Third sector-Social Enterprise

Social Enterprise in Business Studies

Definition

A social enterprise is an organization that combines a clear mission to benefit the community with a business-like approach to its operations. It reinvests all profits back into the organization to further its social goals.

Key Characteristics

• Mission-Driven: Social enterprises have a primary mission to make a positive social or community impact.
• Profit Reinvestment: Unlike traditional businesses, social enterprises channel all their profits back into the organization to achieve their social objectives.
• Business-like Operations: Social enterprises often employ business strategies, such as generating revenue through sales or services, to sustain their activities.

Examples of Social Enterprises

• Street Soccer Scotland: Street Soccer Scotland is a non-profit social enterprise that provides various football-related services to socially disadvantaged adults and young people across Scotland.
• Social Bite: Social Bite is a chain of retail stores and catering concessions in Scotland that not only offers products and services but also employs a significant portion of its workforce from a homeless background.

Aims and Objectives in Business Studies

In the context of business studies, social enterprises represent a unique blend of social responsibility and business acumen.

Social enterprises aim to:

• Address social issues or community needs through their activities.
• Generate revenue and operate sustainably, similar to for-profit businesses.
• Showcase the potential for businesses to have a positive impact on society while maintaining financial viability.

---

Third sector-Social Enterprise

Studying social enterprises in business studies allows students to explore innovative models of business that prioritize social good alongside financial sustainability. It highlights the concept of profit with a purpose and the potential for businesses to drive positive change in their communities.