SOCIAL ENTREPRENEURSHIP: MEETING TOMORROW'S CHALLENGES

Is it possible to do business while having a positive impact on society? Is it possible to combine growth and goodwill? These two seemingly contradictory objectives can in fact be brought together through social entrepreneurship, an economic project with high added value for society. The challenges of social entrepreneurship are numerous. Let's look at the solutions we can put in place to meet them.

WHAT IS SOCIAL ENTREPRENEURSHIP ?

Above all, social entrepreneurship is a different way of doing business. Whereas traditional entrepreneurship is primarily aimed at maximising profits, social entrepreneurship places positive impact at the heart of its model. It involves using the tools and methods of business to respond to societal, environmental or economic challenges, with an aim that goes beyond the simple pursuit of financial profit.

Social entrepreneurs don't just think about the world's problems: they take concrete action. They may, for example, set up a business that hires people who are far from employment, develop an innovative product to combat food waste, or set up a service to facilitate access to education in remote areas.

This hybrid model, at the crossroads between the profit motive and the social mission, is enjoying considerable growth because it meets a growing demand in society for a fairer, more inclusive and more sustainable future. Many structures, such as social enterprises and cooperatives, are part of this dynamic and are redefining what a "successful enterprise" can be.

A social entrepreneur and a traditional entrepreneur have a lot in common: creativity, a sense of initiative and an unshakeable desire to solve problems. But whereas a traditional entrepreneur is primarily concerned with maximising profits for shareholders, a social entrepreneur puts the mission of impact first. For them, profits are a means to an end, not an end in themselves. For example, a traditional agri-food entrepreneur may aim to produce at lower cost to increase margins, whereas a social entrepreneur will seek to produce locally and fairly, even if this reduces profits.
Social entrepreneurs often favour more participative models of governance. Decisions are not based solely on immediate profitability, but on consideration of the long-term consequences for all stakeholders.
For a traditional entrepreneur, success is measured in figures: sales, profitability, market share. For a social entrepreneur, it is also measured in terms of impact: how many lives have been transformed, how many resources saved, or how many social barriers removed.

Would you like to develop these skills and explore the new horizons of social entrepreneurship? The Master of Science in Corporate Finance programme offered by EDC Paris Business School can help you do just that. By focusing on responsible financial management and the issues of tomorrow, this Master's programme offers the keys to meeting the challenges facing modern businesses, whether social or traditional.

SOCIAL INNOVATION STRATEGIES IN VOGUE

Sustainable economic models

One of the pillars of social innovation is based on economic models capable of ensuring sustainable growth while minimising the impact on the environment and society. These models focus on optimising resources, reducing waste and integrating ethical principles into the value chain.

Among these initiatives, the circular economy is a striking example. It involves designing products and services with reuse or recycling in mind from the outset. Companies such as Patagonia, in the fashion sector, have distinguished themselves by promoting sustainable, repairable and recyclable clothing, demonstrating that it is possible to prosper while protecting the planet.

The mission-driven business model is also gaining in popularity. This concept is based on the inclusion of a social or environmental objective in the company's articles of association, ensuring that strategic decisions take account of the overall impact, over and above financial interests alone. This model is inspiring a new generation of entrepreneurs keen to leave a positive legacy.

These sustainable business models are not just a trend, but a genuine response to the growing expectations of consumers, investors and regulators, all of whom are looking for responsible, committed companies.

Collaborations with NGOs and social enterprises

Another key strategy for social innovation is to build strong partnerships with NGOs and social enterprises. These collaborations make it possible to combine the strengths of the different players to create a large-scale impact.

Companies can, for example, join forces with NGOs to co-develop projects that meet specific needs. This is the case with Danone, which has worked with the NGO Grameen Bank to create Grameen Danone Foods, a social enterprise aimed at producing yoghurts that are accessible to disadvantaged people in Bangladesh, while promoting local employment.

Collaborations with social enterprises enable large organisations to benefit from their expertise in terms of social or environmental impact. These partnerships encourage innovation while reinforcing the credibility of companies on social issues.

What's more, these alliances offer a fantastic opportunity to share knowledge. The NGOs bring their knowledge of the issues on the ground, while the companies share their skills in management, finance or marketing. This cross-sector dialogue generates innovative and often unexpected solutions.

HOW DO YOU DEVELOP A SOCIAL IMPACT PROJECT ?

Launching a social impact project may seem ambitious, but with a clear methodology and a strong vision, it is possible to transform an idea into a concrete and sustainable initiative.

The first step is to understand the challenges you want to tackle. Take the time to analyse your environment, talk to the relevant stakeholders and carry out in-depth research. It is essential to identify a specific need to which your project can provide a relevant response.

Ask yourself questions like: What problem do you want to solve? Why is this need important? Who will be directly or indirectly affected? This phase of reflection ensures that your project responds to a real problem, rather than relying on assumptions.

Once the need has been identified, it's time to formalise your vision. What is the mission of your project? What changes do you want to bring about in society or the environment?

Support this mission with concrete, measurable objectives. For example, if your project aims to reduce food waste, define precise indicators, such as the quantity of food saved each month or the number of beneficiaries reached. These targets will enable you to monitor your progress and stay on course.

A social impact project must be financially viable if it is to survive. Identify your potential sources of income, such as the sale of products or services, subsidies, or partnerships with companies or NGOs.

The business model you choose must reflect your values and respect your mission. For example, if you work in sustainable agriculture, favour ethical practices and short supply chains to remain consistent with your vision. Remember: profitability and social impact are not incompatible, but complementary.

You can't build a social impact project on your own. Assemble a passionate and committed team, and identify strategic partners who can support you. These partners may include NGOs, social enterprises, public institutions or experienced mentors in the field. Collaboration not only enriches your project, it also strengthens its credibility. Partner with people who share your values and bring complementary expertise or resources.

EXAMPLES OF INSPIRING SOCIAL START-UPS

Startup 1: Too Good To Go

Created in 2015, this app has become a global benchmark in the fight against food waste. Too Good To Go enables retailers to sell their unsold goods at a reduced price, while saving consumers money. This win-win model is based on a strong impact: each basket saved helps to reduce waste and raise awareness of responsible management of food resources.

Startup 2 :  Enercoop

Enercoop is a 100% renewable electricity supplier that operates as a cooperative. This unique model, developed by social entrepreneurs, aims to promote local, environmentally-friendly energy production. Enercoop also stands out for its participative governance and its mission to promote the economic inclusion of local producers, proving that a business model can be both sustainable and supportive.

Startup 3 :  Emmaüs Connect

In a society where digital technology is ubiquitous, Emmaus Connect works to give people in precarious situations access to essential digital tools and skills. By offering low-cost equipment, training and help with accessing online services, Emmaüs Connect helps to reduce inequalities while having a real social impact on the beneficiaries.

Startup 4 : Biocoop

Biocoop, a network of organic shops in France, does more than just sell organic produce. The company is committed to short distribution channels, fair trade and zero waste. It also encourages its customers to adopt responsible behaviour, proving that a business can prosper while respecting strong social and environmental values.

Startup 5 :  simplon

Simplon.co is a social school that provides free training in the digital sector for people who have missed out on a job. The start-up focuses on people who are under-represented in the sector (people undergoing retraining, young people without qualifications, refugees), enabling them to take up high value-added jobs. Thanks to Simplon.co, thousands of people have found their way back into employment, while helping to meet the growing demand for digital talent.

Faced with the challenges of tomorrow - be they environmental, social or economic - social entrepreneurs are redefining the rules of the game by putting innovation and people at the heart of their actions. Inspiring and visionary, their initiatives show that it is possible to build a fairer, more sustainable future, while at the same time developing viable business models.