Social Business Model as an Alternative Social Entrepreneurship Model

Social entrepreneurship has become an interesting topic in conversation among academics and practitioners in the last few decades. In general, this term is understood as an activity to recognize social problems and make the principles of entrepreneurship to organize, create and make an effort (which is risky) to achieve changes in society that is expected. So the aim is for social, cultural and environmental interests, and usually has links to volunteerism and the non-profit sector. Mair and Marti (2006) describe the meaning of social entrepreneurship by, first: a process of creating value by combining resources in new ways. Second: this pool of resources is primarily intended to explore and exploit opportunities to create social value by encouraging social change or meeting community needs. Third, seen as a process, social entrepreneurship offers services and products, but can also lead to the development of new organizations (Mair and Marti, 2006). Social entrepreneurship is relatively new, but its practice in history has occurred since hundreds of years ago, namely when the founding of several social foundations / institutions include: the cooperative movement (the cooperative movement) by Robert Owen; the first modern nursing school by Florence Nightingale (UK); early childhood education institutions by Maria Montessory (Italy); the National Park System's protection and conservation agency (John Muir (USA): Cultivating the use of ancient Egyptian pottery for the storage of fresh food during "hot" weather by Mohammed Bah Abba (Nigeria); Al-Manarah Organization, to stop discrimination against people with disabilities in their country by Abbass Abbass in 2005 (Israel); Helping young Americans in preparing skills after graduating from high school through on job training by Rafael Alvarez. (social_entrepreneur. 2014. Social business is defined as a business whose purpose is to solve social problems in a financially sustainable way. Social businesses function in most ways like for-profit businesses, yet since the social impact is the primary purpose of this business, all profits have to be reinvested into the business (no dividends are paid out to the owners) or are used to start a new social business to increase the impact of the organization. This study conducted to inform the discussion among the social business model as an alternative social entrepreneurship model though on how to improve the quality of socio- economic and macro-level social enterprise and how to enhance its impact on policy dialogue, program design, and implementation. This research also intends to contribute to the harmonization of approaches to socio-economic and social entrepreneurship analysis by social business. The study examined these approaches various economic models to analyze socio-economic and social entrepreneurship processes. Specifically, the study analyzed the social business experience with social entrepreneurship analysis and compares this approach to other economic experiences in conducting microcredit analysis. It provides an overview of these different experiences, summarizes the key lessons learned from the social business, and outlines the major conceptual antecedents of the social entrepreneurship approaches.