Social Entrepreneurship

&
Women
Entrepreneurship
 K J Somaiya Institute of Management, India
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Videos ▪ Embrace - https://www.youtube.com/watch?

v=Fkb7PvgJTLs

▪ Wello - https://www.youtube.com/watch?v=ABJ41yVClvs

Problem

Solution
 K J Somaiya Institute of Management, India
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Videos
Problem :

2.Solution
1
3
K J Somaiya Institute of Management, India

Definition: Social
Entrepreneurship
Dees (1998, revised 2001:

▪ “Social entrepreneurs play the role of change agents in the social sector, by: ▪ –

Adopting a mission to create and sustain social value (not just private value), ▪ –

Recognizing and relentlessly pursuing new opportunities to serve that mission, ▪ –

Engaging in a process of continuous innovation, adaptation, and learning, ▪ – Acting

boldly without being limited by resources currently in hand, and ▪ – Exhibiting a

heightened sense of accountability to the constituencies served and for the outcomes
created” (2001:4)
 Mort et al. (2003: 76)
Social Entrepreneurship is “a multidimensional construct involving the expression of
entrepreneurially virtuous behaviour to achieve the social mission, a coherent unity of
purpose and action in the face of moral complexity, the ability to recognise social value
creating opportunities and key decision-making characteristics of innovativeness,
proactiveness and risk-taking”.

K J Somaiya Institute of Management, India 4

Definitions & 3 Dimensions

Mair and Marti (2004:3)

▪ Social Entrepreneurship as “a process consisting of the innovative use and combination of resources to
explore and exploit opportunities, that aims at catalyzing social change by catering to basic human
needs in a sustainable manner”

Austin et al. (2006b: 2)

 ▪ Social Entrepreneurship as an “innovative, social value creating activity that can occur within or across
the nonprofit, business, or government sectors”. Finally,

Zahra et al. (2009: 5)

▪ Social Entrepreneurship encompasses “activities and processes undertaken to discover, define, and
exploit opportunities in order to enhance social wealth by creating new ventures or managing existing
organizations in an innovative manner”.

Dimensions
▪Sociality

▪Innovation

▪Market Orientation

K J Somaiya Institute of Management, India 5

Sociality: social and environmental focus of social entrepreneurship Six fields
or domains are natural settings for social entrepreneurship initiatives: ▪ (1) welfare and
health services (such as the Aravind eye hospitals in India); ▪ (2) education and training
(such as the Committee to Democratize Information Technology in Brazil);
▪ (3) economic development (such as work integration social enterprises, or WISEs, in
Europe);
▪ (4) disaster relief and international aid (such as Keystone’s innovative “Farmer Voice”
project);
▪ (5) social justice and political change (including race and gender empowerment, such
as SEWA, the Self-Employed Women’s Association in Pakistan);
▪ (6) and environmental planning and management (such as the Marine Stewardship
 Council).

▪ Focused on social and/or environmental impact rather than on the financial return

K J Somaiya Institute of Management, India 6

Innovation

▪ Schumpeter’s idea of “creative destruction”

processes that change systems and realign markets around new
economic equilibriums can also be found in social entrepreneurship
initiatives, either through incremental changes at the micro-level or
through disruptive interventions at the systems level
 ▪ socially innovative solutions have been pioneered by social entrepreneurs
in terms of employment practices (WISEs employing low-skilled workers),

▪ supply chain management (a good example is Fair Trade),

▪ energy usage and recycling (such as citizen-based renewable energy

cooperatives),

▪ access to credit and financial services (different types of microfinance).

K J Somaiya Institute of Management, India 7

Market Orientation ▪ Social Enterprises, unlike
traditional NGOs and nonprofits, have continuous production of goods
and/or services and take economic risks

▪ Bankruptcy is always a possible outcome.

▪ A minimum amount of paid work, i.e., a workforce not only composed

of volunteers, is also suggested as an element differentiating social
enterprise.

▪ A clear focus on continual performance improvement and metrics,

increased accountability, and a relentless focus on achieving their
mission that permeates the entire organizational culture (Nicholls and
 Cho (2006)

K J Somaiya Institute of Management, India 8

Typologies of Social Entrepreneurship Fowler

(2000)
3 types of social entrepreneurship:
▪ integrated (when economic activity in itself produces social outcomes) ▪
re-interpreted (when an existing not-for-profit increases its earned income)
▪ complementary (where commercial revenues cross-subsidize the social
mission of a related not-for-profit).
Alter (2006)
 ▪ embedded (when social programs are inherent in the business activities, as
in Fair Trade)
▪ integrated (when social programs overlap with business activities, for
instance at the Scojo Foundation in India);
▪ external (when business activities are an external source of funding for
social programs, typically in health or education not-for-profits)
K J Somaiya Institute of Management, India 9

Story

▪ https://www.organicmandya.com/company/the-organic-mandya-
story▪ https://www.organicmandya.com/company/the-organic-mandya-

story
 K J Somaiya Institute of Management, India
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SDG goals

11
Social entrepreneurship
Triple bottom line Circular
economy BOP BPL

K J Somaiya Institute of Management, India

Difference Social entrepreneurship & entrepreneurship
No. Parameters Social Entrepreneurship Entrepreneurship
1. Mission Social - To promote a social cause. For profit
2. Co-founders – Teams Yes Yes
3. Co-founder - Solo Yes Yes
4. Industry Affordable & accessible -Healthcare , water , sanitation Any Area
Financial inclusion , Microfinance

Agriculture, sustainable agriculture

Education

Affordable housing

Children
 Women

LGBTQ

Physically challenged –Dialogue in the dark

Marginalized communities

Rural, Livelihood generation

Sometimes environment too – Renewable energy

Conservatiom

K J Somaiya Institute of Management, India 12

No. Field Social Entrepreneurship Entrepreneurship

5. Passionate about cause Yes Yes
6. Incubators Yes few University & private – JITO JIIF
 TISS IIM A - CIIE
IIM Kolkata IIM B-NSRCEL
Unlimited IIT- Bombay SINE
Vilagro IIT Delhi
IIT Madras RIIDL Somaiya
7. Accelerators Unlimited, Tata DISQ – Lowes, SOSV Accelerators
Nashik, Tata Center – IIT
Bombay
Microsoft, 500 start ups
Y combinator, Techstars Bangalore accelerator
Amazon
CISCO

K J Somaiya Institute of Management, India

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 Parameters Social Entrepreneurship Enterpreneurs
Scalability Not many scale & grow – Outlier - Yes
Example Dialogue in the dark - Franchise
Harvest Not many exit also not many will IPO either Many exit and are acquired by
other organizations

Price - Product/Service Below cost many times Relatively low Market driven price
Consumers willingness in comparison
to pay Low average revenue per user - LARPU

Employees Join to serve a cause May not get paid as Market salaries
much relatively

Product/Service Limited Available in comparison

Distribution
Pricing Pay per user
 Hybrid : fixed price + resource usage

K J Somaiya Institute of Management, India

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No.
8.

9.

10.

11.

12.
13.

Sr. No. Parameters Social Entrepreneurship Entrepreneurship

16. Funding Bootstrap Bootstrap
Crowd funding Crowd funding
Venture philanthropist Angel investors
Impact investors Venture capitalist
CSR funds Corporate venture capitalist
Foundation funds Family offices
Grants AICTE
Government funds DST – Nidhi Prayas, Nidi
Seed support
 Donors

K J Somaiya Institute of Management, India

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Sr. No. Field Social Enterprises Enterprises

14. Legal Entity Co-operative For profit
Group

SHG/Bachatgat

Profit

Not for Profit

S-25/S-8 (New)

Trust deed

Society
 Food producers organization ( FPO)

K J Somaiya Institute of Management, India

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Stakeholders 17

Education
institutions
Other strategic
partners

Board members

Sponsors
Employers

Volunteers

Investors

Customers
Suppliers

Manufacturers Community
leaders

K J Somaiya Institute of Management, India

Positive impact
Khosla Impact fund
Impact investors Lok capital
Sankalp
Oiko Credit
Aavishkaar Unitus Capital
Acumen fund Impact investors Council India
Ajooni
Ankur Capital
Ashoka
Aspada earlier SONG advisors Caspian
Dasra Global Impact Investing Network
Elevar Equity (GIIN )
Grassroot investment fund Gray Matters
Capital
Slow capital
Brookings report, the impact investing between 2010 and 2016, with over $1.1
sector in India attracted over $5.2 billion billion invested in 2016 alone

K J Somaiya Institute of Management, India 18

Ankur Capital Early stage investors

Support strategically and operationally through their portfolio advisors & venture advisors in recruiting talent,
and assist in business development

Are facilitators, enablers, problem solvers, mediators and cheerleaders

 Provide Flexible capital

Look for innovative business models

Focused on food, healthcare, financial, logistics, retail & education

Deploy between $500 K to 5 million – INR 37 lakhs – 3.75 lakhs

Help raise he next round of funding

Help network with manufacturing, energy efficiency advisors, accountants, HR consultants, lawyers, rural
marketers & publishers among others.

K J Somaiya Institute of Management, India 19

 inputs and information.
Portfolio Company Average
Single
Investment
size – Seed
round
Vegrow $2.5M in
A tech platform partnering with farmers, June 2021
aggregating supply and selling to
organized demand through partnership.

Krishify $1.70 M in 2021

A social network for farmers to discuss and
solve their agri input needs.
BigHaat $323 K in 2016
An agriculture e-commerce startup that
provides farmers with access to quality agri -
 K J Somaiya Institute of Management, India 20
Consultants
▪ Deshpande Foundation ▪ Azim Premji Foundation

Foundations ▪ Bill & Melinda Gates ▪ Marico Foundation ▪

Edelgive foundation

▪ Dalberg
▪ Technoserve

▪All different

CSR

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Social

entrepreneurship
Social marketing

K J Somaiya Institute of Management, India 22

Startups: Social Entrepreneurship

K J Somaiya Institute of Management, India 23
Social enterprises

▪ https://www.who.int/workforcealliance/members_partners/member_list/vaatsalya/en/

▪ https://www.zhl.org.in/about-us/

▪ https://saraldesigns.in/

▪ https://www.oscar-foundation.org/

▪ https://www.childlineindia.org/

▪ https://www.ashoka.org/en-in/fellow/b-s-nagesh
K J Somaiya Institute of Management, India 24

Role of gender in entrepreneurship

Women Entrepreneurship
 K J Somaiya Institute of Management, India
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Startup talk with Karan Bajaj, founder & CEO,
WhiteHat Jr.

▪ https://www.youtube.com/watch?v=xRM4SU8rHMM ▪

Women Teachers Only

K J Somaiya Institute of Management, India 26

WOMEN ENTREPRENEURSHIP
▪ In 2016, an estimated 163 million women were starting or running
new businesses in 74 economies around the world.

▪ Two regions: Asia (Indonesia, the Philippines and Vietnam) and

Latin America (Mexico and Brazil) have women participate at equal
or higher levels than men

▪ The gender gap is greatest in Jordan

▪ Women entrepreneurs are more likely to contribute to their

 children’s education, health and nutrition compared to male
entrepreneurs

K J Somaiya Institute of Management, India

WOMEN ENTREPRENEURSHIP Entrepreneurial

Intentions

▪ Entrepreneurial intentions increased among women by 16% from 2014 to 2016. however, more
women than men may drop off in the transition between phases

▪ when economic development increases, established business activity among women declines
and the gender gap increases.

Entrepreneur Characteristics
Age: 25-34 and 35-44 years old
Education: college degree, North America shows the highest education rates among women
entrepreneurs, with 84% having earned a postsecondary education or more. Europe has on
average 22% more highly educated women than men entrepreneurs.

▪ Impact: Europe, North America, Netherlands: 10% of women entrepreneurs operated

businesses alone with no intention to add employees in the next five years. Over half of
women entrepreneurs in the UAE, Qatar and Tunisia expect to hire six or more employees in
the next five years; women in Saudi Arabia and Morocco are more likely than men to have
these ambitions.

Growth Expectations: There is a wide gender gap with growth expectations among females
K J Somaiya Institute of Management, India

WOMEN ENTREPRENEURSHIP Industry

Wholesale/retail trade
women entrepreneurs are just 16% more likely to be starting wholesale/retail businesses.
 • Innovation-driven group are in government, health, education and social services.

Women dominate this business category relative to men at all development levels. they are
more than twice as likely as men to be starting in this sector.

• Women entrepreneurs are less likely to be seen in the Information and Communications
Technology (ICT) sector. Overall, fewer than 2% are starting business here, little more than
one-fourth the proportion

K J Somaiya Institute of Management, India

Lack of necessity motivation (compared to opportunity) for
WOMEN ENTREPRENEURSHIP
women entrepreneurs, lower growth expectations

Problems higher rates of discontinuance than men.

These challenges imply that support for new and established businesses, including coaching, access to capital,
education and training, and other resources, would be important to help sustain them over time.

The World Employment and Social Outlook: Trends 2015 report (sponsored by the International Labor Organization)
notes gender gaps persist in the labor market

women still suffer from greater unemployment and lower earnings

Paradoxes

There are several paradoxes in the findings that are more difficult to explain. For instance, as the level of economic
development increases, the rate of entrepreneurial participation by women decreases.

Similarly, women’s perceptions of their capabilities of starting a business are inversely related to level of
development: lower in innovation economies and higher in less developed economies
 general education is less relevant for building entrepreneurial competencies or for developing confidence in
entrepreneurial activities. Rather, entrepreneurship-specific skills may be more relevant for inspiring confidence
among women K J Somaiya Institute of Management, India

WOMEN’S ECONOMIC EMPOWERMENT IN LEBANON

Cherie Blair Foundation for Women
The contribution of women entrepreneurs is known to be an important driver
for economic growth and stability, yet women in Lebanon face a range of
cultural and structural constraints, which restrict their capacity to establish
and grow successful businesses.
1. Intensive business training
2. Tailored business coaching
3. Business incubation (including connection to financial services)

Of the 210 women who joined the project and received initial training, 50
 received tailored support. Of these 50 women, 26 went on to receive a final
phase of support to help incubate their businesses and register their
trademarks – an important first step towards formalization
K J Somaiya Institute of Management, India

WOMEN’S ECONOMIC EMPOWERMENT

 KJ

Somaiya Institute of Management, India

The S Factory
▪ Start-Up Chile is a public accelerator launched in 2010 by the Chilean Ministry
of Economy and the Production Development Corporation (CORFO)

▪ Start-Up Chile has been widely recognized as one of the top accelerator
programs in the world

▪ The idea for The S Factory came about because of the lack of representation of
women in Start-Up Chile

▪ To build confidence and provide a supportive environment for female founders

who are still at the idea stage, or have an early stage minimum viable product

▪ Equity free grant of $10.000.000 Chilean pesos (around $15,000 USD)

 K J Somaiya Institute of Management, India
The S Factory

▪ The S Factory participants have access to the

Start-Up Academy programming including weekly discussions
and workshops.

▪ At the end of The S Factory program, participants pitch their ventures to

staff and external judges

▪ the top performing women are invited back to pitch to other founders,
media and other participants in the entrepreneurial ecosystem.

▪ As finalists, they receive national and international media attention, prizes

and the possibility of extending their term and an additional $5.000.000
Chilean Pesos ( $7,500 USD) of free equity funding.

▪ The S Factory requirement: giving back, thus participants are required to

 also engage in social impact projects which address underrepresented
communities in technology and entrepreneurship

▪ The S Factory female founders also have access to important Start-Up Chile
networks including the Mentors Network, Investors Club, local and
international corporate partners, and an alumni network of more than 4,000
entrepreneurs.

K J Somaiya Institute of Management, India

THE EFFECT OF WOMEN’S POLITICAL EMPOWERMENT AND ROLE OF

LAW ON WOMEN’S ENTREPRENEURSHIP RATES
 ▪ Goltz et al. (2015) drew on GEM and World Bank data for 53 countries: The
results showed that women’s nascent activity was positively associated with
political empowerment and rule of law. The authors explain that women in
political positions ranging from local to national levels can remove cultural
and institutional barriers to entrepreneurship, and can advance policies that
promote women’s participation and achievement in the economy

K J Somaiya Institute of Management, India

India
 )KJ

Somaiya Institute of Management, India

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The term “women entrepreneur” deals with that section ofthe female
Women Entrepreneur population who venture out into industrial activities
i.e. manufacturing, assembling, job works, repairs/servicing and other giving at least 51% of the employment
businesses.
generated in the enterprise to women.”

1. According to GOI, “An enterprise owned and 2. Only about 14 percent of Indian women own
controlled by a woman having a minimum or run businesses, according to the Sixth
financial interest of 51% of the capital and Economic Census, conducted in 2014

K J Somaiya Institute of Management, India 37

Nykaa
K J Somaiya Institute of Management, India 38

Zivame
K J Somaiya Institute of Management, India 39

Mobiwik
K J Somaiya Institute of Management, India 40

Women angel investors in India

▪ Lathika Pai, Founding Member, SonderConnect

▪ Women-led business across sectors like education, healthcare, fintech,

environment etc.

▪ Many investors and entrepreneurs sat up and took notice when Lathika Pai,
along with seven other serial women entrepreneurs, started SonderConnect
- an angel fund focused on supporting women-led business.

▪ SonderConnect is the Indian edition of Golden Seeds, a US based angel

network deemed to be one of the largest in the country
K J Somaiya Institute of Management, India 41

Women VC in India

Vani Kola, Kalaari Capital

Vani Kola is referred to as The Mother of Venture Capitalism
in
India. As Managing Director at Kalaari Capital, over the
years,
she has built a reputation for picking the best young minds and
mentoring them to build successful enterprises, some prime
examples being Myntra, Urban Ladder, Zivame, Power2SME,
YourStory, and Bluestone, among others.

Varsha Tagare, Qualcomm Ventures India

Varsha Tagare is a Director at Mumbai-based Qualcomm Ventures
India, which focuses on technology, media, communication, mobile,
and other related sectors. At Qualcomm, she currently manages
investments in Capillary Technologies, Housejoy, MapMyIndia,
MindTickle, Portea, PropTiger, and YourStory among others

K J Somaiya Institute of Management, India

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Profession funding in India

K J Somaiya Institute of Management, India 43
 References
1. https://www.nykaa.com/ https://www.businesswire.com/news/home/20180918005574/en/Indian-Color
Cosmetics- Market-Outlook-to-2022-Projected-to-Grow-at-13-CAGR---Featuring-Amway-Avon-Products 2.
LOreal-PG-Revlon-and-more---ResearchAndMarkets.com www.yourstory.com
3. https://www.zivame.com/
4. https://www.startupstories.in/stories/inspirational-stories/zivame-founding-story
https://apparelresources.com/fashion-news/features/how-the-indian-lingerie-market-is-rising- up-to
accommodate-its-diverse
consumers/#:~:text=In%20the%20recent%20past%2C%20the,billion%20by%20the%20year%2 02023.
5. https://www.investindia.gov.in/team-india-blogs/empowering-women-startup-india
https://www.livemint.com/news/india/where-india-leads-in-digital-payments-and-where-it- lags
11603181605154.html
6. https://www.businessmanagementideas.com/entrepreneurship-2/women- entrepreneurs/21046
 K J Somaiya Institute of Management, India
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Thank you

simsr.somaiya.edu
K J Somaiya Institute of Management, India 45