Social Entrepreneurship and Environmental Enterprise (SEE) Practice Flashcards

A comprehensive set of vocabulary flashcards based on the SEE santos (2012) lecture notes, covering definitions of social entrepreneurship, market failures, business model archetypes, and scaling strategies.

Social Entrepreneurship (Santos, 2012)

The pursuit of sustainable solutions to neglected problems with positive externalities.

Neglected Problem

A problem that markets, governments, or charities do not solve properly.

Positive Externality

The result of a solution that benefits more people than the direct payer.

Value Creation

The act of creating social or environmental benefits; prioritized by social entrepreneurs.

Value Capture

The act of capturing money or profit from created value; prioritized by commercial entrepreneurs.

Empowerment (Santos logic)

The social entrepreneurship logic of sharing methods, training others, and allowing a solution to continue without the original organization.

PCDO Model (Austin et al., 2006)

A framework comparing social and commercial entrepreneurship based on People, Context, Deal, and Opportunity.

PCDO: Opportunity

In social entrepreneurship, the scope of social needs is huge, while resources are scarce, meaning opportunities outstrip availability.

Traditional Nonprofit

Located on the far left of the enterprise spectrum, characterized by a social or public mission with low potential for value capture.

Social Venture

A hybrid enterprise located in the middle of the spectrum of social and profit-making drives.

Social Bricoleur (Zahra et al.)

An entrepreneur who creates local, small-scale, practical solutions using resources at hand.

Social Constructionist (Zahra et al.)

An entrepreneur who builds alternative structures to address social needs.

Social Engineer (Zahra et al.)

An entrepreneur who challenges and transforms large systems.

Environmental Entrepreneurship (Dean & McMullen, 2007)

The exploitation of opportunities found within environmentally relevant market failures to create profit and environmental value.

Market Failure: Externalities

Occurs when costs or benefits are not included in the market price (e.g., pollution).

Market Failure: Inefficient Firms

Wasteful use of resources that provides opportunities for circular or efficiency innovations.

Institutional Voids (Mair & Martí, 2009)

Environments where institutions are absent or weak, blocking participation in markets; entrepreneurs respond by creating new arrangements.

Bricolage

Making do with resources at hand, such as local customs and community networks, especially in weak institutional environments.

Remediation (Sutter et al., 2019)

Addressing poverty by providing resources such as training, finance, and skills.

Reform (Sutter et al., 2019)

Addressing poverty by creating inclusive markets and institutions to overcome social exclusion.

Revolution (Sutter et al., 2019)

Addressing poverty by creating alternative systems and challenging the existing economic system.

Maximize Material and Energy Efficiency (Bocken et al.)

A technological archetype focused on less input and less waste for the same or more output.

Create Value from Waste (Bocken et al.)

A technological archetype involving upcycling and circular waste streams.

Deliver Functionality Rather Than Ownership (Bocken et al.)

A social archetype involving selling access or use through rental, sharing, or leasing.

Adopt a Stewardship Role (Bocken et al.)

A social archetype where the business takes responsibility for stakeholders and ecosystems, such as fair trade or biodiversity protection.

Encourage Sufficiency (Bocken et al.)

A social archetype focused on reducing consumption through durability and repair.

Re-purpose Business for Society/Environment (Bocken et al.)

An organizational archetype where the social mission is the core purpose, such as a B Corp.

Slow Fashion

Durable, timeless fashion that is less trend-driven, intended to keep products in use longer.

Lowsumerism

A driver in sustainable fashion defined by intentionally consuming less.

Social Value Measurement (Mulgan, 2010)

A subjective, context-dependent process that is not fixed or stable, often depending on stakeholder judgment.

SROI (Social Return on Investment)

A method to measure value by identifying stakeholders, mapping outcomes, and assigning financial proxies to social value.

Theory of Change

A strategic explanation of why change should happen, including assumptions.

Logic Model

An operational tool showing a linear sequence: Inputs $\rightarrow$ activities $\rightarrow$ outputs $\rightarrow$ outcomes $\rightarrow$ impact.

Economic Engine Challenge (Foster et al.)

The condition where beneficiaries are not paying customers, requiring the organization to find separate fundraising sources.

Heartfelt Connector

A funding model relying on many small donations from a broad public support base for an emotional cause.

Beneficiary Builder

A funding model where former beneficiaries, such as alumni or former patients, provide support.

Big Bettor

A funding model relying on one or a few major donors or large foundation gifts.

Policy Innovator

A funding model where a nonprofit creates a new solution and later persuades the government to fund it.

Resource Recycler

A funding model based on the redistribution of corporate or in-kind donated goods like food or furniture.

Impact-first Investor

An investor who optimizes impact with a financial floor, often accepting below-market returns.

Patient Capital

Long-term, risk-tolerant capital that allows a venture to build impact without immediate high financial returns.

Values-based Decision-making (Davies et al.)

A strategy for scaling where growth decisions are made based on mission values, such as refusing unethical partners.

Anchoring (Davies et al.)

Embedding a venture in the local community to build trust and legitimacy for growth.

Scaling Up

Increasing impact by providing more or deeper benefits to the same beneficiary group.

Scaling Out

Increasing impact by reaching more beneficiaries or moving into new locations.

Double Bottom Line (Hynes, 2009)

The management challenge of balancing social value creation with financial profit.