Social entrepreneurship requires the same skills and risks as regular entrepreneurship: bravery, innovative thought, and fortitude. Where the two differ is the mission behind the effort. While both can have aspects of altruism and result in personal gain, social entrepreneurship stems from a desire to uplift a marginalized community disadvantaged by a lack of resources or political power. Social entrepreneurship works to mitigate systemic issues which oppress certain communities, which is a clear pathway toward civic engagement as it improves the quality of life for that marginalized community and/or the community at large whereas corporate social responsibility treats the goal of uplifting a marginalized community as more of an afterthought. Because of this, social entrepreneurship tends to have more success where corporate social responsibility can become performative at times rather than results driven. While I believe social entrepreneurship has an overall net positive affect on society, I think it's essential that we educate ourselves on the differences between these approaches so we are putting our money, time, and attention into the best places. Similar to one of the previous modules which covered philanthropy, sometimes what is presented as a social good can actually be deceiving. We need to approach everything with a critical lens and dive deeper than just surface level in order to ensure we are actually working towards achieving these goals for social well being, not just supporting businesses or philanthropic pursuits that feign altruism but are actually more self-serving.
We can see how social entrepreunship really does uplift disadvantaged communities through the example of Muhammad Yunus who founded the Grameen Bank, originated microcredit which is now used worldwide, and won a Nobel Peace Prize in 2006 for his work (pictured to the left). He identified the endemic poverty of Bangledeshi's and, with the goal of alleviating it, "[proved] that the poor were extremely good credit risks by lending the now famous sum of $27 from his own pocket to 42 women from the village of Jobra," which allowed them to invest in their own methods of achieving independence like buying a sowing machine and selling products created using it. Through, "inspiration, creativity, direct action, courage, and fortitude to his venture, proved its viability, and over two decades spawned a global network of other organizations that replicated or adapted his model to other countries and cultures, firmly establishing microcredit as a worldwide industry." (Martin, R. L., & Osberg, S. (2007). Social Entrepreneurship: The Case for Definition. Stanford Social Innovation Review, 5(2), 29–39. https://doi.org/10.48558/TSAV-FG11)
The Bike Collective is "a group of nonprofit bike shops that refurbish donated bicycles and put them into the hands of those in need— focusing on children, newly resettled refugees and immigrants, individuals experiencing homelessness or housing insecurity, individuals recovering from substance abuse, and low-to-moderate income households." I first found out about the Bike Collective while working at the Women's Homeless Shelter. We regularly connect the clients staying there to the Bike Collective to help them get safe and affordable transportation resources, which makes a huge difference in their lives. The Bike Collective also offers education, the ability to buy and sell parts, and opportunities to volunteer and serve your community. This organization is an excellent example of Social Entrepreneurship and Corporate Social Responsibility because they were founded with the intent of addressing a social need. The Collective's funding model involves both earned revenue and charitable fundraising, which they use to sustain their operations and give back generously. In 2024 they gave away over 1,200 free bikes, some of which went to some of the women staying at the shelter where I work. With multiple locations across the Wasatch Front, the Bike Collective's entrepreneurial efforts are reaching a wide array of those in need and as they continue to expand, so does their positive impact.