...to study the phenomenon of social business and gain an understanding of their nature, operations, objectives and implications by using the book “Building Social Business” by Professor Dr Yunus.The paper also investigates the criticisms of social business and difference between social business and CSR.Finally the paper discusses the sustainability and future of social business. Introduction Social business is a cause-driven business. In a social business, the investors/owners can gradually recoup the money invested, but cannot take any dividend beyond that point. Purpose of the investment is purely to achieve one or more social objectives through the operation of the company, no personal gain is desired by the investors. The company must cover all costs and make profit, at the same time achieve the social objective, such as, healthcare for the poor, housing for the poor, financial services for the poor, nutrition for malnourished children, providing safe drinking water, introducing renewable energy, etc. in a business way. The impact of the business on people or environment, rather the amount of profit made in a given period measures the success of social business. Sustainability of the company indicates that it is running as a business. The objective of the company is to achieve social goal/s. Social business is about making complete sacrifice of financial reward from business. It is about total delinking from the old framework of business. It is not about accommodation...
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...POWER OF SOCIAL BUSINESS IN POVERTY ALLEVIATION F-532: Business Research Methodology and Econometrics Submitted to, Dr. M. Jahangir Alam Chowdhury Professor, Department of Finance University of Dhaka Submitted by, Md. Rased Mosarraf MBA ID No.: 16-469 BBA ID No.: 16-062 MBA, 16th Batch Department of Finance University of Dhaka “Poverty does not belong in civilized human society. Its proper place is in a museum. That's where it will be.” –Dr. Muhammad Yunus Date of Submission: July 19, 2016 i Letter of Transmittal July 19, 2016 Dr. M. Jahangir Alam Chowdhury Professor, Department of Finance University of Dhaka Subject: Submission of Research Paper. Dear Sir, I am very glad to submit you the paper on “Power of Social Business in Poverty Alleviation”. I would like to say that this paper is helpful for me to know about the social business concept. I am very thankful to you for giving us such a fantastic opportunity to make a paper on this topic. I have tried my best to make this report meaningful by providing necessary information. Yours sincerely, ………………………… (Md. Rased Mosarraf) MBA Roll: 16-469 BBA Roll: 16-062 Department of Finance University of Dhaka ii Table of Contents Introduction ................................................................................................................................................. 1 Literature Review .............................................................
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...Long Range Planning 43 (2010) 308e325 http://www.elsevier.com/locate/lrp Building Social Business Models: Lessons from the Grameen Experience Muhammad Yunus, Bertrand Moingeon and Laurence Lehmann-Ortega Grameen bank, founded in 1976, has both pioneered the development of micro-finance, and created nearly 30 businesses designed to alleviate poverty. The article traces the gradual development of Grameen’s expertise in formulating social business models, which require new value propositions, value constellations and profit equations, and as such, resembles business model innovation. The article presents five lessons learned from this experience: three are similar to those of conventional business model innovation e challenging conventional thinking, finding complementary partners and undertaking continuous experimentation; two are specific to social business models: recruiting social-profit-oriented shareholders, and specifying social profit objectives clearly and early. We suggest these new business models e where stakeholders replace shareholders as the focus of value maximization e could empower capitalism to address overwhelming global concerns. Ó 2010 Elsevier Ltd. All rights reserved. Introduction The Grameen Group is a network of nearly 30 sister organizations linked to the Bangladeshi Grameen Bank, the microcredit pioneer and (together with its founder, Muhammad Yunus, one of this article’s co-authors) 2006 Nobel Peace Prize winner. This group was established in...
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...COMPANY DESCRIPTION & EXEC. SUMMARY OF SOCIAL BUSINESS CASE For this assignment we had the fortune of getting to know a bit about the business workings of Brands Cycle and Fitness http://brandscycle.com/. They are a family owned business in existence since 1954 and are located on Long Island, in Wantagh, NY. Brands is very well respected within their industry, and are consistently voted one of the top 10 bike stores in the country by Bicycling Magazine. They have a staff of 90 to 110 employees which scales seasonally to accommodate their peak selling and servicing season in Spring and Summer. We spent an evening with Dan Sirota who is the 3rd generation co-owner of Brands. His father, Gary Sirota, is still an active owner of the business. We were given a behind the scenes tour of the operation and shown the local inventory management process. We learned that the business has evolved from originally selling luggage, then just bicycles, and then bicycles plus fitness equipment with more recent additions of skateboards, fitness apparel, and bicycle shoes. They currently sell about 7,000 – 8,000 bikes per year. The majority of the volume sold is at the $400 – $700 price point, and their maximum bike price is approximately $3,000. Prior to 2010 they were only selling offline and their volume was approximately 10,000 bikes per year at a lower average price point. Their consumers are comprised of locals in the tri-state area as well as national and global customers online. 2012...
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...Running Header: SOCIAL MEDIA AND BUSINESS 1 Running Header: SOCIAL MEDIA AND BUSINESS 2 The internet era has brought with it numerous pros in all walks of life be it academic, business, or social. The internet has taken business to an all new level. This includes online shopping, online banking, and online flight booking just to mention a few. Each and every business needs an online presence in order to have an edge over its competitors. The onset of internet improved business a lot, but what has really revolutionized the internet business is the social media. The social media sites form hubs for online interactions of people from all walks of life and of all ages. People meet and build relationships via social media. Social media forms a powerful tool for marketing a business and help it achieve its own goals. The most powerful of all is the word of mouth from friends in the social media or recommendations and /or like. There are numerous social media sites nowadays including twitter, facebook, Google plus and LinkedIn. This essay will focus on facebook as a tool for marketing a business. Just like any other form of business strategy, use of social media has its own share of legal matters that need to be managed appropriately for the success of a business. Marketing managers of business using the social platform should have a good knowledge base and be able to wisely employ the legal tools in their marketing...
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... Arts ,Science & Commerce College ,Chopda Social Responsibilities of Management * INTRODUCTION Business enterprises are creatures of society and should respond to the demands of society. If the management does not react to changes in social demands, the society will either force them to do so through laws or will not permit the enterprise to survive. Therefore the long-term interests of business are best served when management assume social responsibilities. The image of business organization liked with the quality of its products and customer service and the extent to which it fulfills the expectations of owners, employees, consumers, government and the community at large. For long-term success it matters a great deal if the firm has a favorable image in the public mind. Every business enterprise is a organ of society and its activities have impact on the social scene. Therefore, it is important for management to consider whether their policies and actions are likely to promote the public good, advances the basic values of society, and constitute to its stability, strength and harmony. Increasing concern for the social responsibility of management, it is now recognized that besides taking care of the financial interest of owners, managers of business firms must also take into account the interest of various other groups such as employees, consumers...
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...Literature, Business and Social Change Kareem Jones Reginald T. Bowman Ken Mathias Jerome Mond Business Literature ENG/120 Dr. Andrew Mathis Business literature of the past is similar to modern day business literature; however, in some ways both have differences. Both forms of literary works give insight to the reader regarding one’s life’s struggles and achievements. These forms of literary works allow the reader to relate his or her own experiences to the problems and emotions related to the workplace. Literature communicates past and present changes which occur in businesses. These literary works represents the voice of the people. Past and present business literature assists businesses and its workers to better understand human nature, social and/or political issues and changes emerging in today’s workplace environment. Past literary works in business has focused on the worker and the workplace environment. Themes related to this era focused on ethnicity, equal rights, gender, and organized labor. Injustices and equality of factory workers, non union workers and women are a few examples. However, today’s literary works in business focus on ethics, values, development of new technology, interpersonal and personal conflicts and environmental concerns. Computers and new technology is causing difficulty with people keeping his or her jobs. Companies are globalizing for cheaper labor and downsizing to save money. Some companies want...
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...Social Responsibility of Business Introduction What is the social responsibility of a business? Is it to increase its profits as Milton Friedman affirms? Before starting any debate about this topic, first let’s see what its definition is. According to the Business Dictionary, social responsibility is an “obligation of an organization's management towards the welfare and interests of the society which provides it the environment and resources to survive and flourish, and which is affected by the organizations actions and policies. 1 ” Furthermore, according to the Dictionary of Finance and Investment Terms, social responsibility is the “principle that businesses should actively contribute to the welfare of society and not only maximize profits. 2 ”These two definitions are in total opposition to Friedman’s statement. Never the less, I do think that any corporation can be social responsible in terms of these opposing points of view at the same time. In this essay, I will first present a summary of the article of Milton Friedman; then I will express my personal reflection on the topic and tell why a corporation can comply with both positions simultaneously Milton Friedman in his article “The Social Responsibility of Business is to Increase its Profits” states that only people can have responsibilities, and that there is not such a thing like social responsibility of business. A corporation, according to Friedman, is an artificial person and, therefore, may have artificial...
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...The Social Responsibility of Business: A Review. Maz Demosthenous School of Commerce The Flinders University of South Australia GPO Box 2100 Adelaide South Australia 5001 Telephone: +61 8 82013896 Facsimile: +61 8 82012644 Email: Maz.Demosthenous@flinders.edu.au SCHOOL OF COMMERCE RESEARCH PAPER SERIES: 00-8 ISSN: 1441-3906 For many, the view that the main goal or purpose of business is to make as much money as possible is accepted as a matter of fact and is beyond debate. To go further and say that the social responsibility of a business is also just to make a profit is open to debate. The aim of this paper is to discuss the various views of the responsibility of business, and to consider where accounting fits in. In addition, to explore the ethical responsibilities that a corporation may have beyond making profits for its stockholders. The Friedman view Milton Friedman’s view is that in a capitalist economy, there is one and only one responsibility of business- to use its resources and engage in activities designed to increase its profits so long as it stays within the rules of the game, which is to say, engages in open and free competition without deception or fraud (Friedman, 1983). When one is looking at the responsibilities of an individual or an organisation they must first examine their roles. The directors of companies have a fiduciary responsibility to act in the best interest of the shareholders. The managers are agents of the shareholders...
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...Seminar Paper Social Responsibility of Business Social Responsibility of Business Name= Bisweswar Chakraborty BBA, 4th Semester, 2nd year * Introduction :- * Social Responsibility :- Social responsibility is an ethical theory that an entity, be it an organization or individual, has an obligation to act to benefit society at large. In our daily life, you perform a number of activities. For example, brushing our teeth, showing respect to elders obeying traffic rules on road etc. Now why do we perform all these activities? It is because we live in a family as well as in a society and the members of our family as well as the society want to do all of them. They do several things for us and expect something from us, which you must do. The expectations of the family or society become our obligations, which you need to fulfill. For example, keeping the road clean by not throwing garbage on it, etc. There are also obligations towards our self, which you need to fulfill. For example, taking food timely, going to sleep early at night, etc. that keep you fit and takes care of your health. Now we fulfill all these obligations by performing certain activities which are called our responsibilities. Any responsibility we have, particularly towards members of the society with whom we interact or towards the...
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...Critical Analysis: "The Social Responsibility of Busine Critical Analysis of "The Social Responsibility of Business" from Milton Friedman In this essay I evaluate Milton Friedman’s essay: “The Social Responsibility of Business Is to Increase Its Profits” in 1970, on the Social Responsibility of a business and his theory, which is called the “Efficiency Perspective”. In every article and book that I have read about social responsibility, Friedman’s “Efficiency Perspective is placed centrally. During my research I found that Friedman is often criticised for being too classical. Friedman believes that manager’s foremost objective or even moral obligation to the firm should be to maximise profits always. There is however one condition that makes his perspective more complicated, not only for me, but also for several well-known authors. According to Friedman, the managers obligations should be carried out: “…while conforming to the basic rules of the society, both those embodied in law and those embodied in ethical custom”. This leads to one of the main questions of my essay: To what extent does Friedman’s “Efficiency Perspective” give foundation for responsible and moral international management behaviour? And need we any concern if it fails to do so? To fully answer the questions, I first need to explain the two different parts of the first question: responsible international management behaviour and moral international management behaviour. In businesses nowadays they...
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...Thonya Fisher BUSI 620 Discussion Board Forum 1 Unethical and Unlawful Behavior Unethical behavior is business conduct that employers encourage employees to refrain from in order to promote honest business dealings in the workplace. Unethical behavior however, does not always mean a violation of the law. Unlike unlawful behavior which is the violation of a constitutional law that is punishable by the legal system, unethical behavior is associated more with a set of values or a “source of guidance beyond enforceable laws” (Salvatore, 2015 p. 20). Corporate Social Responsibility Consumers find it difficult to trust corporate America after the exposure of countless fraudulent business transactions over the last two decades. The expectation for corporations to be ethical, forthright, and socially responsible seems to be an unrealistic expectation. The suggestion that making a profit should be the only social responsibility for business owners a lack of concern for the society and individuals from which those profits are made. It is because of statements like this one made by Milton Friedman that the concept of corporate social responsibility evolved. The “term is a generous one that encompasses various overlapping areas, such as corporate citizenship, stakeholder theory, business ethics, and corporate sustainability” (Popa & Salanta, 2014 p.138). I agree that corporations should make a profit; however that should not be their only responsibility. When one becomes consumed...
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...Social Responsibility of Businesses 22 September 2013 Social Responsibility of Businesses Social responsibility of businesses is the obligation of businesses to help improve the economy, the quality of life of its employees, and the surrounding communities. It is “an organization’s initiatives to assess and take responsibility for its effects on the environment as well as its impact on social welfare.” (Grantham, 2013) A company that continually gets involve with social events and support the communities often gains the trust of consumers. An organization’s reputation can be boosted by demonstrating good social responsibility and good will toward the community. This paper will discuss how being socially responsible can help businesses retain employees, attract customer, and cut business cost. Social responsible companies often increase employee loyalty and job performance. “Employees are the heart and soul of your organization. They produce the products and services that your organization offers. If you take good care of them, employee turnover will be lower, productivity will be higher, and fraud/theft will decline.” (Ventureneer, 2013) Companies that appreciate and value their employees by providing them competitive wages, benefits, and awards then they are a social responsible organization. When companies invest into their staff with quality training, and growth opportunities then employees are more likely to stay with the company. As other people...
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...Social Media By O’Dane Johnson LEG100 Business Law I Professor Ericka Harden Strayer University, FL 2014 Abstract According to Constant Contact’s 2011 Small Business Attitudes & Outlook Survey, 73% of small businesses & organizations have started using social media marketing and 62% of those not using it expect to start marketing through social media. (Inc., 2011) We are living in a world where technology is changing the way we live, entertain, communicate, interact and more so than ever before the way we do business. The most effective way that companies are promoting and marketing their business today is by means of social media. Social media is a great way to drive repeated business and to attract new customers. Social networks, like Facebook, Twitter, LinkedIn, and Pinterest are the places where social interactions occur more rapidly. In this article we will examine one of the world’s largest and well known social media that is used worldwide to promote and market their business, Facebook. We will look at the more suitable ADR that can be used to address issues that may arise. We will further analyze how the federal government controls the consumer transactions. This paper will further examine the agency relationship for utilizing Facebook for advertising. In conclusion we will look at the overall use and effect of using Facebook as a marketing medium. As social media continues to change and...
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...Social Media and Business Social media has always been a threat to not only security but also reputation of a business. Employees today have access to all kinds of social network sites to include Facebook, Myspace, Twitter, Instagram, online blogs, and many more. These sites are easily accessible to the user from their computer, tablets, and cellphones through various types of applications. Through my research I was able to find a trend in users using these media outputs to accidently leak information unintentionally and even intentionally. I found that any business can be susceptible to having data leaked and reputations tarnished from employees not handling social media correctly. I will cover this area of expertise, technology involved, future trends, security issues, some businesses involved, regulatory issues that arise, what business can do to handle social media, and global implications. When you consider what technology is being used most users will think of physical equipment. While this is the case that is the access medium that is used when thinking of social networking. Social media can be accessed in various ways to include your home computer, office computer if they allow you to view such sites, tablets, and your phone that could not be regulated depending on if it is a company phone. These access mediums must be regulated and users educated on the proper use of these devices. There are different types of online technologies that can be used to access social...
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