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Social entrepreneurship differs from other forms of entrepreneurship in that it gives higher priority to ______.

A. social value creation
B. value capture
C. investors
D. assets

1 Answer

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Final answer:

Social entrepreneurship is distinctive due to its focus on creating social value rather than prioritizing financial gain. Social entrepreneurs measure success by the impact they have on society and the social benefits they deliver.

Step-by-step explanation:

Social entrepreneurship differs from conventional entrepreneurship in that its main goal is to address social problems through innovative solutions. The priority for social entrepreneurs is not primarily financial gain. Instead, they aim to create a positive impact in the community or environment. Therefore, the answer is A. social value creation.

Entrepreneurs play a significant role in combining the factors of production to generate products and services. They bring innovation and willingness to risks that are essential in both commercial and social entrepreneurship. However, social entrepreneurs are distinct in that they seek to balance profit to generate a positive return to society, measuring success in terms of social benefits.

Investing in human capital, such as education, is an example of a decision that has both private and social benefits. Similar to social entrepreneurship, the outcomes are not purely financial but are measured in terms of improved productivity and societal value. This aligns with the ethos of social entrepreneurship, which values the long-term social impact over immediate financial returns.

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