BUILDING SOCIAL BUSINESS
PHASE 2
BY
April 7, 2014
Table of Contents
Building Social Business.................................... 1
Seven Principles of Social Business ...................... 2
Social Entreprenaurship .................................... 3
Major Organizations............................................... 4
Types of Social Entrepreneurship ................ 5
Case Study 1 - ASOKA- The Innovators
For the Public...................... 6
Case Study 2 - Grameen Bank ................... 7
Youth Social Entrepreneurship..................... 8
International Presence ................................. 9
Role of Technology...................................... 10
Public Opinion............................................. 11
Summary 12
BUILDING SOCIAL BUSINESS
Social business, as the term had once been commonly used, was first defined by Nobel Peace Prize laureate Prof. Muhammad Yunus and is described in his books “Creating a world without poverty—Social Business and the future of capitalism and Building Social Business—The new kind of capitalism that serves humanity's most pressing needs.”
In these books, Yunus defined a Social Business as a business that:
• Created and designed to address a social problem
• A non-loss, non-dividend company, i.e.
1. It is financially self-sustainable and
2. Profits realized by the business are reinvested in the business itself (or used to start other social businesses), with the aim of increasing social impact, for example expanding the company’s reach, improving the products or services or in other ways subsidizing the social mission.
Unlike a profit-maximizing business, the prime aim of a Social Business is not to maximize profits (although generating profits is desired). Furthermore, business owners are not receiving any dividend out of the business profits, if any.
On the other hand, unlike a...