What’s a Social Entrepreneur?
Whether it is drilling boreholes in Sub Sahara Africa or building schools, social entrepreneurs come up with innovative and creative ways to address economic, social, or even environmental issues from a business perspective.
Although gaining traction, misconceptions about the work persist, according to the findings of the Thomson Reuters Foundation’s second global poll on the best countries for social entrepreneurs.
The survey of about 900 social enterprise experts found more than half said the public did not understand what they did. This compared to 58% in the inaugural poll in 2016.
Here are six frequently asked questions about the sector:
- What is a social entrepreneur?
There is no specific definition of a social entrepreneur, but broadly a social entrepreneur is someone who uses commercial strategies to tackle social and environmental problems. The main focus is social good but also addresses financial viability to keep the business running.
- When did the term become popular?
Bill Drayton coined the phrase in the 1980s after founding his US-based non-profit Ashoka to support individuals looking to make a positive social change through entrepreneurial means.
Currently, the term describes a broad range of activities from a mainstream business that has a social impact on individual activism.
- Do governments support social entrepreneurs?
Many countries are implementing laws that aim to promote social entrepreneurship. This includes implementing legal definitions, tax incentives, and funding such businesses.
This year Thailand implemented a law to give tax breaks to registered social enterprises, who commit to reinvesting 70% of their profits.
- What are some of the best known social ventures?
Some of the most popular social businesses include Grameen Bank in Bangladesh, Britain’s Big Issue, and India’s Barefoot College, which provides training such as solar engineering to women in rural areas.