' like' NGOs' and' NPOs' (Non2profit' organizations)' are' used,' where' these' kind' of'
organizations'are'legally'allowed'to'raise'fund'for'non2business'activities.'Child'Rights''and'Youth'United'are'
such'examples'of'social'enterprise,'who'raise'funds'through'their'services,'fund'raising'activities'(organizing'
events,'donations,'and'grants)'or'sometimes'products,'to'further'their'social'and'environmental'goals.'

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Another'area'of'social'enterprise'in'India'and'the'developing'world'is'bottom'of'the'pyramid'(BOP)'Bottom'of'
the'pyramid'businesses'which'was'identified'and'analyzed'by'CK'Prahahalad'C.'K.'Prahalad'in'"Fortune'at'the'
Base' of' the' Pyramid"' This' seminal' work' has' been' a' springboard' for' a' robust' area' of' both' innovation' and'
academic'research.'
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Examples:!!

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Husk!Power!systems:It'has'installed'60'mini2power'plants'that'power'~'25,000'households'in'more'than'250'
villages'and'hamlets'and'impact'lives'of'approximately'150,000!people'in'rural'India.'On'average,'each'power'
plant' serves' about' 400' households' and' replaces' ~' 42,000' litres' of' kerosene' and' 18,000' litres' of' diesel' per'
year.'As'of'August'2010,'HPS'has'already'sequestered'50,000'tons'of'CO2'

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Selco! solar:Sold,'serviced,'and'financed'135,000+!solar'home'lighting'systems'in'15'years.'SELCO'currently'
employs'about'170'employees'in'Karnataka'and'Gujarat'spread'across'28'energy'service'centers.'

First!Energy:Approximately'500,000'Oorja'stoves'have'been'sold'to'BoP'households'since'2006.'
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Agriculture/Rural!Services'

ITC! eChoupal:' As' of' 2011,' there' were'6,500'e2Choupal' installations' reaching'4! million!
farmers'across'40,000!villages'in'10'states.'
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A!Little!World(ALW):'3'million'customers'on'the'Zero'Platform'for'Branchless'Banking'across'20,000'
villages' in' 18' states.' 25' banks' on' the' Zero' Platform.' The' Zero' accounts' are' used' for' biometrics'
identity,' cash' disbursal' of' social' security' pensions' and' wages' under' NREGA,' small' value' credit,'
domestic'money'remittances'by'migrants,'recurring'deposits,'insurance'premium'payments.'
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SUSTAINABILITY!AND!VIABILITY:!
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Building' viability' and' sustainability' in' social' enterprises' is' a' very' challenging' matter' ' and'
the'difficulties'should'not'be'underestimated'
We'must'begin'to'see'the'establishment'of'social'enterprises'as'a'process'and'a'journey''
they'are'not'going'to'be'able'to'achieve'all'social,'environmental'and'financial'objectives'at'
once' nor' from' the' beginning.' Running' a' social' enterprise' is' hard,' hard' work.' Yes' its'
rewarding' sometimes,' but' most' of' the' time' its' a' difficult' balancing' of' social' and' business'
imperatives,' whilst,' at' least' in' Australia,' operating' in' an' environment' that' is' not' yet' as'
supportive' or' enabling' as' it' possibly' could' be.' Lets' not' put' too' much' of' a' burden' of'
perfection'on'social'enterprise.'It'is'not'the'single'silver'bullet'for'addressing'all'the'social,'
cultural'and'environmental'ills'that'befall'us'at'this'present'time.''
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