Powerful ideas from top nonfiction
Try Blinkist to get the key ideas from 5,500+ bestselling nonfiction titles and podcasts. Listen or read in just 15 minutes.
Start your free trial
Blink 3 of 8 - The 5 AM Club
by Robin Sharma
Listen to the Intro
Building Social Business summary
Muhammad Yunus
The New Kind of Capitalism that Serves Humanity’s Most Pressing Needs
11 mins
What is Building Social Business about?
Building Social Business (2010) is a guide to social businesses, that is, companies that do good. These blinks explain everything you need to know about what social businesses are, how they work and what you need to start your own – and start changing the world for the better.
Table of Contents
Building Social Business
summarized in 5 key ideas
Audio & text in the Blinkist app
Key idea 1 of 5
There’s a different way to do business that’s about solving society’s problems rather than getting rich.
You’ve likely already heard of the term “social business”, but what does it really mean?
Fundamentally, a social business isn’t based solely on its bottom line. Most businesses, private ones in particular, are all about maximizing profit; on the other side of the coin are nonprofits that rely primarily on philanthropic donations. But a social business is distinct from both.
The primary aim of a social business is to solve social, economic or environmental problems. To accomplish this goal, such businesses employ regular business methods like the production and sale of a product or service that makes the venture self-sustaining.
For instance, Grameen Danone makes and sells affordable yogurt products loaded with micronutrients, and their overriding goal is to combat malnutrition among children in Bangladesh.
But it’s not quite that simple. In fact, there are two forms of social business: Type I and Type II. A Type I social business produces profits but does not dispense dividends – that is, they don’t regularly pay out a percentage of their profits to the company’s owners.
So, while Type I social businesses are still owned by investors, all the profits are reinvested in the company, resulting in neither a gain nor a loss for the investors. Grameen Danone is an example of one such Type I social business, as they operate without dividends.
On the other hand, a Type II social business operates like a typical for-profit company. However, unlike a Type I social business, it is owned by poor people rather than wealthy investors. As a result, the profits of the business go directly to low-income people and, therefore, serve a social function – namely the alleviation of poverty.
For example, the Grameen Bank is a Type II social business. It’s owned by the poor of Bangladesh and provides loans to low-income citizens.
Want to see all full key ideas from Building Social Business?
Key ideas in Building Social Business
More knowledge in less time
Read or listen
Get the key ideas from nonfiction bestsellers in minutes, not hours.
Find your next read
Get book lists curated by experts and personalized recommendations.
Shortcasts New
We’ve teamed up with podcast creators to bring you key insights from podcasts.
Who should read Building Social Business?
- Owners of for-profit companies interested in making a positive social impact through their business
- Students of social sciences and business administration
- Politicians and civil servants looking for ways to make the world a better place
Categories with Building Social Business
Books like Building Social Business
People ❤️ Blinkist
Sven O.
It's highly addictive to get core insights on personally relevant topics without repetition or triviality. Added to that the apps ability to suggest kindred interests opens up a foundation of knowledge.
Thi Viet Quynh N.
Great app. Good selection of book summaries you can read or listen to while commuting. Instead of scrolling through your social media news feed, this is a much better way to spend your spare time in my opinion.
Jonathan A.
Life changing. The concept of being able to grasp a book's main point in such a short time truly opens multiple opportunities to grow every area of your life at a faster rate.
Renee D.
Great app. Addicting. Perfect for wait times, morning coffee, evening before bed. Extremely well written, thorough, easy to use.
People also liked
Start growing with Blinkist now
26 Million
Downloads on all platforms
4.7 Stars
Average ratings on iOS and Google Play
91%
Of Blinkist members create a better reading habit*
*Based on survey data from Blinkist customers