Friday, August 12, 2011

What are the factors in deriving an effective strategy and revenue model that keep a social enterprise sustainable while achieving its social caus

Since social enterprises operate like a normal business, I believe that whatever factors that a commercial business needs to keep itself profitable and sustainable, social enterprises need all of them too. However, the key to the success of a SE is how to balance these factors.

How do you want to keep a business profitable and sustainable?
In no particular order of priority:

Innovation
Without innovation, you are just another business out there. With innovation, you are something special, and people will have more reason to buy products or service from you.

Branding
Distinguishing your product or service from all the thousand others in the market. With good branding, you can charge more, earn more, and create more.

Duplication
How do successful companies become successful? What are their success factors? I believe that every business should take time to research on how the successful companies in their industry makes it to the top, and duplicate those factors

Social Cause
Marketing your social cause hard and fast. Studies have shown that people would rather buy from a company with good CSR if all other factors are the same. This is especially important for a SE, because the social cause that they are championing is the core of their business.

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