Personal Goals And Abilities Of A Social Enterprise

1361 WordsMay 10, 20156 Pages
According to (Young, 2008) “A social enterprise is thought to be something new and something distinct from classical business and traditional non-profit activity, combining at different extents elements of the social purpose, the market orientation and financial performance standards of business”. When looking at starting up a social enterprise there are important points that need to be looked at the help ensure the enterprise is successful. Firstly before the start up of a social or technological enterprise there are issues that have to be assessed, these are personal goals and abilities, resource availability and opportunity (Schaper, Volery, Weber & Gibson, 2014). The personal goals and abilities of a social enterprise are to address social and environmental problems, mostly looking at the root of a market, also aiming for the majority of profits to be reinvested back into the enterprise this will increase social purpose. A standard enterprise is usually more concerned in earning profits for the shareholders and owners (Social Enterprise UK, 2012). Resource availability is another issue that has to be assessed before starting a social enterprise, more specifically entry costs and exit costs. In New Zealand the social finance sector is significantly under developed and as a result of this it makes social enterprise start up very difficult, therefore initial financing has to come from New Zealanders own personal pockets until some sort of funding is found (Schaper,
Open Document