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IREX Social Enterprise IREX Social Enterprise Development Development

Familiarization Training Familiarization Training

Gbanga, Liberia May 13th – 17th

Kim Alter Virtue Ventures LLC

Part ThreePart Three

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Who is the social enterprise Who is the social enterprise customer? customer?

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Social Enterprise “Customers” Can Be Social Enterprise “Customers” Can Be Confusing!Confusing!

• Social Organization Beneficiaries and Clients

People (defined group) Community Environment

• Social Enterprise Clients Customers Beneficiaries Staff Board members/Trustees

• Other stakeholders Donors Public Community

SKOLL CENTRE FOR SOCIAL ENTREPRENEURSHIP

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Key DistinctionsKey Distinctions• Enterprise Customer

Target market are those buying social enterprise products and services

Want benefits• Social Customer

Clients and/or “beneficiaries” are recipients of organization’s social services, social enterprise benefits and social impact

Want impact• Community, Public, Environment

Recipient of active or passive impact of the enterprise

May be client, beneficiary or customer Wants non negative impact/positive impact

SKOLL CENTRE FOR SOCIAL ENTREPRENEURSHIP

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Clients and Clients and Beneficiaries Beneficiaries • Active: Client

Employee Owner Customer Supplier Producer Contractor

• Passive: Beneficiaries Welfare or service service recipient (people,

communities, the environment)

• What value does the enterprise offer its clients and beneficiaries?

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CustomersCustomers• Who are they? What are their wants?

Clients – payers and users of social services

Third party payers -donors, insurance, government, families, etc.

General public Government - Contracts and privatization Business - Private business or NGOs Community – local or global

• What value does the product/service offer enterprise customers?

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Customer levels Customer levels

User Purchaser InfluencerClinical services (indigent)

Patients Donors Government

Eldercare Seniors Clients’ children

Competitors

Child health Children Parents ParentsCompetitors

Pharmacy Patients Insurance Regulatory/legal

Laboratory services

Public & private Clinics

StateClinic/

insurance

Government policy

Competitors

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Customer/Client InterfaceCustomer/Client Interface

Social     Enterprise  

Client Worker

MarketClient Producer

ClientBeneficiary

Client Consumer

Client Community

Environment Public

Client Social CriteriaClient Social CriteriaBusiness Venture Idea Evaluation Form

Venture Idea(Rate according to ability to fulfill criteria)

(Definitely will not meet criteria) (Definitely will meet criteria)

CriteriaJanitorialServices

AssemblyBusiness

LaundryServices

Restaurant CommercialCopy

CommercialBakery

Range of skill requirements –mostly low skill jobs

+2 +1 +2 +1 +2 0

Range of full time and parttime jobs – mostly part time

+2 +2 +2 +2 +2 0

Variety of tasks +2 0 +1 +2 +1 +2

High proportion of repetitive,predictable tasks

+2 +2 +2 -1 +2 +1

Environment that managementcan control

+2 +2 +2 -1 +2 +1

Daylight-hours jobs +1 +2 +2 0 +1 0

Monday through Saturday +1 +2 +1 0 +1 +1

Organized as supervisedteam/crew work

+2 +2 +2 0 +2 0

Room for quality checks andcontrols – time to correct formistakes

+2 +1 +1 -2 +1 0

Minimal deadline stress +2 0 +1 -2 0 0

Minimal seasonal layoffs +2 0 +1 0 +1 -1

Leads to living wage work +2 0 +1 0 +1 +2

Total Score: +22 +14 +18 -1 +16 +6

-2 -1 +10 +2

Profile• Demographics

Economically active Weak social ties Vulnerable

Few assets Inability to repay

• Psychographics Transient Risk adverse Extra burdens

• Geographic Refugee camps Poor or degraded

market & infrastructure

Financial Services • Grants and training

before loans• Monitoring• Mentoring• Certificates – credit

rating• Support to start up

micro-businesses• Transparent processes• Continue service• Branding

Client Criteria: Refugee Client Criteria: Refugee ExampleExample

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Customers buy BenefitsCustomers buy Benefits

Features Benefits Features BenefitsHigh in protein Good nutrition Working capital

loansVehicle to grow business

Slightly sweet flavor

Kids love it; easy for parents

Weekly repayment

Easy to pay back

100% natural Peace of mind Collateral free AccessExpiration date Guaranteed

Freshness Solidarity groups

Peer support

Plastic container

Convenient reusable

Short loan cycles

Lower risk

Produced by low income Haitians

Feels good; make a difference

Easy application

Low stress

TOLPA PB Microfinance