Session 16: March 1, 2006 (not in 2007)

Social Entrepreneurship

Quote of the Day

"Man does not live by bread alone"  ~ The Bible

Summary

Entrepreneurs have a spirit and skills that are effective at changing things. They may choose to change products, or industries, or society. Their talents are not limited to bottom line enterprises; they are every bit as effective pursing broader missions without consideration for profits. John Doerr and Brook Byers founded New Schools to harness the power of entrepreneurship to change education in America. In the process they found themselves on the hairy edge of difficult cultural and strategic challenges. In this case we will see how Kim Smith, CEO of New Schools, wrestles with the challenges of investing and guiding social ventures.

Required Readings (Policy on Required Readings.)

• Readings from the Textbooks:
• Technology Ventures (Dorf and Byers): Sections 7.4 and 8.2
• Case:
• New Schools Venture Fund (in course reader)
• Articles to read:
  • Capitalizing on Convergence - Stanford Social Innovation Review
• The Meaning of Social Entrepreneurship - J. Gregory Dees
• Venture Capitalists are Investing in Education Reform - (NYT article link).
• The Rise of the Social Entrepreneur - (Economist article link)
• Watch the following short video clips:
• Vinod Khosla (KPCB) - Social Entrepreneurship
• Debra Dunn (HP) - Skills for Social Entrepreneurship
• Kavita Ramdas (Global Fund for Women) - Examples of social entrepreneurs
• John Doerr (KPCB) - The Impact of Social Entrepreneurism
• Kim Smith (NewSchools Venture Fund) - Focus
• Kim Smith (NewSchools Venture Fund) - Scalability and Sustainability in the Non-Profit Sector

Study Questions (Policy on Study Questions.)

• What are the elements of entrepreneurship which are common to for-profit and non-profit ventures? What elements are unique to each? Consider the models of entrepreneurship and the lessons we have discussed over the last 15 sessions and their applicability to social entrepreneurship. Where do they apply and where don't they?
• In a for-profit venture who is the judge of the value created? Who is the judge in the case of a non-profit venture? How is "business discipline" imposed on the social entrepreneurship process?
• How does New Schools differ from a typical Venture Capital Firm? How is it the same?
• How does New Schools decide whether to invest in a for-profit or not-for-profit venture? Are the criteria the same? Different? Why?

Note there is no email assignment to submit. But please make sure to come prepared to class to engage in class discussion.

 

OAP Assignment (Policy on Online Assignments.)

See OAP project page.