FEATURES OF THE BUSINESS MODEL OF THE SOCIAL ENTERPRISE
Challenging times give rise to new, more effective methods, tools and innovations for business survival. War, economic decline, displacement of people within and outside the borders of the country, increase in the number of victims - all this, including, is an impetus for the search and application of optimized mechanisms that contribute to the preservation of economic stability within acceptable parameters. In connection with the need for quick adaptation to crisis conditions and solving social problems, social entrepreneurship becomes an effective tool for implementing innovative approaches. However, to achieve sustainability and maximize social impact, it is crucial to identify the components of a social enterprise's business model that reflect both the economic and social goals of the enterprise. An important element in constructing a business model for a SE is the assessment of social impact. An analysis of the peculiarities of the SE business model has been carried out, and an authorial concept for building the business model has been proposed. Unlike the classical business model by Osterwalder, this model is supplemented by a 10th block—social impact of the SE. In this block, it is proposed to answer the following questions: What positive impact do we want to achieve? What specific social or environmental problem does the SE address? How do you measure the social impact of your activities? What indicators do you use to evaluate the effectiveness of social initiatives? Does the SE achieve the triple bottom line of "Profit, People, Planet"? A social enterprise differs from traditional business and charitable activities in a number of ways. Although the tools and principles for organizing business processes are the same as in traditional business, the primary goal is not profit generation but the fulfillment of a social mission. A key characteristic of an SE is its focus on addressing a social or environmental issue. As a result, the approach to organizing business processes in an SE has specific features that distinguish it from other forms of economic activity. Each element of the business model canvas has been clarified in terms of the social orientation of the SE's activities.
Authors
- Tetiana Pisetska (ORCID: https://orcid.org/0000-0002-4605-2880)
Institutions
- Weatherford College (US)
Publication Details
- Journal
- Bulletin of the National Technical University Kharkiv Polytechnic Institute (economic sciences)
- Published
- 2024-12-25
- DOI
- https://doi.org/10.20998/2519-4461.2024.6.74
- Primary Topic
- Digitalization and Economic Development in Agriculture
- Type
- article
- Field-Weighted Citation Impact
- 0.00