Social Entrepreneurship vs Social Enterprise

One example of social entrepreneurship is a program run by the eyewear company Warby Parker. In this program, for every pair of glasses purchased, a pair is distributed to someone who needs them, according to The mission of this program is to provide glasses to people who can’t afford them. In my opinion, the largest advantage to this venture is that people will be able to get a better education and learn more because they are able to see, read, and learn without as much difficulty. However, one limitation is that glasses are expensive, so there is only a certain amount that Warby Parker can afford to donate. 

One example of a social enterprise is Habitat for Humanity. They build houses in underprivileged areas with reasonable prices so people who need them can get houses. So, they successfully help people in need by providing low-cost housing, but they are still making revenue to reinvest in their company. They do this through the use of volunteer work to build their houses. One advantage of this organization is that they help people get back on their feet and become helpful members of society. However, since the houses are built by volunteers, one limitation is that Habitat must spend a lot of time training their volunteers, and the quality of construction may not be as high as if it were done by a professional. 

From a finance perspective, the social enterprise approach seems more relevant to me. The social enterprise approach is more focused on being a “value-creating business model” as opposed to social entrepreneurship which is more focused on the social mission. So, looking more into the finances of a social enterprise would be very interesting and beneficial to me, or another perspective finance major. 

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