A famous example of a social business is the Grameen Bank in Bangladesh, which each year gives out loans to the poor that amount to approximately one billion US dollars.
Social business was defined by Nobel Peace Prize laureate Professor Muhammad Yunus and is described in his books. In these books, Yunus defined a social business as a business: Created and designed to address a social problem.
What is a Social Enterprise? Social enterprises are businesses that trade to intentionally tackle social problems, improve communities, provide people access to employment and training, or help the environment. … are driven by a public or community cause, be it social, environmental, cultural or economic.
Social business is an umbrella term used to describe an organization that includes social media as part of its business plan. … The term social business may also be used to describe an organization whose mission statement involves addressing a societal issues such as education, child welfare or mental health.
Types of social enterprise
- Community-based organisation. Definition: An organisation with a strong geographical definition and focus on local markets and services. …
- Non-Governmental Organisations with commercial arms. …
- Cooperative. …
One of the main benefits of social goals is that they help to improve the public image of the company. This shows consumers that the business is going above and beyond to help the society in which they operate.
Social enterprises commit to reinvesting a majority of profits/surpluses into achieving its social/environmental objectives. This is a fundamental difference between social enterprises and traditional businesses, which are accountable to shareholders/owners and as such are primarily driven by these interests.
Social enterprises can sell anything that a typical business offers. Like any other business it will only make money if its product or service is of good quality, in demand (i.e. you have researched your customers and know exactly what they need), professionally delivered and priced so you can make a profit/surplus.
The 10 Most Successful Social Entrepreneurs
- Bill Drayton.
- Rachel Brathen.
- Shiza Shahid.
- Blake Mycoskie.
- Scott Harrison.
- Muhammad Yunus.
- Jeffrey Hollender.