Einstein once said ‘No problem can be solved from the same level of consciousness that created it’. To solve the most comprehensive problems in the world, it’s necessary to establish businesses not only to earn profit, but with a greater social purpose. Everyone needs to acknowledge that there is more to life than to optimize one’s personal profit at the expense of others living standards. Therefore we must introduce another kind of business, which might be called ‘social businesses’. The purpose of this dissertation is to research whether it is possible for social businesses to be sustainable when they have to create both social and economic value and to ensure that the company in market conditions preserve and develop its competitiveness. To answer this, I will research how social businesses are different from profit maximizing businesses, non-profit organisations and the public sector. How specific requirements to the phrase ‘social business’ are defined, in a way that makes it possible to clearly distinguish the concept from former organizational approaches such as Corporate Social Responsibility. How a ‘social entrepreneur’ substantiates his or her value-based motive and intention. How a social business defines its social outcome and impact. And last, how these different indicators and requirements are presented, in a way that makes it possible to see their requirements in a time where everyone is talking about financial crisis, not enough work spaces and a consuming social sector. From a social constructivist perspective, using a hermeneutic analysis strategy, this thesis explores the phenomenon social businesses as it appears in academic literature and in the media. The thesis complements the quantitative research already done on the subject, with a qualitative study based on interviews with four social businesses. The thesis present three aspects to how social business can be sustainable while creating social and economic value at the same time. First of all, social businesses have an explicit social purpose. This means that the inclusion of the target group is the primary target for these companies, and not, as in the case of larger private firms CSR that more works as an appendix to the other business policies. Second of all, social businesses have often a specific knowledge of the target audience and experience with just their particular needs and abilities. Thus, the social enterprises develop and benefit from the target skills in its production, and incorporate their employee’s special situations and resources into the production and sale, by giving them tasks that are specific to them. They may, for example, offer jobs with low complexity for the audiences who need it. Thirdly social businesses possess by definition a large inclusiveness and a view of humanity for the target group that cannot be found on the ordinary labour market. Social Businesses provide real and meaningful employment for those who don’t fit into our ‘normal’ society.
|Educations||MA in International Business Communication (Intercultural Marketing), (Graduate Programme) Final Thesis|
|Number of pages||100|