Entrepreneurship and social economy

1. Lecture five
By: Ryan

2. Entrepreneurship and social economy
This part will discuss about what a social economy is and the importance of
entrepreneurship especially in start ups.

3. Social economy
According to BALTA (n.d.) a definition of the social economy is that it includes
organization which are animated by a principle of reciprocity. This is for obtaining a
mutual economic or social goals mostly through social control of capitals. This will not
include business which are nonprofit and voluntary organizations which will only depend
on donations. However, it includes businesses which will be for profit and will share
surplus and benefits with people. Another definition by Bouchard (2013) is that it refers to
an organization which does not belong in the profit seeking private sector or public sector.
It is also stated that there is two conditions which explain the creation and growth of the
social economy. These are the need to respond to an unfulfilled need and to belong in a
social group which has a collective identity or a common destiny.

4. Importance of business startup to the growth of
social economy
One of the most important thing of business startup is that it creates new jobs and provides
economic growth (LinkedIN, 2014). It is said that startups create a large portion of the new
jobs and contribution to the economic growth. If the startup companies are considered as
based on innovation, the potential of this startup company will be able to represent the
healthy core of the economy. Startup companies are said to be the ideal form and
opportunity for employing.

5. Examples of startup which impact the social
economy (Indonesia)
An example of a startup which had an impact in the social economy is Garda Pangan which was established in 2017 by Dhedy Bharoto
Trunoyudho (Goodnewsfromindonesia, n.d.). Garda Pangan will collect leftover food in warehouses, then they will check the quality. If
the food is good they will repackage it and give it to an orphanage or people in need and if they are not safe to eat the food will be
turned to compost and biogas. They have overall collected 3,429 leftover food packages to 3,104 recipients, they have also processed a
total of 857 kilograms of stale food and made it into biogas.

6. Examples of business which impact the social
economy (Global)
One example for a global business which affects the social economy is Khan Academy
(Khan Academy, n.d.). Khan Academy offers practice exercises, instructional videos and
personalized learning dashboards to help students study at their own pace outside the
classroom. There are millions of students worldwide which uses Khan Academy every
single day .

7. References
SocialEconomy, n.d. SocialEconomy. [Online] Available at: http://www.socialeconomy-bcalberta.ca/social-economy/ [Accessed 23
November 2018].
Bouchard, M.J., 2009. The Worth of the Social Economy: An International Perspective. Bruxelles : P.I.E Peter Lang s.a.
Bouchard, M.J., 2013. Innovation and the Social Economy: The Québec Experience. London: Cananda Cataloguing.
Linkedin, 2018. Linkedin. [Online] Available at:
https://www.linkedin.com/pulse/20141122084428-77551011-the-importance-of-startup-companies-for-economic-development/
[Accessed 23 November 2018].
Sina, N (2018). Ini Lah 16 Start-Up Indonesia Terbaik Tahun 2017 Versi Koran Tempo | Good News from Indonesia. [online] Good
News From Indonesia. Available at:
https://www.goodnewsfromindonesia.id/2018/01/09/ini-lah-16-start-up-indonesia-terbaik-tahun-2017-versi-koran-tempo [Accessed 23
Nov. 2018].
Khanacademy (n.d.). Khan Academy. [online] Khan Academy. Available at: https://www.khanacademy.org/about [Accessed 23 Nov.
2018].