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Social Entrepreneurship

Social Entrepreneurship. Capitalism Community Caring. Social Entrepreneur. Someone who recognizes a social problem and uses entrepreneurial principles to organize, create, and manage a venture to make social change. Contrasting Business Entrepreneurs and Social Entrepreneurs.

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Social Entrepreneurship

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  1. Social Entrepreneurship Capitalism Community Caring

  2. Social Entrepreneur • Someone who recognizes a social problem and uses entrepreneurial principles to organize, create, and manage a venture to make social change.

  3. Contrasting Business Entrepreneurs and Social Entrepreneurs • Business entrepreneurs typically measure performance in profit and return. • Social entrepreneurs assess their success in terms of the impact they have on society and often work through nonprofits and citizen groups.

  4. Muhammad Yunus • Founder and manager of Grameen Bank • Awarded a Nobel Peace Prize in 2006 • Grameen Bank offers micro-loans in developing countries to allow small enterprises to flourish • Lifts people out of poverty.

  5. Grameen Credit • Based on the premise that the poor have skills which remain unutilized or under-utilized. • Philosophy: It is not the lack of skills which make poor people poor. • Grameen believes that the poverty is not created by the poor, it is created by the institutions and policies which surround them. • Source: www.grameenbank.com

  6. Traditional 5 Cs of Creditworthiness • Character • Capacity • Capital • Collateral • Conditions

  7. Changing the Fundamentals of Loans • Collateral—Properties or assets that are offered to secure a loan or other credit. • Collateral is a form of security to the lender in case the borrower fails to pay back the loan.

  8. A Social Entrepreneur’s View…Focus on Character • Mutual trust • Accountability • Participation • Creativity

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