How social entrepreneurs can create value for society
A developing country such as India, beset by a host of cultural, economic and environmental problems, is in dire need of socially-minded entrepreneurs who can bring about positive change.
Social entrepreneurship has gained significant momentum in recent years as more and more entrepreneurs look to make a positive difference and bring about meaningful change in the world while simultaneously generating profits to sustain their businesses. As a result, the field is rapidly growing and attracting immense attention across a variety of sectors. Young people are also taking an active interest in this field and there are several startups that are committed to creating a positive impact on society by investing their resources in building a social enterprise, as it ensures a beneficial outcome for all. Personally, I believe social entrepreneurs are popular around the world, owing to the fact that they have established an ethically functional idea that is improving people’s lives.
Social entrepreneurship can be defined as the innovative use of business methods and resources to improve the lives of the underprivileged and marginalised. Social enterprises usually work towards cultural, social or environmental causes with a view to catalysing sustainable and viable impact for the people involved.
Another aspect I’d like to emphasise as a social entrepreneur is that social entrepreneurship can only be sustained when businesses supporting the enterprise are profitable in the long term. It is a sustained effort which can only be successful with the existence of distinctive business goals supporting the cause. Both the social arm and the enterprise arm of the business work together to ensure a strong presence that is more likely to succeed. A strong brand presence, affordable products, strong distribution network and cohesive efforts of different sectors of an economy are the biggest driving factors for businesses in a social enterprise.
As social entrepreneurs, we aspire to prioritise the mission rather than profits. This is starkly different from corporations undertaking Corporate Social Responsibility ( CSR) for marketing purposes and non- profit organisations which tend to raise money and awareness through short- term time- bound goals facilitated by events. Pursuing a social mission necessitates a focused, target- driven plan to uplift the nation and address issues on a national basis. The fact that serving the nation is a full-time objective of the enterprise, rather than a byproduct of their work, helps the enterprise to constantly devise better solutions to tackle its chosen social issue. In addition to providing solutions for unemployment and poverty, a social enterprise also creates value for society.
In a country like India, which is tackling a plethora of issues such as poverty, unemployment, lack of adequate health and sanitation facilities, social entrepreneurship is very much the way forward. However, to encourage more young people to adopt this approach, there needs to be a proper structure in place. There should be awareness drives across colleges to educate youngsters about alternative career options available in addition to incentives from governments and investors to promote social entrepreneurship as a viable career choice. Unfortunately, this business model often unfairly carries negative connotations, with people often incorrectly assuming that social enterprise is about trying to make money out of the poor, which is simply untrue. It is also often difficult to acquire funding as the arrangement may seem questionable from a profit-driven standpoint. The highlight of being a social entrepreneur lies in the fact that success is not measured by profit or revenue, but by the number of lives transformed through the work. While most of us who become social entrepreneurs have the potential to just invest our time in a corporate business, we choose to take up the responsibility of impacting lives positively through our work.
There are a lot of examples with regard to the level of the impact social entrepreneurs and enterprises have on India. After gaining traction for issues like unemployment, rural poverty and the education crisis, the scenario is making a shift towards the health and sanitation aspects, with measures to provide safe and hygienic healthcare aid to the needy. The priority is to provide and modernise healthcare facilities for the women of rural India, when you consider the fact that only 18% currently have access to appropriate menstrual aid while 82% still resort to potentially hazardous alternatives like old cloths, rags, and hay.
Lastly, I want to highlight why social entrepreneurship has gained momentum primarily because of the differentiation factor—allowing many organisations to appeal to a growing demographic who believe in giving back to the nation. The world is seeing the rise of an “ethical consumer” who prefers to deal with brands that are giving back to society and are not committing unethical practices. There is also a feel-good factor involved in serving the nation and going to bed knowing you are making a difference.
Social entrepreneurship is starkly different from corporations undertaking Corporate Social Responsibility (CSR) for marketing purposes and non-profit organisations which tend to raise money and awareness through shortterm time-bound goals facilitated by events.
The author is founder, Niine Sanitary Napkins and the Niine Movement