14 - Social entrepreneurship: a blueprint for humane organizations?

Summary

Introduction

“Business as usual” has come under intense scrutiny. Public outrage over crooked corporate officers, the looting of pension funds, the defrauding of stockholders, and the wholesale firings of hardworking employees has reached a new high (see e.g. Jackson and Nelson 2004; Pirson 2007). Not only the anti-globalization movement of the far left but also more traditional thinkers and the public are increasingly uncomfortable with corporate power and influence. In September 2000 (even before Enron's collapse), over 70 percent of Americans surveyed said that business had too much power over too many aspects of their lives and too much political influence. Only 4 percent agreed that companies should have only one purpose, namely to make the most profit for shareholders. Ninety-five percent agreed that American corporations should have more than one purpose and, additionally, that they owe something to their workers and the communities in which they operate (Bernstein 2000; Paine 2003). International surveys on trust in corporations also demonstrate that trust in big business continues to decrease. According to GlobeScan (World Economic Forum 2006), in 2006, trust in multinational and global companies reached its all-time low. In the eyes of bestselling author William Greider (2003), the avatars of capitalism are meeting deeply rooted anger and are blamed for the erosion of family life, the decreased sense of personal and professional security, corroded communities, impoverished spiritual lives, and a devastated natural environment. Overall, the criticism leveled at current capitalism is that it fails to be life-conducive.