Theory of Social Entrepreneurship

Social entrepreneurship theory

The theory of social entrepreneurship emerged as an independent field of research at the end of the 20th century, at the intersection of the non-profit sector and market logic.
The focus of the trend is that economic activity is not exclusively profit-oriented, but can also be aimed at creating social value.
Social enterprises are therefore organizations that respond to community or social problems with business tools and use their revenues to achieve their social goals.

At a theoretical level, the model is based on the concept of “dual value creation”: social enterprises aim to be both economically viable and socially useful.
According to research, the essence of social entrepreneurship is not just the business model, but the ethical and community sense of mission, which is the driving force of innovation.

The concept is particularly strong in the interpretation of community initiatives where the key to sustainability is the integration of economic independence and social responsibility.
It is no coincidence that social enterprises have become one of the fundamental pillars of the “social impact economy” in the innovation policies of the EU and the OECD.