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Understanding Social Enterprise and Example

Lately we often hear the term "social enterprise" which is widely discussed by many people and is becoming a new trend in the world. The word entrepreneur will be replaced by the Social Enterprise, so why?

We used to know entrepreneurship as a very cool job that can support itself from what has been developed. Generally, the business will become a well-known brand that is known to many people to benefit their own owners.

Definition of Social Enterprise
Social enterprise is a business idea that combines the basic concept of trading, which is looking for profit with the concept of our obligation to help the social environment. A company will maximize its income in line with the benefits provided to the community.

So in principle, the results of the profits are utilized as much as possible to fund the planned social program. Not just entering into the account of the owner. That way the existence of a business or company will be more felt for others.

History of Social Enterprise
First developed in the UK in the 1970s, this business standard has a response back to the Traditional Commercial Enterprise that only benefits the owners of a company's capital. Its position is neutral, it is not pro to a corporation and also is not biased towards social activities just like a non-profit organization.

They sought a balance between him to finance social goals such as providing low-income family residences and holding job training to make it easier to find work.

The funds can come from various types of products sold such as goods, services and grants from other parties. Because it is increasingly loved and widely known by foreign people, its popularity has increased to this day.

The difference with CSR and Foundation
This question is probably the most buried in your brain, right? But just calm down there are some things that distinguish between a social company with corporate social responsibility and foundation.

We certainly have known CSR programs carried out by large corporations as a reciprocal act of permits and business processes granted to a community. Weve just had an impact on society but what makes it different is the motive.

In an ordinary company the social agenda is not the main motive in establishing a business, on the contrary in the social enterprise the social agenda is what drives a business.

Examples such as the world famous cosmetics brand The Body Shop held CSR in the field of girl empowerment at a certain time then the following year the topic was taken again. Another case with a social company that wants to do a women's empowerment campaign as long as its business is established.

To implement these programs, they need to sell cosmetic products first as capital to run the program directly or they can also donate to certain institutions first. Sustainability is the key that show the difference of these term.

Meanwhile, if the foundation is separate from the company. For example Mark Zuckerberg as the founder of Facebook founded the Chan Zuckerberg Initiative on behalf of his family without any interference from Facebook.
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