The Concept of Social Entrepreneurship

Extended Abstract

The idea that market mechanisms only generate wealth for business class, while generates exploitation for working class, is quite extended in literature. However, recent facts proved this idea is somehow wrong: market mechanisms can “turn the poor into consumers, producers and business partners” (Marquez, et. al., 2009). It means, market mechanism can also be a tool to solve world poverty problem, and even more, a tool for promoting social justice.

In order to develop this idea, we begin discussing the social entrepreneurship concept proposed by Martin and Osberg (2007). We argue that although these authors do not make direct reference to “Social Justice”, their definition states social entrepreneurs attempt to make changes on unjust social situations. Thus, we can infer social entrepreneurship or, in other words, looking to create social value is a condition in order to create “Social Justice” initiatives.

Emphasizing on the Martin and Osberg’s (2007) social entrepreneurship definition, we can state it is based on the profit-for-entrepreneurship idea. Both concepts share congruencies and differences: we convey it is possible to find and intersection between either types of entrepreneurship, an entrepreneurial process that generates social value, and at the same time generates financial gains. The question is if this theoretical model really exists.

In order to figure it out, we have decided to use case-study methodology (Robert Yin, 2005) to analyze Cundyplas case. Cundyplas is a company that was established in 2009. Its main business is to process Alpina’s expired products, one of the biggest companies in the food sector in Colombia. The company has proved to be profitable and in the same time it creates social value, since the owner and the employees are people from conflict areas in the country.

We conceive this methodology suits our purposes because it is normally