Wednesday, March 10, 2010

Response to " The Power of Unreasonable People"

The author tells us about Bunker Roy and the Barefoot Colleges based in Rajastan. Central to their success is an open and transparent structure that puts people's fate in their own hands. It seems to me as we get further and further into our project that the real challenge will be in designing a thing or a process that enables the project to be in the hands of the people running it. Their knowledge and benefit from its continued operation has to be there.

The real gap that I see social entrepreneurship filling is in the type 2 model . A traditional business will always be seeking to maximize profit and any other considerations are subservient to that. A type 2 model has the freedom to form a business that seeks to succeed so that it can achieve its other goals which can be providing something other than a maximized profit as the end goal. At the center of any of these successes is always something resembling a sustainable business model.

It is also interesting to hear the founders of these socially driven businesses say that their companies first asset were their people. The people who make up the core team are what venture capitalists tend to look for first in determining the potential success of a new venture, yet it isn't what seems to be the stated focus of most businesses. It's very interesting to hear these social entrepreneurs and venture capitalists say similar things about this element of success.

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