What is Social Entrepreneurship?

Social entrepreneurship is a corporate perspective from which companies direct efforts and resources to the elaboration of innovative solutions for social problems, promoting a positive impact in the community.

Definition of Social Entrepreneurship

Social entrepreneurship is the start-up of a company whose final objective is not the maximization of economic benefit, but the creation of value for society.

Characteristics of Social Entrepreneurship

For a business to be classified as social entrepreneurship, it must be based on social responsibility and it must have at least the following elements:

Goals

Its main objective should be social welfare and the creation of promoting work for and with society.

Benefits

Most of its profits and income must be reinvested in achieving the social objective.

Actions

His social actions go above profit.

Company

It seeks to establish itself as a company through the use of methods typical of the commercial or business field, such as marketing, advertising, and, of course, sales.

Opportunities

Provides jobs and career growth opportunities.

Establishment

It is established as a store (whether physical or virtual) and offers products or services, in the same way that traditional commercial companies do;

inspiring

It must be to infect the entrepreneurs internally, as well as the possible beneficiaries of the product or service resulting from the initiative.

Innovative

You must look for new utility, marketing, and benefit models for things that already exist, but that can be much better.

Solutions

It provides innovative solutions to social problems and real environments, that is, its fight is against poverty, social exclusion, crime, climate change, etc.

Sustainable

It must be a project that can be achieved in time to give a benefit in time with financial profitability.

Fundamental aspects of social entrepreneurship

Social entrepreneurship is constantly seeking to balance the three fundamental aspects of its mission, which are:

• Achieve your financial success.
• Its raison d’être is based on social responsibility
• Commitment to the environment

Types of Social Entrepreneurship

Types of Social Entrepreneurship by its objective

Broadly speaking, social enterprises can be classified into four categories, according to their fundamental objective:

• Social promotion ventures. Those whose objective is to spread a type of ideas, conduct, or behaviors, in favor of a social or ecological cause.
• Social enterprises of specialists. Those made up of professionals with a high degree of specialization in a matter of social interest, fulfill the role of disseminating specialized knowledge, educating or informing the bulk of the population.
• Local action social enterprises. Those who assume as their goal the solution of specific, specific problems that afflict the society in which they operate.
• Long-range social ventures.  Those that intend to address wide-ranging problems are considered to be of international or universal importance.

Types of Social Entrepreneurship by its financing

They could also be classified according to the origin of their financing:

• Dependents. Those who receive money from some other institution, whether private (commercial) or public (state).
• independent. Those who manage themselves or prefer to maintain their autonomy free of monetary rewards.