Running head: CASE STUDY NORTHWEST 1

Case Study Northwest

Abanisenioluwa Kolawole Orojo

Webster University
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Case Study Northwest

Question #1

Does the for-profit avenue chosen by Eileen O’Brien make sense for Grassroots Business

Initiatives, Inc.?

Grassroots Business Initiatives Inc has a lot to benefit from the benefit from the for-profit

avenue chosen by Eileen O’Brien. They were able to strengthen GBI financially, as the created

programs around the fiscal development to provide differentiation to their revenue stream.

Though GBI is non-profit money is still needed to keep the company running effectively.

Question #2

When is it OK to forgo economic profit in order to increase social returns? How can

social returns be measured? Can social and environmental benefits be given a monetary value?

In my own opinion I would say it is at point where economic profit is conflicting with

your values. Example is when the John Coolidge trying to find a balance between economic gain

and his family values. At some point he had to forgo economic gain for his family because

family is important to him. So working with Foster gives him more social return than going back

to his old job or even picking a job with Citibank. Social Return is intangible, and it can be

measured by the level satisfaction you derive in combining your social/moral values with your

day to day work.

Like I mentioned earlier monetary value can’t always be placed on social environmental

benefits, there might be cost saving like in the case of John, his family was able to live in a house

that is bigger and better than the one he previously lived in because of the standard of living in

san Francisco is much more higher than that of Oregon. Also the schools are much better too so I

wouldn’t put a monetary tag on that because those are intangible benefits of social/

environmental returns.
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Question #3

What is the upside for Michelle Foster if NCV succeeds? What are the professional risks

she faces?

If NCV succeeds, there is an opportunity to prove that venture capital investments when

placed within well undeserved markets could make a real difference and realize a return. Foster

emphasized that the success of CDVC’s like hers could open the door to a whole new class of

rural investments vehicles targeting communities that would not otherwise have an opportunity.

Question #4

How should Foster position herself and her team prior to raising a follow-on fund?

Michelle Foster was the general accomplice of Northwest Community Ventures (NVC), a

revenue driven value subsidizes with a socially mindful mission. Following its order to put

resources into rustic networks in Oregon with arrangement for pursue on finances starting in

years 3 and 4. Truly encourage should starting to situate her kin as it will make a simpler road for

them to change into when the assets has been raised

References
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