As we, the authors of this blog, try to address current topics related to Management, Business and Economic, every reader can easily guess that we are students which all, momentarily, take Business and Economics courses. Therefore most of the time we hear lectures about how to optimize processes, maximize profits and minimize costs. These are some of the most basic goals most economic players try to achieve.
Therefore sometime everyone of us had to think/ happened to think at least once about alternative business models because the economic world does not stop to evolve and innovative new ideas and niches have to be found for novel entrepreneurs and also long-established companies to keep up with the today’s fast development in all markets.
So it happens sometimes that some of these new alternative business models get astray from the conventional path of economic principles and bring about evolutionary trends.
One of these trends is certainly the sharing movement that frees customers from the obligation to buy products they just need maybe a few times.
But such alternative thinking also brings about concepts that suddenly have completely different goals. Which are not aimed at generating money for the shareholders or owners, what is the totally understandable usual goal, but which are designed to help to address problems of the society. This kind of entrepreneurship is widely known as “Social Entrepreneurship“.
The probably most famous social entrepreneur is Muhammadd Yunus, the inventor of microfinancing and founder of the Grameen Bank in Bangladesh. For his commitment to provide really poor rural population with small amounts of unsecured loans to give them a chance to overcome yield shortages and be able to pay longterm debts, in 2006 he was awarded the Nobel Peace Prize.
This is a very interesting video explaining Social Entrepreneurship further and giving many more examples of social entreprices: