Unit-4

Social Entrepreneurship –
New age solution for new age
social and environmental
issues
Social entrepreneurs identify resources where people only see problems...
They begin with the assumption of competence and unleash resources in
the communities they’re serving.” — David Bornstein, Author, How to
Change the World: Social Entrepreneurs and the Power of New Ideas

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The Social Entrepreneurship
Movement
Social Entrepreneurship
◦ Entrepreneurship applied to social problem solving whereas traditional,
private-sector entrepreneurship focuses on innovation, risk-taking, and large
scale transformation.

The Social Entrepreneurship Process

◦ Recognition of a perceived social opportunity
◦ Translation of social opportunity into an enterprise concept
◦ Identification and acquisition of resources required to execute the
enterprise’s goals.

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Defining Social Entrepreneurs
(cont’d)
Characteristics of Social Entrepreneurs
as Change Agents
◦ Adoption of a mission to create and sustain social value (beyond personal
value)
◦ Recognition and relentless pursuit of opportunities for social value
◦ Engagement in continuous innovation and learning
◦ Action beyond the limited resources at hand
◦ Heightened sense of accountability

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Defining the Social
Entrepreneur
Social Entrepreneurs
◦ Are a person or small group of individuals who founds and/or leads an
organization or initiative engaged in social entrepreneurship.
◦ Also referred to as “public entrepreneurs,” “civic entrepreneurs,” or “social
innovators.
◦ Are creative thinkers continuously striving for innovation in technologies,
supply sources, distribution outlets, or methods of production.
◦ Are change agents who create large-scale change using pattern-breaking
ideas to address the root causes of social problems.

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 What does it take to become a socia
entrepreneur?
Entrepreneurial talent and business skills are important constituents of the personality
of the social entrepreneur. They possess entrepreneurial mindset, and
they utilize their knowledge and skills to fulfil social needs. They
want to be agents of social change.
They are creative individuals with a powerful new, system-changing idea.
They use their new ideas to achieve social benefit.
Social entrepreneurs create goods and/or services at prices above cost that result in
social value and a sustainable legacy in empowered communities. They use business
processes and models to address intractable social problems.
Social entrepreneurs are empathetic, compassionate and understanding,
and they gain reward from benefiting others. Emotions and empathy play a significant
role in the entrepreneurial process, especially in maintaining the momentum of an
enterprise. A high degree of compassion enables the social entrepreneur to have the
insight to identify the causes of social disadvantage and the creativity to envision a
solution.

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Social VS traditional Business

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Examples of Social Enterprise Obligations

Environment Pollution control

Restoration or protection of environment
Conservation of natural resources
Recycling efforts

Energy Conservation of energy in production and marketing operations

Efforts to increase the energy efficiency of products
Other energy-saving programs (for example, company-sponsored car pools)

Fair Business Practices Employment and advancement of women and minorities

Employment and advancement of disadvantaged individuals (disabled, Vietnam veterans,
ex-offenders, former drug addicts, mentally retarded, and hardcore unemployed)
Support for minority-owned businesses

Human Resources Promotion of employee health and safety

Employee training and development
Remedial education programs for disadvantaged employees
Alcohol and drug counseling programs
Career counseling
Child day-care facilities for working parents
Employee physical fitness and stress management programs

Community Involvement Donations of cash, products, services, or employee time

Sponsorship of public health projects
Support of education and the arts
Support of community recreation programs
Cooperation in community projects (recycling centers, disaster assistance, and urban renewal)

Products Enhancement of product safety

Sponsorship of product safety education programs
Reduction of polluting potential of products
Improvement in nutritional value of products
Improvement in packaging and labeling

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 Environmental Awareness
Ecovision
◦ A leadership style that encourages open and flexible structures that
encompass the employees, the organization, and the environment,
with attention to evolving social demands.

Bisman Deu founded her first company, GreenWood, when she was just 15 years-old. She invented a
product aimed at eliminating one the of the biggest causes of air pollution in North India— crop burning.
Just before the onset of winter in India, farmers in the states of Punjab and Haryana burn millions of tonnes
of rice stubbles as the crop tends to leave behind a residue of husk and straw after harvesting.
As a schoolgirl, Deu saw how crop burning on her family farm was affecting the environment. It is then that
https://youtu.be/45ed3lRGQF0 she started experimenting in her parents’ kitchen and invented a new variety of sustainable building material
from rice waste. This material can be used as a base for building houses in rural areas.

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Environmental Awareness
Key Steps in an Environmental Strategy
1. Eliminate the concept of waste.
2. Restore accountability.
3. Make prices reflect costs.
4. Promote diversity.
5. Make conservation profitable.
6. Insist on accountability of nations.

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 Promoting Sustainable Enterprises
Benefit Corporation
1. Purpose: to create a material positive impact on society and the
environment.
2. Accountability: to have a fiduciary duty to consider the interests of
workers, the community, and the environment.
3. Transparency: to report annually to the public on overall social and
environmental performance with a credible and transparent third-party
standard.

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Social Enterprise and Sustainability
Sustainable Entrepreneurship
◦ The preservation of nature, life support, and community
in the pursuit of perceived opportunities to bring into
existence future products, processes, and services for
gain, where gain is broadly construed to include
economic and noneconomic gains to individuals, the
economy, and society

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 Forms of Sustainable
Entrepreneurship
Social Corporate Social
Ecopreneurship
Entrepreneurship Responsibility

Environmental Activities and processes Actions that appear to

entrepreneurship with undertaken to discover, further some social good,
entrepreneurial actions define, and exploit beyond the interests of
contributing to preserving opportunities in order to the firm and that which is
the natural environment. enhance social wealth by required by law and often
creating new ventures or denotes societal
managing existing engagement of
organizations in an organizations
innovative manner

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 What Is a Social Enterprise?
A social enterprise or social business is
defined as a business with specific social
objectives that serve its primary purpose.
Social enterprises seek to maximize profits
while maximizing benefits to society and
the environment, and the profits are
principally used to fund social programs.
Social enterprises can be both non-profit or
for-profit organizations and may take the
forms of many different types of
organizations.
Common in all social enterprises is the fact
that they usually adopt two main goals –
the first is to generate profits, while the
second is to reach its social, cultural,
economic, or environmental outcomes
outlined in the company’s mission.

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 Phool.Co | India
Key facts
•11,060 metric tonnes of temple-waste has been
flowercycled® to date;
•110 metric tonnes of chemical pesticides that
enter the river through temple waste have been
offset;
•The income of 73 manual scavenger families
has increased at least six-fold;
•365 families have been impacted by
Phool through increased living standards and
stable incomes;
•1,260 women have been supported through
Phool to date;
•19 children whose mothers used to work as
manual scavengers have started going to
school.

https://vimeo.com/338842757
https://unfccc.int/climate-action/momentum-for-change/women-for-results/phool

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Social Entrepreneur

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 Social Entrepreneur – Muhammad Yunus
Muhammad Yunus, founder of theGrameen Bank and father of
microcredit, provides a classic example of social
entrepreneurship. The stable but unfortunate equilibrium he
identified consisted of poor Bangladeshis’ limited options for
securing even the tiniest amounts of credit. Unable to qualify for
loans through the formal banking system, they could borrow only
by accepting exorbitant interest rates from local moneylenders.
More commonly, they simply succumbed to begging on the
streets. Here was a stable equilibrium of the most unfortunate
sort, one that perpetuated and even exacerbated Bangladesh’s
endemic poverty and the misery arising from it.

Yunus confronted the system, proving that the poor were

extremely good credit risks by lending the now famous sum of
$27 from his own pocket to 42 women from the village of Jobra.
The women repaid all of the loan. Yunus found that with even
tiny amounts of capital, women invested in their own capacity for
generating income. With a sewing machine, for example, women
could tailor garments, earning enough to pay back the loan, buy
food, educate their children, and lift themselves up from poverty.
Grameen Bank sustained itself by charging interest on its loans
and then recycling the capital to help other women. Yunus
brought inspiration, creativity, direct action, courage, and
fortitude to his venture, proved its viability, and over two
decades spawned a global network of other organizations that
replicated or adapted his model to other countries and cultures,
firmly establishing microcredit as a worldwide industry.

Grameen Bank at a Glance

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https://youtu.be/MgYes4bA7oM
Social Entrepreneurs

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 Social
Innovation
▪Social innovation refers to the design
and implementation of new
solutions that imply conceptual,
process, product, or organizational
change, which ultimately aim to
improve the welfare and wellbeing
of individuals and communities.
▪Social innovation is meant to have
long term impact at large scale.
Social innovation is traditionally
advanced through non-profit
endeavours, but the business
community is also open to address
society’s challenges too.
Introduction: Dimensions of Social Innovation Alex Nicholls, Julie Simon and
Madeleine Gabriel
https://link.springer.com/content/pdf/10.1057/9781137506801_1.pdf

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 Ice Stupa was invented by Sonam Wangchuk in

Social Innovation – Ladakh (India) and the project is undertaken by the

NGO Students' Educational and Cultural Movement of
Ladakh. Launched in October 2013, the test project
ICE SUTPA started in January 2014 under the project name The Ice
Stupa project.

The water sprays out of a sprinkler at the

top of the pipe and freezes as it falls onto a
conical shape of branches. The conical
shape gives the ice stupas a large
advantage over Norphel's artificial glaciers,
as direct sunlight hits less surface area,
meaning that the stupas melt slower and
provide water for longer. The ice stupas
are formed using glacial stream water
carried down from higher ground
through buried pipes, with the final
section rising vertically. Due to the
difference in height, Wangchuk explained,
pressure builds up and the water flows up
and out of the pipe into sub-zero air
temperatures.

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 Social Impact
Social impact is the positive change
your organization creates to address a
pressing social issue. This can be a
local or global effort to tackle things
like climate change, racial inequity,
hunger, poverty, homelessness, or
any other problem your community is
facing.
Social impact can be about helping Healing Eyes of The World
those in need, providing resources and https://youtu.be/Wfsrg7aait8
advocacy, or it can be about lessening https://youtu.be/3cjnNPua7Ag
the negative effects of doing business.

Examples: https://blog.submittable.com/social-impact-examples/
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Aravind Eye Care Model: High
Volume, High Quality Eye Care | Dr.
George Puthuran | TEDxIITPatna

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Aravind Business Model
Eradicating needless blindness in
India Read: https://socialbusinessdesign.org/aravind-business-model-case-study/

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Measuring Social Return on
Investment
Social return on investment (SROI)
is a model used to quantify the
social and financial benefits and
value of a service, programme,
policy or organisation to society.
Social return on investment (SROI)
is a method for measuring values
that are not traditionally reflected
in financial statements, including
social, economic, and
environmental factors.
They can identify how effectively a
company uses its capital and other
resources to create value for the
community.

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https://youtu.be/l3CWpt49maw 4–27
Torres, Ester & Fernández, Óscar & Carrascal, Pedro & Ruiz-Beato, Elena & Pérez, Elvira & Estrada, Rita & Gómez-García, Teresa & Jiménez, Margarita &
Hidalgo-Vega, Alvaro & Merino, María. (2020). Social value of a set of proposals for the ideal approach of multiple sclerosis within the Spanish National Health
System: a social return on investment study. BMC Health Services Research. 20. 10.1186/s12913-020-4946-8.

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 An SROI Study of HiH India
Social Return on Investment (SROI) is a prominent tool used in the
development sector that accords a monetary value to the social, Indian Institute of Technology (IIT – Madras) had taken up a
novel and first of its kind study of SROI in India with Hand in
economic and environmental benefits and costs created by an Hand.
organization or initiative.

SROI borrows from techniques of economic analysis as well as social

accounting to provide a valuation that can be used to better
understand the task, outcomes and impacts of an organization.

It is a framework for measuring and accounting for the broader

concept of value; it seeks to reduce inequality and environmental
degradation and improve wellbeing by incorporating social,
environmental and economic costs and benefits (Nicholas et al,
2012).

Example https://hihindia.org/blog/general/social-return-on-investment-measuring-impact-in-the-development-sector/
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What is scaling of social
entrepreneurship?

Scaling is defined as the most effective and efficient way to

increase a social enterprise's social impact, based on its
operational model, to satisfy the demand for relevant products
and/or services.

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How Do Commercial Firms
Grow?

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Challenges faced by Social
Enterprises
•Lack of funding support.
•Ability to scale-up.
•Duality of mission.
•Lack of proper business strategy.
•Managing Finances.
•Inadequate Market Experience.
•Non-strategic Planning.
•Lack of Capacity.
•Political Barriers.
•Lack of Practical knowledge.
•Not Having the Right Team.

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 How to solve social issues
and earn profits? Scalability

https://www.hotstar.com/in/tv/the-great-indian-disruptors/1260111657 4–35
PAD MAN
Arunachalam Muruganantham (Padman)
is a social entrepreneur from Coimbatore
in Tamil Nadu, India. He is the inventor
of a low-cost sanitary pad-making
machine and is credited for innovating
grassroots mechanisms for generating
awareness about traditional unhygienic
practices around menstruation in rural
India. His mini-machines, which can
manufacture sanitary pads for less than
a third of the cost of commercial pads,
have been installed in 23 of the 29 states
of India in rural areas. He is currently
planning to expand the production of
these machines to 106 nations.
Despite offers from several corporate
entities to commercialize his venture, he
has refused, and continues to provide
these machines to self-help groups
(SHGs) run by women.

https://www.ted.com/talks/arunachalam_muruganantham_how_i_started_a_sanitary_napkin_re
https://www.youtube.com/watch?v=oQI0TngMm_0 volution?utm_campaign=tedspread&utm_medium=referral&utm_source=tedcomshare
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Social Venture Strategies for
Growth:
Dissemination - Make your social
venture’s model and intellectual
property (IP)
Branching- Creating multiple
offices in locations
Affiliation- On boarding similar
/relation businesses
Social franchising- A hybrid of
branching and affiliation that
permits scaling at a faster rate
and a lower cost while
maintaining control over quality
and the brand

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 Guide to growing and scaling your social enterprise

1. Understand your ecosystem

2. Use Design-Thinking to find a product that can scale
3. Validate your scale-up business model
4. Financing your scale-up initiative
5. Build the right team and develop their skills
6. Managing your team
7. Build partnerships to keep growing
8. Report on impact (in real time)
9. Push the industry
10. Return to Step 1

https://movingworlds.org/social-entrepreneurship-guide

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 1) HBR| Two Keys to Sustainable Social
Enterprise

Social entrepreneurship has emerged over the past several decades as a way to
identify and bring about potentially transformative societal improvements. Ventures
in this realm are usually intended to benefit economically marginalized segments
of society that can’t transform their prospects without help. But the endeavors
should be financially sustainable, because there’s no guarantee that subsidies
from taxpayers or charitable givers will continue indefinitely. Grameen Bank is a
famous example of a social venture that met both goals.
In studying the winners of the Skoll Award for Social Entrepreneurship, the authors
found that they all focus on changing two features of an existing system: the
economic actors involved and the enabling technology applied. For example, the
children’s rights activist Kailash Satyarthi realized that reaching ethically
concerned consumers through Rugmark (now GoodWeave International) could
help foil exploitative labor brokers in India’s carpet-weaving industry. And through
the Kiva platform, Matt Flannery and Jessica Jackley enabled small-scale lenders
in wealthy countries to lend to small-scale borrowers in poor countries. Today
GoodWeave operates globally, and Kiva is on track to facilitate more than $1
billion in microloans within the next couple of years.

2) HBR -Making Social Ventures Work: https://hbr.org/2010/09/making-social-ventures-work

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 A New Alliance for Global Change

The citizen sector, composed of millions of groups worldwide that are attempting to
address critical social needs, has long been regarded as understaffed and inefficient.
Citizen sector organizations (CSOs) are attracting talented and creative leaders, and their
work is changing the game in critical industries such as energy and health care. For-profit
companies now have an opportunity to collaborate with CSOs to create new markets for
reaching the four billion people who are not yet part of the world’s formal economy.
The power of such collaborations lies in the complementary strengths of the partners:
Business offers scale, expertise in manufacturing and operations, and financing. Social
entrepreneurs offer lower costs, strong social networks, and deep insights into potential
customers and communities. The authors call this framework the hybrid value
chain. In one example, Colcerámica, a Colombian manufacturer of kitchen and
bathroom tile, collaborated with the human-rights organization Kairos, which
recruited and managed a sales force of previously unemployed women, to
reach a low-income market. Within three years sales had grown to nearly $12
million; the living conditions of more than 28,000 families had been improved;
and 179 saleswomen were each earning $230 a month.

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 Watch this https://youtu.be/A2o5gKAUaxM

The gift economy

Gift economy is a form of exchange, outside of traditional economic markets, where goods and services are
given freely without monetary exchange or expectations of a return or reward. Gift economy differs from an
exchange or barter economy because there are no expectations of reciprocity or quid pro quo. Goods and
services are given freely out of the willingness of the donor without the promise of a reward or return.
Transactions within a gift economy are altruistic in nature; seek to see the value of goods and services beyond
the market value or price, while trying to address the needs of others.

The concept of the gift economy emerged from anthropology and sociology and has been taken
up by political science and economics, and an understanding of what defines acts of gifting seems
to transcend the disciplines: the obligation to give, the obligation to receive and the obligation
to reciprocate (Eisenstein, 2011; Putnam, 2000; Derrida, 1997; Bourdieu, 1979; Mauss, 1925).
Based on this definition, the question is:
How can we recreate an understanding of economics that paves the way for organisational
principles that will connect the often separate areas of social sustainability, i.e. social and
environmental development?

What is Gift economy? https://youtu.be/EaxjxICgahc

https://sustain.wisconsin.edu/sustainability/triple-bottom-line/

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Gift Economy
https://www.ted.com/talks/alex_gendler_what_is_a_gift_economy?lan
guage=en

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 Gifting economy-Samso

https://www.ted.com/talks/alex_gendler_what_is_a_gift_economy?utm_campaign=tedspread&
utm_medium=referral&utm_source=tedcomshare
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The gift economy and the development
of sustainability
This article contends that a new perspective on the economy – a gift economy – would be beneficial to the
development of sustainability.

The principles and practices of the gift economy (giving, receiving and
reciprocating) are exemplified by a case study of the Danish island of Samsø, which has used it to
achieve environmental sustainability, improve its economic situation and generate social value.
In order to illustrate the values and principles that underpin the gift economy, the article shows the
underlying exchange mechanisms used in this modern version of ‘gift-giving' and contrasts them to using
money as the medium of exchange. One of the mainstays of the gift economy is the willingness and
obligation to reciprocate, and the case study highlights some of the original ways of organising that have
emerged from the gift economy on Samsø and how significantly they differ from organising and managing
by budgets. As such, the article attempts to reframe the understanding of the economy and, in particular,
to qualify and illustrate the potential of the organising principles behind the gift economy and encourage
readers to conduct further research and engage in initiatives that will make a positive contribution to the
development of sustainability.

Reference Paper

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Gifting economy

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Sharing Economy

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Paid Forward Model
UBER:
https://youtu.be/jzFTwBkIC5o
AIR BNB:
https://youtu.be/LWD-I5qPCfw
ZIPCar:
https://www.youtube.com/watch?
v=nvg3alrvs3w

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Shared Value-Creating Shared
Value
Nestlé Creating Shared Value (CSV) | Our Story

An approach to creating
economic value that also
creates value for society by
addressing its needs and
challenges—company
success causes social
progress when overcoming
societal problems reduces
costs for firms, increases
productivity, and opens new
markets.

https://youtu.be/lddvEp7Bmps 4–48
Insight: Ideas for Change - Michael
Porter - Creating Shared Value

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 Triple Bottom Line (TBL)
◦ The triple bottom line is a business concept that posits firms
should commit to measuring their social and environmental
impact—in addition to their financial performance—rather
than solely focusing on generating profit, or the standard
“bottom line.” It can be broken down into “three
Ps”: profit, people, and the planet
HBR INSIGHT: THE TRIPLE BOTTOM LINE: WHAT IT IS & WHY
IT’S IMPORTANT
◦ In 1994, author and entrepreneur, John Elkington, built
upon the concept of the triple bottom line (TBL) in hopes to
transform the current financial accounting-focused business
system to take on a more comprehensive approach in
measuring impact and success. An accounting framework
that combines consideration of traditional economic
measures with environmental and social dimensions to
measure the firm’s performance in achieving its
Watch this : https://youtu.be/2f5m-jBf81Q sustainability goals.
https://youtu.be/GsTPbnV8nE0

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 Triple Bottom Line Measures
Economic Environmental Social
Performance Performance Performance

• Personal income • Hazardous chemical • Unemployment rate

• Cost of underemployment concentrations • Median household income
• Establishment sizes • Selected priority pollutants • Relative poverty
• Job growth • Electricity consumption • Percentage of population
• Employment distribution by • Fossil fuel consumption with a post-secondary
sector • Solid waste management degree or certificate

• Percentage of firms in each • Hazardous waste • Average commute time

sector management • Violent crimes per capita
• Revenue by sector • Change in land use/land • Health-adjusted life
contributing to gross state cover expectancy
product.

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 Design Thinking for Social
Innovation
(Brown & Wyatt,2009) Design thinking taps into capacities we all have but that are
overlooked by more conventional problem-solving practices. Not only does it focus
on creating products and services that are human centered, but the process itself is
also deeply human.
Design thinking relies on our ability to be intuitive, to recognize patterns, to
construct ideas that have emotional meaning as well as being functional, and to
express ourselves in media other than words or symbols.
The design thinking process is best thought of as a system of overlapping spaces
rather than a sequence of orderly steps.
◦ There are three spaces to keep in mind: inspiration, ideation, and implementation.
◦ Think of inspiration as the problem or opportunity that motivates the search for solutions;
◦ ideation as the process of generating, developing, and testing ideas; and
◦ implementation as the path that leads from the project stage into people’s lives.
Brown, T., & Wyatt, J. (2009). Design Thinking for Social Innovation. Stanford Social Innovation Review, 8(1), 31–35. https://doi.org/10.48558/58Z7-3J85

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https://ssir.org/articles/entry/design_thinking_for_social_innovation#
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Evolution of Intrapreneur
The term “intrapreneurship” first appeared in a white paper titled
“Intra-Corporate Entrepreneurship” in 1978, written by Gifford and Elizabeth
Pinchot for the Tarrytown School for Entrepreneurs. That paper generated a
conversation and rigorous debate that led the Pinchot’s to publish a book on
the same topic, Intrapreneuring: Why you don't have to leave the corporation
to become an entrepreneur, in 1985.
The Intrapreneurship Initiative catalogues how the term gained traction after
the book was published, appearing in Time Magazine that same year and
again in Newsweek in 1986 when Steve Jobs used it to describe the
Macintosh team. In 1992, the term was added to the American Heritage
Dictionary, and less than ten years later the first Intrapreneurship Conference
was held in London in 2011.
Three years later, Forbes magazine declared the social intrapreneur ‘2014s
Most Valuable Employee.’ The adoption of intrapreneurial initiatives within
large companies has taken off since then, and the term ‘intrapreneurship’ has
continued to evolve as its been popularized by mainstream culture.
Source
; https://movingworlds.org/social-intrapreneurship#getting-started-as-a-social-intrapreneur

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Stories of Intrapreneurial
Innovation
Accenture's not-for-profit consulting group
Gib Bulloch shares his personal story of how he became the Founder and Executive Director of Accenture
Development Partnerships (ADP), a ring-fenced not-for-profit consulting group within Accenture, whose
clients include many of the major international NGOs and development agencies.

Microsoft's internal carbon fee

Tamara diCaprio at Microsoft launched a new reporting practice that makes every business unit fiscally
accountable for its energy consumption by charging a carbon fee. The proceeds of those fees then go
into a fund for purchasing renewable energy and carbon offsets. The results speak for themselves - in
the first 3 years alone, Microsoft reduced company-wide emissions by 7.5 million metric tons of carbon
dioxide equivalent (mtCO2e) through investments in efficiency, green power, and carbon offset
community projects.

Vodafone's M-PESA Mobile Money Transfer Service

Two middle managers from Vodafone and Safaricom launched the mobile payment product M-PESA
from within their established companies in 2007. As of 2012, M-Pesa had over 17 million customers,
many of whom previously did not have bank accounts.

Nick Hughes, one of the original team who created M-PESA, talks about how the mobile money
transfer platform emerged and quickly took off in Kenya. He also discusses his latest venture,
M-KOPA, a start-up that finances solar energy lighting for low income households In Kenya.

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Emergence of “Social Intrapreneurism’
The Social Intrapreneurship Model

Social
intrapreneurship occurs
when employees engage in
social innovation while
employed by an
organization. It sits at the
intersection of social
entrepreneurship, where
entrepreneurs start an
organization to address
social issues, and business
intrapreneurship, where
employees innovate new
products and services
Source: Debbie Haski-Leventhal and Ante Glavas

Read the MIT Review Here

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 Four Ways to Ignite Social
Intrapreneurship
▪Support and develop the social
▪Elevate the collective efforts
▪Make mobilization of resources easy
▪Create & Innovate a multi-stakeholder
approach.

Source:
https://sloanreview.mit.edu/article/social-intrapreneurship-unleashing-social-innovation-from-within/?use_credit=35319cc91d56e8e3e87c02bb 4–60
4a651b59
Some Examples
Top 10 Young Social Entrepreneurs of
India
List of Top Social Entrepreneurs in India & Their Works

India needs social entrepreneurs

Top 20 Social Entrepreneurs In India- 2020

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https://www.coolerfuture.com/blog/impact-investing-vs-esg-vs-sri
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Intro Impact investing
A growing number of investors want to see their money go toward stocks or
funds that are both profitable and reflective of their social values.
Three styles of investing fulfill this: Environmental, social, and governance (ESG),
socially responsible investing (SRI), and impact investing.
ESG looks at the company's environmental, social, and governance practices,
alongside more traditional financial measures.
Socially responsible investing involves actively removing or choosing investments
based on specific ethical guidelines.
Impact investing looks to help a business or organization complete a project or
develop a program or do something positive to benefit society.

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Social Impact Investing
Social impact investing provides finance to organizations addressing
social and/or environmental needs with the explicit expectation of a
measurable social, as well as financial, return. It thus aims to foster
economic development while achieving social outcomes.
Social impact investments can also be used to finance social services and
social infrastructure. In these types of arrangements, payments are
normally made based on achieving agreed social outcomes rather than
on inputs or activities. Where investors are involved, they will usually
expect their investment to be repaid and, potentially, to earn a return.
This return is likely to depend on the level of social outcomes achieved.

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Sustainable Impact Investing, takes ESG factors into account alongside the
expectation of the financial returns. Capital is allocated to assets that contribute
positively to one or more of those ESG elements (even if somewhat indirectly)
while also performing well financially. The idea is that investment opportunities
that have good ESG scores will improve overall financial performance, and those
with poor ESG scores will have poorer financial returns.

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 What Is Socially Responsible Investing
(SRI)?
Socially responsible investing, also known as
SRI, refers to an investment strategy that will
provide financial return while staying For an SRI strategy, societal concerns and corporate
consistent with positive social impact and responsibility are critical elements of making investment
moral values. SRI is as straightforward as an decisions.
investor who doesn’t want to invest in an SRI is a complete spectrum of investment activities.
industry, they find questionable morally. Therefore, sustainable investing refers to a broad
approach to investing in companies that used to
Many investors are choosing to align their
manage themselves in sustainable ways. These ways
portfolios with their personal values, using also include human rights and environmental
their investments to make a positive impact. protection.
investment professionals often consider SRI through
Environmental, social, and governance lens as factors
SRI can also be based on moral values and
for investing. This approach also focuses on the
avoided in some industries such as:
1.Tobacco management practices of the company. Also, on
2.Alcohol whether they tend towards community improvement
3.Animal testing and sustainability.
4.Weapons
5.Gambling, and more.

Read: The History of Socially Responsible Investing 4–68

There are several motivations for sustainable investing,
◦ personal values and goals,
◦ institutional mission,
◦ Changing consumer preference,
◦ constituents or plan participants.
Sustainable investors aim for strong financial performance, but also believe that
these investments should be used to contribute to advancements in social,
environmental and governance practices.
They may actively seek out investments—such as community development loan
funds or clean tech portfolios—that are likely to provide important societal or
environmental benefits.
Some investors embrace sustainable investing strategies to manage risk and fulfill
fiduciary duties; they review ESG criteria to assess the quality of management and
the likely resilience of their portfolio companies in dealing with future challenges.
Some are seeking financial outperformance over the long term; a growing body of
academic research shows a strong link between ESG and financial performance.

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 Who are sustainable
investors?
Sustainable investors comprise individuals, including average retail investors to very high net worth individuals and
family offices, as well as institutions, such as universities, foundations, pension funds, nonprofit organizations and
religious institutions. There are hundreds of investment management firms that offer sustainable investment funds and
vehicles for these investors.

Practitioners of sustainable investing. Examples include:

Individuals who invest—as part of their savings or retirement plans—in mutual funds that specialize in seeking
companies with good labor and environmental practices.

Credit unions and community development banks that have a specific mission of serving low- and middle-income
communities.

Hospitals and medical schools that refuse to invest in tobacco companies.

Foundations that support community development loan funds and other high social impact investments in line with
their missions.

Religious institutions that file shareholder resolutions to urge companies in their portfolios to meet strong ethical and
governance standards.

Venture capitalists that identify and develop companies that produce environmental services, create jobs in
low-income communities or provide other societal benefits.

Responsible property funds that help develop or retrofit residential and commercial buildings to high energy efficiency
standards.

Public pension plan officials who have encouraged companies in which they invest to reduce their greenhouse gas
emissions and to factor climate change into their strategic planning.

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How to Start a
Social
Enterprise?

Identify the
Six steps to
create the
Social
Enterprise?

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