scholarly journals Analysis of the Characteristics of Social Enterprises: The Case of Microfinance Institutions and Non-Profit Organizations Benefiting from Microcredit in Burundi

2018 ◽  
Vol 1 (1) ◽  
pp. 71
Author(s):  
Marie-Goreth Nduwayo ◽  
Michel Sayumwe

<p><em>The crisis that Burundi has experienced since October 1993 has led to the emergence of new associative mechanisms at the initiative of Burundian citizens around the same adventure: that of microcredit. Far from being a fad, microcredit has been the single source of financing for poor citizens by enabling them to engage in income-generating activities. For this, beneficiaries who are for the most part without material guarantee must not only group themselves in associations, but also align themselves with the constraints of the lessor. According to the theory of contingency, any organization can increase its performance to the extent that its strategy is in harmony with its environment. Our analysis considers the issue of strategic alignment from a new angle. We conclude that the adjustment of the NPOs members to the modalities of granting loans enables them to benefit from Microfinance Institutions which help to reach their main objectives and to promote a real organizational efficiency.</em><em></em></p>

2018 ◽  
Vol 9 (3) ◽  
pp. 86
Author(s):  
Marie-Goreth Nduwayo ◽  
Michel Sayumwe

Based on the work of Henderson and Venkatraman (1993) on strategic alignment, the objective of this article is to explain that the strategic alignment of microcredit beneficiary not for profit Organizations (NPOs) is achieved through their adjustment to the constraints of their lessors. We thus discuss the adaptation of Burundian NPOs benefiting from microcredit by taking into account a specific attribute of a difficult economic environment: the threat of their survival. The physiological needs of their members are at the origin of their reactions of adaptation to the constraints of the lessor. This adaptation enables them to acquire and maintain the resources necessary for their survival. This article explains this adaptation by highlighting the strategic actions of the members of the NPOs who are beneficiaries of microcredit.


2018 ◽  
Vol 6 ◽  
pp. 448-453
Author(s):  
Tatyana Skvortsova ◽  
Аnna Nikitina ◽  
Mustafa Ansari ◽  
Margarita Tertyshnikova

Entrepreneurial activity is pursued by large, medium and small business entities which can be introduced by individuals – individual entrepreneurs and legal entities – commercial and non-profit organizations. The entrepreneurial activity of these entities is regulated by the rules of law which may cause problems in law enforcement resulting in the improvement of legal regulation. The article provides a review of some legal regulation issues of entrepreneurial activities of non-profit organizations, the analysis of peculiarities of economic activity exercised by these organizations and covers the problems of differentiation between entrepreneurial and non-entrepreneurial activities that individuals are engaged in. The authors analyze the problem of relations between the concepts of "entrepreneurial activity" and "income-generating activities" which requires a solution by means of elaborating a strategy for existing legislation improvement to prevent situations that violate the rights and legal interests of entities in the sphere of entrepreneurial activity.


2018 ◽  
Vol 8 (3) ◽  
pp. 74
Author(s):  
Marie-Goreth Nduwayo ◽  
Michel Sayumwe

In this study, we analyze the profile of burundian non profit organizations (NPOs) receiving funding from a microfinance institution. We focus on the concept of strategic alignment as developed by Henderson and Venkatram (1999) which assumes that the corporate performance is related to the management skills. We analyze the modes of operation of Burundian NPOs which benefit from microcredit. We observe that they reflect an appropriate financing strategy. In fact, our study concludes that the income-generating activity flows a well-defined profile that ensures an adaptation for the NPOs. While the microcredit institution has a financial role, it also contributes to satisfy basic needs for survival of the NPOs members.


2015 ◽  
Vol 38 (9) ◽  
pp. 970-991 ◽  
Author(s):  
Robert E. McDonald ◽  
Jay Weerawardena ◽  
Sreedhar Madhavaram ◽  
Gillian Sullivan Mort

Purpose – The purpose of this paper is to offer a sustainability-based typology for non-profit organizations and corresponding strategies to sustain the mission and/or financial objectives of non-profit organizations. The balance of mission and money, known in the non-profit literature as the double bottom line, is a challenge for professional managers who run non-profits and scholars who study them. Design/methodology/approach – Typologies are often used to classify phenomena to improve understanding and bring about clarity. In this paper, non-profit organizations are viewed from a social and fiscal viability perspective, developed from the long standing challenge of balancing mission and money. Findings – The typology developed in this paper identifies several normative strategies that correspond to the social and fiscal viability of non-profit organizations. In fact, the strategies offered in this paper can help non-profit managers achieve organizational sustainability, thus enabling them to continue what they are meant to do – to provide greater social value to their constituents. Research limitations/implications – The typology presented is a classification system rather than a theoretical typology. Its purpose is to help managers of non-profits to recognize threats to their organizations’ long-term survival and offer strategies that if adopted can move the organizations to less vulnerable positions. However, the recommended strategies are by no means exhaustive. Furthermore, the focus of the paper is on non-profit organizations, not profit-driven or hybrid entities. The sustainability-based typology of non-profit organizations and the corresponding strategies have implications for practitioners and academics. The typology and its contents can help managers assess their non-profits, competitive environment and their current strategies, plan their double bottom line strategies and last but not the least, develop and implement strategies for social and fiscal sustainability. In addition, our paper provides great opportunities for future research to subject our typology and its contents to conceptual and empirical scrutiny. Practical implications – The strategies described here are developed based on scholarly research and examples from successful non-profits. The typology and the related list of strategies provide a manager with the tools to accurately diagnose organizational challenges and adopt plans to improve the organization’s viability. Social implications – Non-profit organizations are an integral part of society that bolsters economic prosperity, environmental integrity and social justice. This paper may provide guidance for a number of non-profit managers to keep their organizations operating and serving important social missions. Originality/value – In the context of organizations for social mission, several typologies exist that looked at firms from the perspectives of ownership versus profit objectives, entrepreneurship conceptualizations of economists and origins and development paths of social enterprises. While these typologies provided foundations for theoretical and empirical work into social enterprises, our typology offers strategies for the sustainability of mission and/or money objectives of non-profits. The value of this research lies in integrating virtuous and pragmatic objectives of non-profit sustainability that, in turn, can ensure the social mission of non-profits.


2019 ◽  
Vol 7 (1) ◽  
pp. 55-71
Author(s):  
Svetlana G. Klimova ◽  
Ivan A. Klimov

This articles analyzes the business strategy of social innovators. We call the heads and employees of non-profit organizations, social enterprises, and the initiators of volunteer projects “social innovators”, as they not only use organizational novelties in their activities, but also change routine rules and practices, which alters the life of a society connected in any way with the activities of those organizations. It is demonstrated that the standard expectations of ideologues and officials, in respect to the activity of social innovators, contradict their values and visions of proper behavior. They consistently show orientation towards cooperation with each other and the social environment. Solidarity, the development of communities around non-profit organizations or social enterprises, is not only a resource, but also an independent effect of their activity. The functions of cooperation in the activity of social innovators are described. Cooperation is required not only to implement the mission accepted by innovators, but also to solve practical production problems. These are: the increase of knowledge and exchange of experience; cooperation for solving difficult problems; the joint elaboration of standards of professional ethics and business ethics; a way to gain reputation among colleagues and service consumers; the promotion of new values; and the preservation, re-creation, or restoration of the local community. It is concluded that the competition ideologeme promoted in the community of social innovators should be replaced with the cooperation ideologeme and relevant training programs.


2020 ◽  
Vol 2020 (3) ◽  
pp. 182-199
Author(s):  
Margarita Vasyunina

Social entrepreneurship is a developing economic and social phenomenon that needs scientific interpretation and solid legal framework. Russian and foreign researchers are actively discussing the content, boundaries, determinants of social entrepreneurship. The article examines modern approaches to the definition of social entrepreneurship, summarizes the typology of social enterprises, analyzes the characteristics of socially oriented non-profit organizations. The author gives a description of socially oriented non-profit organizations in the Russian Federation, points to the legitimacy of these organizations as a public service and recipients of government preferences and presents the reflections on the exclusion of government institutions from social entrepreneurship.


2018 ◽  
Vol 8 (1) ◽  
pp. 1-22
Author(s):  
Fernando Martin Roxas ◽  
Andrea Santiago

Subject area Managing non-profit organizations, social enterprises, strategic management for small entities and tourism. Study level/applicability Useful for graduate students enrolled in courses with development aspects. Undergraduate students learning about non-profit organizations can also benefit. Case overview This is a case of a small non-profit organization that is struggling to formalize its operating systems to generate sufficient surplus to plough funds back to the community that it envisioned to serve. The protagonist has to make a decision of whether to invest large sums in a health center for permanent visibility or to implement health services on a smaller scale given its current level of operations. Whether the protagonists’ operations are scaleable or not is also in question, as its main activity – slum tours – is not a widely accepted concept. Expected learning outcomes 1. Students will understand the challenges of starting and growing non-profit organizations. 2. Students will recognize the need to make operations efficient and to establish control systems to manage enterprise resources. 3. Students will realize that decision-making requires the balancing of interests of multiple stakeholders. 4. Students will learn to analyze the options of financing social projects considering marketing, operations and financial data. 5. Students will gain better appreciation of the merits and demerits of slum tourism. Supplementary materials Teaching Notes are available for educators only. Please contact your library to gain login details or email [email protected] to request teaching notes. Subject code CSS 11: Strategy.


2020 ◽  
Vol 23 (5) ◽  
pp. 39-44
Author(s):  
Anna Popovich ◽  
Oleksandr Katsora

The article analyzes the phenomenon of social entrepreneurship and the possibility of its spread in the activities of non-profit organizations. Therefore, the purpose of the article is to outline the prospects for the development of social entrepreneurship in Ukraine and to summarize the factors that influence this process. To achieve this goal, system analysis (to outline the phenomenon of social entrepreneurship), analysis of expert assessments (for assessment of the state and trends of social entrepreneurship) and document analysis (to identify normative especially regulation of social entrepreneurship) were used.It is established that social entrepreneurship is an effective method of solving social problems, which has its own peculiarities of functioning and practice of implementation in Ukraine. The situation of social entrepreneurship in Ukraine and its normative-legal provision is considered. The article outlines the main deterrents and incentives that affect the development of social entrepreneurship and its implementation in the activities of non-profit organizations.The impact of different scenarios of social entrepreneurship development in Ukraine, including the growth of social enterprises due to the large number of social problems in Ukraine, legitimization of social entrepreneurship at the level of national legislation and economic development of the Ukrainian state, which will contribute to state support of social enterprises, taking into account the mechanisms of implementation of the social order. It was found that the main factors influencing the development of social entrepreneurship are raising the level of social consciousness of citizens, legislative definition of social enterprises and their taxation, financial support of social enterprises at the state level, grant support, increase of own incomes of non-profit organizations.


2019 ◽  
pp. 74-87
Author(s):  
Maria Poltavskaya ◽  
Ekaterina Vasilyeva ◽  
Svetlana Tokareva ◽  
Natalya Khomutova

Social entrepreneurship, which under certain conditions can contribute to solving the problems of employment of people with disabilities, is becoming a noticeable direction of social policy in modern Russia. The article analyzed the legislative changes aimed at implementing the new state policy towards people with disabilities, reviewed the scientific foreign and domestic literature on the use of social entrepreneurship practices by people with disabilities. The conclusion is made about the role of institutional and socio-cultural factors in the development of social entrepreneurship, which is one of the mechanisms for the implementation of social support for people with disabilities and citizens in need of social protection. The main forms of discrimination of these categories of citizens in employment and work have been identified, the legal basis for quoting places for people with disabilities has been described, problems, arising in the organization and implementation of activities in social enterprises have been described. Examples of social entrepreneurs and non-profit organizations programs,that improve the living conditions of people with disabilities, allowing creating financially sustainable business models, are given. The study interpreted data collected by the method of analyzing documents (statistical data characterizing the situation of people with disabilities in the Russian Federation, reports of state institutions, reports of the Committee on Labor and Employment of the Volgograd Region) and the method of non-formalized interview of heads of organizations of the Volgograd Region dealing with social protection of citizens employment strategies for people with disabilities (n = 32). An empirical study led to the conclusion that the measures planned by state structures to improve the situation of socially vulnerable people, including people with disabilities, are carried out without coordination with non-profit organizations that provide them with assistance.


Sign in / Sign up

Export Citation Format

Share Document