Social Enterprise Business Model Research Articles

사회적기업 비즈니스 모델과 사업 방향성 전환의 사례연구-사회적기업 ㈜해피캔버스 사례를 중심으로

사회적기업 비즈니스 모델과 사업 방향성 전환의 사례연구-사회적기업 ㈜해피캔버스 사례를 중심으로

Assessment of the Social Return on Investment (SROI), Case: Start Your Own Business Project

The Social Return on Investment (SROI) approach is actively used worldwide for social projects, including social entrepreneurship. Thanks to SROI, donors and investors gain an understanding not only of the economic sustainability of projects, but also of the direct benefit and importance to the people, which is the ultimate goal of the social enterprise business model. In this article, we would like to describe how and why the evaluation was conducted for OMK’s Start Your Own Business project.

Improving financial literacy of village community by using a saving program: A social enterprise strategy

A social enterprise is an organization that has a social mission and uses innovative revenue-generating techniques to fulfill their mission. Social mission in social enterprises is to improve the well-being of the community through good business practices. Nagari's Owned Enterprise (BUMNag) is an organization run with a social enterprise business model. Therefore, the establishment of BUMNag aims to gain profits through empowerment to the community. The purpose of this study is to explore how BUMNag role in improving financial literacy of village community. This research uses a qualitative approach. Data collected through observation, interviews, documentation, then analyzed data is using a modified Theory of Planned Behavior (TPB) to investigate BUMNag innovative idea of a "bajapuik saving system" in improving financial literacy. Informants numbered 10 people, 5 BUMNag managers and 5 people who opened bajapuik deposit contracts. The results of this study show that the strategy with the bajapuik deposit program implemented by BUMNag Pakandangan Emas can provide people with an understanding of the urgency of making deposits from now on to anticipate risks that will occur in the future.

The Development of Indicators for Social Enterprise Business Model in Melitourism

Melitourism is a special type of farm tourism that utilizes stingless bees as a tourism product. However, stingless beekeeping is not a primary livelihood for most curious beginners, such that the business aspects of the operation are often neglected. This paper aimed at developing a model for melitourism social enterprise. With the appropriate entrepreneurial framework, the residents, the local government, and the local businesses will be able to participate and benefit from the melitourism process. The study used an extensive review of more than a hundred literature. The development of the model was anchored on Isenberg's Entrepreneurial Ecosystem and Sustainable Livelihood. The results comprehensively discussed ten components: human capital, financial capital, market access, bioecology, technology, ethics, tourism, culture and heritage, policy, and social capital. Transitioning from conventional beekeeping to melitourism needs careful planning on the part of the farmers. Simply having a passion for beekeeping is not enough. Bee farmers operate within an entrepreneurial ecosystem wherein they must collaborate with policymakers, residents, and organizations

The Institutional Context Changes of Village- Owned Enterprises in Indonesia Towards the Implementation of Participative Governance and Social Enterprise Business Models

This research explains how Village-owned Enterprise (VOE) in Indonesia underwent institutional changes as a response to the institutional context changes and local village responses. The objective of this research was to provide evidence if any village has the capacity to interpret and formulate responses to institutional context changes. A detailed case study of VOE Panggung Lestari in Panggungharjo Village, Yogyakarta, Indonesia was documented by interviewing local leader and key actors in the process of VOE establishment and development. In depth interview with the key person in the Ministry of Village was done to understand the context and issues regarding the institutional context changes in VOE. This research provides a conceptual framework to demonstrate how institutional context changes of regulations, social, market failure and culture might trigger the Panggungharjo Village to provide local solutions to the waste problem by implementing the social enterprise business model and participative governance. This finding adds a new understanding of how a village might escape from the embedded institutional environment by interpreting and responding to the institutional changes to find innovative and sustainable solutions for their local problem, which in this case was the waste problem. Keywords: village-owned enterprise (VOE), institutional context, participative governance, social enterprise business model

Educational technology sharing platform as social enterprise business model in Indonesia: A case study of Ruang Belajar virtual

The advancement of information technology and the global epidemic of Covid-19 have hastened and fundamentally altered the education sector in Indonesia. The disruption has impacts on the growing demand for knowledge, skills, and attitudes related to the use of educational technology in accordance with global dynamics. Ruang Belajar Virtual (RBV) is a virtual learning environment designed to assist Indonesian educators who wish to upgrade their understanding of cutting-edge technology continually. Additionally, RBV serves as a venue for teacher collaboration and innovation through technology. This study aims to determine the benefits of Ruang Belajar Virtual to teachers and forecast RBV's business prospects as a Social Enterprise business model. This study employed a mixed-method approach, combining qualitative and quantitative techniques. The findings indicate that RBV users agree that this learning platform can help them enhance their knowledge and abilities related to educational technology use. RBV as a Social-Enterprise business model also has bright prospects.

Creating change through social entrepreneurship: the case of girls’ school dropouts in Uganda

Subject area This case focusses on social innovation and social entrepreneurship in Africa, specifically looking at behavioural characteristics of social entrepreneurs, their motivations to create social value and the application of personal initiative theory. The case discusses the self-starting proactiveness and innovation traits of the social entrepreneur. The social business model canvas will be used to analyse the social enterprise’s business model. Study level/applicability Students of social entrepreneurship, development studies, sustainable livelihoods and asset-based development. It is useful for customised or short programmes on social entrepreneurship or for students with a background in business wanting to understand social enterprise as a vehicle for social and economic change. As such, this case is written for Business Management and Entrepreneurship undergraduates or students of elective courses in social entrepreneurship (“understanding” and “remembering” learning activities under Bloom’s taxonomy). When personal initiative theory is used, the case provides an initial understanding of social entrepreneurship in a less developed context for post-graduate students and may be used for higher-order learning activities (“analysing” and “applying”). Case overview The case tells the story of Dr Engr Moses Musaazi, who is a Social Entrepreneur and Managing Director of Technology for Tomorrow (T4T). Troubled with the persistent social problems in his country. Musaazi, through T4T, strived for social innovations to reduce school dropouts of Ugandan girls. While exploring Moses’ journey for solving persistent social problems through social innovations, students will be able to understand, remember, analyse and apply Dees’ (2001) social entrepreneurial behaviours and Santos’ (2012) theory of social entrepreneurship. The case discusses what motivates African social entrepreneurs to start a social venture (Ghalwash, Tolba, & Ismail, 2017). Students will apply personal initiative theory to identify the social entrepreneurial behaviours displayed in the creation of social ventures. To exemplify and analyse the different components of social ventures’ business model, the social business model canvas by Sparviero (2019) will be introduced. Expected learning outcomes The teaching objectives are Objective 1. Students are able to remember, understand, identify and apply the social entrepreneurial behaviours as defined by Dees (2001) and the elements of Santos’ (2012) theory of social entrepreneurship to Dr Moses Musaazi’s case as a social entrepreneur. Objective 2. Students remember, understand and identify what motivates social entrepreneurs in less developed economies to create social value (Ghalwash et al., 2017). Objective 3. Early-stage postgraduate students are able to apply and analyse (also evaluate and create for higher-level post-graduates) personal initiative theory to explain the emergence of social entrepreneurial behaviour and especially how innovation, self-starting and proactiveness may lead to social entrepreneurial venture start-up (Frese, Kring, Soose, & Zempel, 1996). Objective 4. Students use the social business model canvas (Sparviero, 2019) as a tool to understand, analyse and improve a social-enterprise business model. Supplementary materials Supplementary learning materials are provided in the Teaching Note (Table 1). Table1, which includes videos and their description. Also, a link to Uganda’s sustainable development index is provided (the focus is sustainable development goals [SDGs] 3: Good health and well-being, SDG 4: Quality Education, SDG 5: Gender equality, SDG 10: Reduced inequalities). Subject code CSS 3: Entrepreneurship.

Business Models of Social Enterprises: Insight into Key Components and Value Creation

The increasing pressure on people to do something for society, in combination with the need for financial turnover in order to survive, is seen as one of the dominant factors for the rise of social enterprises. However, there is still debate on how social enterprises create social value in addition to economic value and how this is reflected in the business model. In this case study research, we investigate how the key components of the business model of social enterprises contribute to the creation of social and economic value. The cases in this research create social and economic value through the mutually interacting operation of key components and their sub-components. This interacting effect focuses on the one hand on the alignment of the internal architecture, market and financial management with the mission. The mission statement serves as a guiding principle. Furthermore, realizing the highest possible profit is not a goal in itself for social entrepreneurs. Generating profit serves the continuity of the company and the realization of social value. We also found that social enterprises can be configured as either market hybrids, blending hybrids, bridging hybrids or coupling hybrids.

Developing Cash Waqf Model as an Alternative Financing for Social Enterprises to Support Decent Work and Economic Growth in Indonesia

Social enterprises have substantially affected Indonesia’s economic growth and may contribute to the Sustainable Development Goals (SDGs’) achievement. Social enterprises empower minority groups by giving greater accessibility to a facility for a sustainable means of livelihood to the low income and disadvantaged groups, which make up a considerable part of the population, thereby creating an inclusive workforce. However, financial issues still pose a challenge for the sustainability of social enterprises in Indonesia due to the awkward reconciliation of their social missions, a characteristic of their businesses, with the less attractive returns for their investors. Cash waqf is one of the Islamic social finance instruments accepted to invest and manage certain funds to solve different social challenges relevant to the SDGs. Hence, this study aims to achieve the following objectives: (i) to identify the current issues of social enterprises; and (ii) to propose an Integrated Cash Waqf Social Enterprise Business (ICWSE-B) model in achieving the SDG8 in Indonesia. This paper adopts a qualitative research method with primary data obtained mainly from interviews. The findings suggest that financing remains the most significant challenge for most social enterprise businesses. The study also introduced an innovative integrated business model of social enterprise and cash waqf known as the ICWSE-B model to solve many social enterprises’ financial issues. The proposed ICWSE-B model is considered most suitable for social enterprise as it supports decent work and economic growth of the SDGs.

Business models for primary health care delivery in low- and middle-income countries: a scoping study of nine social entrepreneurs

BackgroundSocial enterprises are organizations created to address social problems that use business models to sustain themselves financially. Social enterprises can help increase access to primary health care in low resource settings. Research on social enterprises in health care have focused either on high-income countries, or on secondary and tertiary care in low- and middle-income countries, where common business models include differential pricing to cross-subsidize low income populations. This is the first study to examine social enterprises providing primary health care in low- and middle-income countries using primary data. The purpose is to determine whether social enterprise is a viable model in this setting and to identify common patterns and characteristics that could inform the work of social entrepreneurs, funders, and researchers in this area.MethodsWe identify social entrepreneurs working to deliver primary health care in low- and middle-income countries who have been vetted by international organizations dedicated to supporting social entrepreneurship. Through in-depth interviews, we collect information on medical processes, business processes, social impact, and organizational impact according to the Battacharyya et al. framework. We then conducted qualitative analysis to identify common patterns emerging within these four categories.ResultsCommon characteristics in the business models of primary health care social enterprises include flat rate rather than differential pricing and cross-subsidizing across services rather than patients. Subscription packages and in-house IT systems were utilized to generate revenue and increase reach through telemedicine, franchising, and mobile units. In some cases, alternate revenue streams are employed to help break even. About half of the social enterprises interviewed were for-profit, and about half non-profit. The majority faced challenges in engaging with the public sector. This is still a nascent field, with most organizations being under 10 years old.ConclusionsSocial enterprise has been demonstrated as a feasible model for providing primary health care in low resource settings, with key characteristics differing from the previously commonly studied social enterprises in tertiary care. There are opportunities to complement existing public health systems, but most organizations face challenges in doing so. More research and attention is needed by researchers, governments and funders to support social entrepreneurs and avoid parallel systems.

Social value cocreation: a mode of value cocreation

PurposeThis paper aims to present a value cocreation framework that furthers understanding of social value cocreation.Design/methodology/approachThis paper is an interdisciplinary conceptual analysis drawing on social enterprise studies, marketing research and philosophical value theory. It applies a visible-hand approach to the study of market relationships and, in line with philosophical research strategies, unfolds its analysis using conceptual distinctions.FindingsThis study provides a framework that substantiates the distinction between two modes of value cocreation and identifies the structure of the social enterprise business model. It explains how social enterprises can be conceived as role models for for-profit organizations, and it elucidates why social value cocreation is a demanding objective.Research limitations/implicationsThis paper develops an integrative, nondichotomist view of value cocreation that does not conceptualize social and economic value cocreation as opposing goals.Practical implicationsSocial enterprises can use the business model structure and two modes of value cocreation and view themselves as role models for for-profit organizations.Social implicationsThis paper applies a visible-hand approach to both for-profit organizations and social enterprises. Using its framework, for-profit organizations can reflect on the consequences of their actions on society and how social value cocreation can improve social enterprise effectiveness.Originality/valueTo the best of the author’s knowledge, this paper is the first to bridge service-oriented approaches to marketing and social enterprise studies using philosophical value theory to improve understanding of social value cocreation.

Re-Food: Digital Platform-based Innovation Solutions for National Food Waste Problems

The problem of food waste in Indonesia is an important issue to overcome. Indonesia is the second-largest producer of food waste in the World. This makes national food waste issues get more attention. This paper aims to identify problems in food waste prevention, to formulate prototype of food waste application, to design digital platform-based business models innovation that complies with consumer preferences, and to map the impact generated by the presence of Re-Food. The method used are the customer discovery method with a qualitative descriptive approach and business model innovation methods. The results of this paper are verified social enterprise business model innovation offering an application that can help in utilizing excess food and help in the social problems of hunger and poverty. The potential impact generated by the Re-Food business model is the opportunity to contribute to social problems by utilizing environmental issues and increasing education on environmental issues, especially in food waste issues.

Using the Internet to Improve the Efficiency of the Social Enterprise Business Model

Background. Modern technologies, and the Internet in particular, play an essential role in the effective business model of every company. Due to the fact that social enterprises often take over business models from commercial enterprises, a question arises about their applicability in the use of the Internet in social business. The size of the social enterprise and having a strong leader in the organization should be taken into account. Research. The study identifies the increase of effectiveness of social enterprise business models through appropriate use of the Internet. The analysis attempts to demonstrate the relationship between business models and the social enterprise strategy, emphasizing the important role of the holistic model. The analysis is in­tended to show the importance of the business model in marketing and management. Methodology. The study is based on a literature analysis as well as in the empir­ical part on the results of the author’s research. The most important hypothesis of the study assumes that the direct effectiveness of using the Internet is positively associated with the effectiveness and success in creating social value. Findings. The results of analysis show that the impact of Internet efficiency was high in those social enterprises that used the appropriate business model. The efficiency of using the Internet is positively related to the size of the social enterprise and having a strong leader. JEL Codes: F69, M29.

The Hextol Foundation: Building a sustainable social enterprise business model

This case focuses on how social entrepreneurs use business model thinking to create successful business models for sustainable social enterprise. It explores how the Hextol Foundation, an independent charitable company whose aim is to improve the quality of life of young people who are learning disabled, or who have mental ill health, uses business model thinking as part of a decision-making process to develop a sustainable social enterprise business model. The case provides a detailed account of the unique challenges presented to entrepreneurs who are driven by social purpose rather than solely by the need to generate a profit. The case is also useful in highlighting how business model thinking is used by entrepreneurs to identify, evaluate and pursue a range of strategic options. It advances our understanding of business model thinking and business model innovation in the context of a social enterprise.

SOCIAL ENTERPRISE IN SOCIAL MARKET ECONOMY

The aim of the article is to confirm the thesis that social enterprises have a big impact on maximizing social benefits and reducing disparities and social exclusion in the state with the social market economy, as well as in a country without a social market economy system. To achieve the goal, the assumptions of the social market economy and social enterprises were presented, both in terms of model and practical function-ing in Polish conditions. The authors use the deductive method of selected scientific publications, as well as the comparative method both in the efficiency of legal forms and business models of social enterprises, and the positive feedback phenomenon be-tween the social and micro-social dimension when the social enterprise penetrates complementarily through the order of the social market economy.

The Internet of Things for Lifetime Communities

As the age demography in developed economies changes toward larger numbers of older people, providing care to live healthy and independent lives for longer is becoming an increasing challenge. Technologies based on the Internet of Things are seen as a potential answer to this challenge. However, technologies in themselves are not always the right solution but need to be set in the right context. In this article we report on work we have done in co-designing the Amicitia IoT platform with stakeholders from a community in the rural town of Mitchelstown, County Cork, Ireland. We have done this within the concept of a lifetime community and using a social enterprise business model. The experience of using such an open, community-based, co-design process has shown that the technology development becomes more sustainable and acceptable to the end users and has the potential for more significant social impact.

Short food supply chains as opportunities for Hungarian paragastro social enterprises

In the recent years the alternative food networks gained a significant importance, mainly due to the need of consumers to get closer to the farmers both in terms of physical distance and in number of intermediaries. The concept of building a reliable food system tries to balance the mistrust in the industrialized food production that is dominating in the developed countries. Social enterprises are enterprises pursuing primarily social objectives in business environment. In 2015, in Hungary more than 13.000 social enterprises were registered according to the statistics with many different social missions. However, the number of social enterprises in the catering sector is quite limited. The Hungarian para-gastro movement consists of 7 different organisations, operating in the catering sector and employing handicapped and/or disabled workforce. Against this background, in our paper we would like to investigate the business models of Hungarian social enterprises in the catering sector, somehow connected and related to short food supply chains. To the best of our knowledge, currently only 3 companies fulfil all these criteria: Ízlelő Restaurant from Szekszárd, Hatpöttyös Restaurant from Székesfehérvár and the Batyu-Téka from Miskolc. In order to understand the business models of these three companies, we applied an expert interview based, qualitative approach. We also analysed the publicly available financial statements of them and calculate the most important (financial) ratios. Altogether we tried to analyse the role of direct sourcing, the niche market of local foods and obviously the advantages and the disadvantages of the social entrepreneurship. Results show that currently the social enterprises requires (state) subsidy to survive, the average share of subsidies was 19-49% of the total income among the investigated companies. However, all have their unique way to pursue the survival and the level of commitment to short food supply chains is very different. Altogether we could identify possible synergies where social gastro enterprises can benefit from direct sourcing.

INNOVATIVE ACCESS IN THE DEVELOPMENT OF SOCIAL ENTERPRISES IN THE REPUBLIC OF MACEDONIA

Social Entrepreneurship is an organized activity aimed at seizing the various opportunities, forms, enterprises and measures in order to create sustainable social values and benefits and employment of persons belonging to marginalized groups of persons, whereby profit is primarily used for employment of socially excluded or vulnerable social groups, as well as to create solutions for the needs and problems in the social community. Modern working conditions force companies to adopt innovative approaches to work in order to make the best use of opportunities. In today's working conditions, and enterprises that perform a certain type of social activity, they face the challenge of continuous monitoring of changes in the operations and successful application of innovations as a prerequisite for growth and development.For the development of social enterprises and social entrepreneurship it is necessary to use the opportunities in the environment and to change certain segments in the organizational systems, to introduce and apply new approaches to sustainable solutions that create a higher social value. The social and professional integration of marginalized workers and other vulnerable groups is one of the possible ways to create a higher social value. The social enterprise, as a legal entity that acts in a particular social economy, is usually not oriented only towards the creation of profits, but it is oriented towards the creation of a social impact by implementing innovative methods for providing goods and services on the market. Differences in the direction of social enterprises and other business enterprises cause differences in the application of innovative management.The aim of this paper is to understand the significance and impact of modern-innovative management for the development of social entrepreneurship and social enterprises in the Republic of Macedonia, as well as emphasizing the need for applying an appropriate methodological approach in creating the necessary management decisions. The subject of research in this paper is focused on perceiving the different business models of social enterprises and the impact of innovative management approach in the development of social enterprises in the Republic of Macedonia.

World Bicycle Relief: Social Enterprise Business Model

In this case, students assume the roles of FK Day and Dave Neiswander, leaders of the social enterprise World Bicycle Relief (WBR), which donates and sells bicycles in sub-Saharan Africa. As a social enterprise, WBR combines not-for-profit and for-profit activities. Starting as a traditional not-for-profit organization formed to donate bicycles after the Indian Ocean tsunami in 2004, WBR eventually added a for-profit arm to facilitate growth and reduce its dependence on donations and grants. As a result, by 2017 WBR had distributed around 400,000 bicycles, primarily to schoolgirls, entrepreneurs, and health workers. As the organization grows, its leaders are interested in optimizing operations and entering new countries in Africa. What is the optimal distribution of WBR's resources between its for-profit and not-for-profit operations? How should it define the objective of its operations: should WBR maximize its social impact or the total number of bicycles in the field? Which countries should it enter? To answer those questions, students are required to analyze the social enterprise business model. This analysis starts at the strategic level and ties into the operational level. If desired, this analysis can be followed by an Excel optimization of WBR's operations. The case contains historical data on the organization and poses questions that can be analyzed from the perspectives of a number of academic fields. It can be used in various types of courses including strategy, not-for-profit organizations, operations, and finance. The instructor materials include a prepared Excel model that can be used to make the quantitative analysis accessible to students without quantitative backgrounds, videos from WBR, and a video that shows FK Day and Dave Neiswander answering questions in the inaugural use of the case at Kellogg.

A Study on Constructing the Business Models of Community Development Social Enterprises from the Perspective of Social Design Strategies

With the development of globalization, countries encourage non-profit organizations or general enterprises to use the business model beyond profit, pay attention to social value and solve social or environmental problems synchronously. Social design is to solve social problems, promote innovation in the field of social reform, and solve all kinds of problems derived from social development. However, many social enterprises show enthusiasm for the society but ignore the importance of the management, which will be difficult to reach the goal of sustainable development.This paper serves as a reference for social enterprises to build a sustainable management model from the aspects of social design, systems thinking and value proposition of business model through a case study. The enterprises can not only achieve a sustainable development by relying on government subsidies or the implementation of government plans, but also solve social problems by improving the social environment.