BDU IR

Social Enterprise in Ethiopia: Analysis of the Policy and Regulatory Environment

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dc.contributor.author Tajeb, Getaneh
dc.date.accessioned 2018-09-25T02:33:58Z
dc.date.available 2018-09-25T02:33:58Z
dc.date.issued 2018-09-25
dc.identifier.uri http://hdl.handle.net/123456789/8966
dc.description.abstract Traditionally, private entities were dichotomized as for-profit and NPOs with the purpose of profit and social maximization respectively. Recently, however, both social and profit maximizations begin to be done in a single entity. Investors undertake a business with the primary goal of solving the social, environmental, economic and cultural (SEEC) problems of the community by receiving a limited amount of profit. Such type of investors are called social entrepreneurs and their business is named as social enterprise. Social enterprise blends the profit and social mission in a single entity. Though they principally drive their income from their business, they also receive donor-funded grants and government subsidies. This type of businesses are operating in Ethiopia currently. Investors are undertaking a commercial activity primarily to address SEEC problems of the community and, incidentally, to receive some profit. To this end, they collect their funds from equity investments, contributions, business profits and donations. Though the sector is flourishing, there is no a special policy and regulatory framework in Ethiopia designed for social enterprise. They are, rather, treated and regulated as an ordinary for-profit business through the existing business legal regimes of Ethiopia. The purpose of this study is, therefore, to examine whether Ethiopia needs to come up with a special policy and regulatory framework for social enterprise. In doing so, the researcher, first, identifies factors necessitate to frame special policy support for social enterprise in Ethiopia. The researcher argued that there is a need to give special policy support for social enterprises. Specifically, it is argued that the existence of sever SEEC problems in the country and potentiality of social enterprise to address them, and the practical challenges that social enterprises face due to the absence of special policy supports necessitate to frame special policy framework for social enterprise in Ethiopia. The researcher also identifies the unique regulatory concerns of social enterprises that a social enterprise regulation needs to address. Following that, a detail assessment is made whether the existing business laws of Ethiopia fit to address the unique concerns of social enterprise. The researcher argued that the existing legal regimes of for-profit business is not suitable to regulate the concern of social enterprise. Finally, the researcher recommends for the government to come up with a special policy and regulatory framework for social enterprise. en_US
dc.language.iso en_US en_US
dc.subject law en_US
dc.title Social Enterprise in Ethiopia: Analysis of the Policy and Regulatory Environment en_US
dc.type Thesis en_US


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