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Social enterprises as supply-chain enablers for the poor

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  • Sodhi, ManMohan S.
  • Tang, Christopher S.
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    Abstract

    Many social enterprises use the poor as producers to improve their living standards. We seek to answer how they do so, from a supply chain perspective. Drawing on various successful social enterprises in Afghanistan, Africa, Bangladesh, India, Malaysia, Mexico, Nepal, Philippines and Sri Lanka, we look at the material, information and cash flows of the micro-entrepreneurs for these social enterprises. We show how a social enterprise helps its associated micro-entrepreneurs by improving the latter's supply chain operations via: (1) easier access to financial credits; (2) easier access to market information; (3) easier market access; and (4) better access to supplies and raw materials and higher productivity through better health and equipment. We then speculate on how to make social enterprises economically sustainable and propose that social enterprises would be better off enabling micro-enterprises rather than running production operations themselves.

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    File URL: http://www.sciencedirect.com/science/article/pii/S0038012111000140
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    Bibliographic Info

    Article provided by Elsevier in its journal Socio-Economic Planning Sciences.

    Volume (Year): 45 (2011)
    Issue (Month): 4 (December)
    Pages: 146-153

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    Handle: RePEc:eee:soceps:v:45:y:2011:i:4:p:146-153

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    Web page: http://www.elsevier.com/locate/seps

    Related research

    Keywords: Economic sustainability Bottom of Pyramid Social enterprise Micro-entrepreneurs Poor as producers Entrepreneurship Supply chain;

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    1. London, Ted & Anupindi, Ravi & Sheth, Sateen, 2010. "Creating mutual value: Lessons learned from ventures serving base of the pyramid producers," Journal of Business Research, Elsevier, vol. 63(6), pages 582-594, June.
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    Cited by:
    1. Gold, Stefan & Hahn, Rüdiger & Seuring, Stefan, 2013. "Sustainable supply chain management in “Base of the Pyramid” food projects—A path to triple bottom line approaches for multinationals?," International Business Review, Elsevier, vol. 22(5), pages 784-799.

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