1) widget sales -> money -> charity (if the ultimate goal is to give away the money to charity and not shareholders, then I would consider it a social enterprise whether the widgets are candies or shelters. The product itself is not what makes you a social enterprise.

2) Google’s mission is not to “make the world a better place” last I checked? Google’s mission is to: “organize the world’s information and make it universally accessible and useful”. BUT- they’re a great example of an enterprise doing amazing work in social development:

Google.org – Part of Google’s initial vision was to “contribute significant resources, including 1% of Google’s equity and profits in some form, as well as employee time, to address some of the world’s most urgent problems”

As you know, just 1% of Google’s equity/profits is huge. That 1% could potentially accomplish much more than a social enterprise or a non-profit could. But again, this is the distinction between an enterprise (with an amazing social conscience!) vs. a true social enterprise.

Since this is an emerging field, there are a few definitions floating around, but the core ideas are the same. My article idea is to look at this at a more micro/personal level, which is something people may be able to relate to better.

If the article idea you got is to write a definition of Social Entrepreneurship, kudos in advance!

Another one on the topic that has been recommended is Creating a World Without Poverty by Muhammad Yunus who created the concept of microcredit and founded the Grameen Bank.

See you soon gentlemen.

I would say that the key difference in a social enterprise is where the priorities / core values lie. In a typical business (and rightfully so) the objective is to increase shareholder value. In a social enterprise, the objective is to be sustainable (which usually means making a profit!) in order to achieve your social objectives.

Thus, ‘doing good’ is more of a core objective rather than a byproduct. You mentioned customers, labour, land, etc. – which is a byproduct of any enterprise profit/non-profit/social.

Example: If I produce widgets for $5 and people are willing to pay $25 for them. That’s good business. However, would I be willing to sell (or see it as donating part of your profits) the same widget for $10 (and lose $10 of profit) to less fortunate people?

Or, like the Tom’s Shoes model, for each widget I sell, I give one away and still make $15 profit. It all depends what your objectives are.

If my priority is to increase shareholder value, I certainly shouldn’t sacrifice my profits. However, if my objective is to make sure the product is getting into as many hands as possible while being sustainable that’s more like a social enterprise.

This comment is already long as it is, but you’ve given me an idea for another post! Stay tuned!