In Yunus' definition, a social business is a non-loss, non-dividend company designed to address a social objective within the highly regulated marketplace of today. It is distinct from a non-profit because the business should seek to generate a modest profit but this will be used to expand the company’s reach, improve the product or service or in other ways to subsidise the social mission.
In fact a wider definition of social business is possible, including any business which has a social rather than financial objective.
"Human beings are driven by more than a desire to just make money. Self-sustaining social enterprises should be built around this aspiration." Muhammad Yunus.
Muhammad proposed project is one of the most interesting entrepreneurial ideas I've heard, because not only is to create a new form of business that generates profits, also this business solve a social problem that include a society or community.
As the project in Bangladesh with this new social business proposal, a business to achieve other economic gains, generate jobs for the community and gradually resolve the problem of malnutrition of children. this is a sign that with a little creativity anything can be improved, the point is not to get stuck watching the problems accumulate, just realize the potential of problem to give a solution and make money.
The biggest flaw in the conceptual design of the existing theory lies in its misrepresentation of the human being. In traditional profit-maximizing capitalism, human beings are treated as one-dimensional creatures whose only mission in life is to make as much money as possible.
That's the difference between an economic model based on social business and economic model capitalist, in the capitalism the only thing that matters is making money, get profits only for myself and be the most powerful, social business is the opposite, you win money but problems are solved, the company is involved and so everyone wins.
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