M: Business 3rd Edition by O. C. Ferrell, Geoffrey Hirt, Linda Ferrell

Exercise 5

Entrepreneurs do not just operate in business. The entrepreneurial spirit can also be found in the social sector. A social entrepreneur is someone who is driven to create social change by identifying and implementing solutions to social problems. An emphasis is being placed on the social entrepreneur as a necessary component for future economic growth. One of the most famous social entrepreneurs is Muhammad Yunus, founder of microfinance bank Grameen. Another example is Mimi Silbert, founder of the Delancey Street Foundation. Silbert provides residency and life-work skills education to former felons, substance abusers, the homeless, and more.

Although social entrepreneurship has long been privately funded, both the American and British governments are recognizing its importance. The Obama administration has formed the Social Innovation Fund (SIF), with $50 million in public money matched by philanthropic donations, to be distributed among nonprofits. The SIF seeks to unite social entrepreneurs, private capital, the government, and the public to create solutions for positive social change. The administration also founded the Office of Social Innovation and Civic Participation (OSICP). In Britain, the government has launched the Big Society Bank, which is similar to the SIF. Both governments aim to unite the private and public sectors to encourage social innovation, which they see as both doing good and providing jobs to those in need. To motivate innovation, the OSICP is hoping to offer monetary rewards to social innovators.

Despite noble missions, those running SIF and the Big Society Bank are likely to be met with resistance, primarily political. For this reason, social entrepreneurs may need to develop new skills enabling them to break through bureaucracy. It is hopeful that uniting the public and private funding sectors will empower more social entrepreneurs to bring their ideas to life.

What social areas do you feel social entrepreneurs should invest in?

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Social entrepreneurship is growing and it has lot of potential, but to some extent, it is limiting itself, affecting what it could achieve. There are number of social areas that the social entrepreneurs should invest in. social entrepreneurs must endeavor with an aim to improve the world and solve complexities. Social entrepreneurs must exercise their creative ideas to change the lives and better the environment.