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The key for success in the value chain of a social entrepreneur in Vietnam

Minh Ngoc Do

Abstract: Purpose: This paper intends to analyze a social enterprise as a case example of fulfilling social missions and achieving financial profitability at the same time. This paper aims to illustrate a business partnership that helps to bridge the gap in business and employment opportunities between megacities and suburban areas and examine value-creating activities that generate healthy income stream for the business. Design/methodology/approach: This paper follows a quantitative methodology in the form of case study. The data are collected through interviews, personal observation and document analysis; direct quotes from interviewees are used to describe the phenomenon. Value chain framework is adopted to analyze company activities and deduce key success factors as well as value creations of the company. Findings: The case demonstrates that social enterprises can be self-sustained financially, which would help them to better fulfill their social missions. Financial profitability can be achieved through good management of production, marketing and sales activities. Besides, value creation achieved through activities in the value chain is not only for customers but also for suppliers – a beneficiary within the social impact created by the case company. Practical implications: The case demonstrates the necessity of establishing strong alliance with suppliers and customers in ensuring business success, which implies that leaders need to equip themselves with good business skills. Entrepreneurship support should include educational and training assistance besides the usual legal and financial support. Social implications: The case provides an exemplary partnership model that helps social enterprises to achieve financial security and social mission at the same time. This model can be applied anywhere in the world to create benefits for vulnerable communities. Originality/value: The case study contributes to the limited understanding of social entrepreneurship in Vietnam, and demonstrates a social innovation in business partnership that helps to diminish the inequality of income and employment opportunities between suburban areas and big cities.
Keywords: Social entrepreneurship / Value chain / Cooperatives

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