Exam 6: Opportunities for Social Entrepreneurship

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Using the Grameen Bank in Bangladesh as an example,explain how microloans work.

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The Grameen Bank offers microloans with no collateral to the poorest of the poor in Bangladesh.Borrowers are organized into groups of five,but not all members can borrow at once.Two borrowers may receive a microloan at one time;but not until these two borrowers begin to pay back the principal plus interest can the other members become eligible for their own loans.The average interest rate is 16 percent,and the repayment rate is an unprecedented 98 percent,which is attributed to group pressure,empowerment,and motivation.The loans are tiny-typically enough to buy a goat,tools,or a small piece of machinery that can be used to produce new sources of income.

Why is access to capital an increasing challenge for social entrepreneurs?

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The primary difference between traditional ventures and social purpose ventures is the primary market impact.

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The Grameen Bank in Bangladesh offers:

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Venture philanthropists have a close,hands-on relationship with social entrepreneurs and the ventures they support,driving innovative and scalable models of social change.This refers to the _____ characteristic of venture philanthropy.

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According to the Timmons Model of the entrepreneurial process,the brain trust aspect of the team is especially important because:

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What are the two types of enterprising nonprofits and how do they differ?

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What is true of enterprising nonprofits pursuing earned-income activities?

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Solutions to wicked problems are not right or wrong.

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What are a few pressing social problems that could provide opportunity spaces for social entrepreneurs?

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Why are corporate social responsibility (CSR)practices not considered examples of hybrid models of social entrepreneurship?

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Unlike tame problems,wicked problems do not have a predetermined ____,so a social entrepreneur is forced to make rational choices based on a rigorous evaluation of trade-offs.

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_____ is a type of social venture capital that stipulates that a certain percentage of funds will be invested in socially responsible businesses related to a venture's target investment area.

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By definition,any form of entrepreneurship is called social enterprising.

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_____ is derived from entrepreneurial activities that seek to address problems related to people and problems related to the planet-regardless of profit orientation.

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Enterprising nonprofits may incorporate outside investment,in the form of ____,to scale the organization for increased social impact.

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Muhammad Yunus revolutionized the banking industry in the late 1970s by offering microloans to the poorest of the poor with heavy collateral.

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A social entrepreneur must accept that a wicked problem is never fully solved,and the solution is not likely to meet all expectations.

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According to the Timmons Model of the entrepreneurial process,the _____ aspect of a team refers to the external stakeholders.

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Corporate social responsibility (CSR),which emphasizes doing good and serving communities while still making a profit,provides good examples of hybrid models of social entrepreneurship.

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