Challenges Faced By Social Entrepreneurs In India

Challenges Faced By Social Entrepreneurs In India India achieved an average growth rate of 7.7% from 2002-07; however the dividends of this growth have not trickled down to the bottom of the pyramid (Planning Commission of India 2007). According to UNICEF, 42% of India’s population is below the international poverty line of US$1.25 per day (UNICEF 2005).   [ 1 ]   India’s Eleventh Five Year Plan (2007-12) aims to reduce the head-count ratio of consumption poverty by 10 percentage points. However, to solve complex problems such as poverty the government, business and citizen sector need to work together and create innovative solution to pressing problems. In fact, Indian government has recognized the positive impact of citizen sector and has provided increasing levels of funding, under the five-year plans. It is estimated that India has 1.2 million to 1.5 million Non-Governmental Organizations (NGOs) operating currently. The purpose of this paper is to highlight the legal, tax and regulatory challenges faced by soc ial enterprises and recommends policy action. The paper is organized as follows: Section II puts forward a definition for social entrepreneur; Section III features two pioneering social entrepreneurs; Section IV focuses on the challenges faced by social entrepreneurs in India; and Section V provides recommendations to counter these challenges. II. DEFINITION OF SOCIAL ENTREPRENEUR Social entrepreneurs are not the creation of the modern society. Historically, individuals and groups have combined the concept of entrepreneurship with social value creation to transform a current state of ‘unjust equilibrium’ for a targeted group of society (Roger and Osberg 2007). For example, Florence Nightingale built the foundation for the modern nursing profession at a time when nursing was not considered a respectable profession and lacked any codes, ethics and formal training. Further, this phenomenon was not limited to the developed world even the developing world had its share of so cial innovators. In 1920s, Jamnalal Bajal, founding father of a successful Indian enterprise Bajaj Group   [ 2 ]   , popularized the importance of business ethics and launched social initiatives to eradicate the malice against ‘untouchables’ in Indian society. While social entrepreneurs have existed throughout history, the concept of social entrepreneurship is a relatively recent one. Drawing from social entrepreneurship literature, following are five key components of the concept: (1) creating social value that transforms the lives of those who lack the capacity to change the social and economic ecosystem (2) recognizing and capitalizing on the opportunity embedded in the current state of affairs (3) innovating and dislodging the present system of doing things (4) willing to take risk in this process and undeterred by scarcity of resources (5) forging a new, stable equilibrium that uplifts the lives of the targeted group and expanding this cycle to other geographic al locations (Peredo and McLean 2006) (Roger and Osberg 2007) (Bolton and Thompson 2004). Having emphasized the social entrepreneurs of the past, it is fitting to draw attention to their modern counterparts. III. SUCCESS STORIES OF INDIAN SOCIAL ENTREPRENEURS Vikram Akula, SKS Microfinance In 2006, Vikram was named by TIME Magazine as one of the world’s 100 most influential people and was awarded Social Entrepreneur of the Year by Schwab Foundation. Vikram recognized that the traditional banking institutions in India failed to reach out to millions of poor due to lack of collateral and high transaction cost; forcing the poor to be trapped in the vicious cycle of small debt-heavy interest by exploitative money lenders.

Extended Self and Consumerism Essay Example | Topics and Well Written Essays - 1500 words

Extended Self and Consumerism - Essay Example For example, some of us are focused on personal comfort and buy cars; some other people want to collect money or some trifles to satisfy their aesthetic desires, needs and wants. It is possible to claim that Oscar Wilde's main characters were often considered about their appearance to the greatest extent. These ideas are relevant to the modern context, because they underline that people appreciate their appearance and buy the objects of art, luxury or jewelry just to look good. In other words, people create their own images by means of different products and objects. To correlate the principles of consumerism with our daily behaviors in the market, it is necessary to have a strong theoretical background and up-to-date empirical material. The works by Belk (1988) and Goffman (1990) are illustrated by blogs of the consumers in the Internet. Consumerism and Blogs Belk claims that "if involuntary loss of possessions causes a loss of self, one of the primary reactions following such loss should be an attempt at self-restoration. This phenomenon has been observed in psychoanalysis and has led to the hypothesis that, along with body loss, object loss is the fountainhead of creativity" (Belk, 1988). Therefore, we can claim that the things we own reflect our inner stability. We are well-balanced personalities in case we feel all right and feel our ability to buy a thing or object we want. It sounds like individuals are not complicated individuals. We do not need much, but we want much. Now, when there is a perfect opportunity to share your aspirations with the global community, we are pleasantly sharing this opportunity and use this chance perfectly. When we buy pets, very often we subconsciously chose those breeds, which will look like us. We extend our selves in our dogs; we want to become their masters and parents at the same time. In one blog post there was a commentary about a similar nature of a dog and a master of a dog: "We spend money on our dogs,  pampering them with fancy collars and toys.   Investing in our pets has become a part of being a pet owner, and it speaks of our morals as pet owners.   If someone refuses to take their sick pet to the vet it’s similar to declining to take a child to the doctor" (The Extended Self). From this perspective pets are associated with our desire to nourish ourselves, or extended part of us as much as we want.    On the basis of several blog posts by Chinese consumers we will talk about correlation between the extended self and intentions of buyers to get some products or goods. A purpose of modern blogs can be considered as a means for consumer culture promotion. Cyberspace is a modern plane for promotion of desires and interests of the customers in some goods. Blog is a unique means for self-expression online. It is a kind of a modern diary, which can include up-to-date photos and music. Incomes and urban consumer culture is being developed at a full pace in China. Of course, it is mo re natural of women to update their information about blogs if they talk about their purchases. Thus, "Jessie† updates the world on her blog about new additions to her private closet, and discusses her favorite possessions ranging from a pair of Converse shoes to Abercrombie shirts. She writes about what she already has and laments what she could not afford to have" (Xin Zhao, Belk 2007). On the one hand, this girl does not have any problems and she can

The market and Krispy Kreme Essay Example | Topics and Well Written Essays - 3000 words

The market and Krispy Kreme - Essay Example The paper tells that a worldwide doughnut company was born in an old building on July 13, 1937. Krispy Kreme was established in Winston-Salem, North Carolina by Vernon Rudolph. Then just a store, Krispy Kreme used a classified recipe for yeast-raised doughnuts. Because of the very appealing aroma of freshly cooked doughnuts, mere passers-by would inquire to ask if they can have an order of the freshly cooked treat. With such request from customers, Rudolph then put a hole on an outside wall of the store to make the fresh and hot Krispy Kreme doughnut more accessible to its buyers. Most of the time, it is the product’s consistency whether in taste or in quality that appears to be the problem. Krispy Kreme is not an exemption to this inconsistency. For the company to be able to hurdle over this hindrance in quality, Krispy Kreme constructed a mixing plant and a distributing system that will deliver the perfect Krispy Kreme doughnut mix. The company did not just bring an original yeast-raised doughnut to the market but also a technology that will increase product consistency in its stores. The 1940s and 50s were the decades that Rudolph and his equipment engineers created Krispy Kreme’s own doughnut-making machineries. Even if the company was just starting to expand its market across the state, it was pretty obvious that Vernon Rudolph cared about the quality of the products that his company will be giving out to its market. This proves that the company is putting their customers first and not just the amount of money the company can make. As long as the customers are happy, the satisfaction that the doughnuts are bringing to its patrons will equate to the company’s well-earned income. The quality consistency hurdle was surpassed by the company. Although, it was considered as a challenge since Krispy Kreme was just starting its ground on broader market, the problem was properly addressed by Rudolph and a contingency plan was made to ensure tha t the public and the patrons of the products will get the quality products that they deserve. Delivering the mixture on a daily basis increased the expenses of the company. To cut the expenses being brought by the regular transportation of the mixture, Rudolph together with his equipment engineers developed Krispy Kreme’s own doughnut-making machineries. It was a wise marketing strategy in ensuring the quality of the products that are being produced by the different stores and still be able to achieve the desired profit out of the stores. A decade was dedicated to further develop and systematize the whole doughnut-making process (KrispyKreme.Com, 2009; David & Musa, 2008, p. 26). The first international Krispy Kreme store was opened on December 2001 in Canada near Toronto. The company further expanded its market to Australia and Europe in 2003. Asia, Southern America and the Middle East were the next markets that the doughnut company explored. Krispy Kreme Doughnuts (KKD) was able to expand their markets in 5 continents in less than a decade. KKD has a total of 123 stores in 5 continents by the 28th of January 2007. Two hundred thirty nine KKD factory stores and 33 satellite stores were operating giving a total of 272 stores nationwide (KrispyKreme.Com, 2009; David & Musa, 2008, p. 27). KKD then focused more on the markets in Asia and the Middle East. Demographically, KKD perceives that these 2 locations will be more favorable for its products. Asia and the Middle East have high consumptions of sweet goods which will work pretty well for the company’s signature products. It has also been noted that Western products have high popularity in these Eastern locations. The future success of KKD in these places given the fore mentioned facts appears to be very promising (David & Musa, 2008, p. 27). The Asian and Middle East markets is showing very good potential with regards to KKD’s success. There is one market that the company