Determinants of Social Entrepreneurship in Ukraine

Abstract

The high importance of social entrepreneurship for the development of national and regional economies is widely recognized. This article contributes to the emerging theoretical discourse of social entrepreneurship by explicating the representatives of different schools. Social entrepreneurship occupies a third sector between the private sector of the economy and the non-profit sector as it aims to solve social problems. Social entrepreneurship functions as an organization that self-sustains at the expense of the innovative organization of its core business. The main characteristics of social entrepreneurship are the following: the achievement of socially important goals or activities to benefit socially vulnerable groups; financial sustainability and self-sustainability; performing functions of social change agents through innovative ideas and entrepreneurial methods. The article suggests holistic approaches to entrepreneurship research based on entrepreneur-associated factors, characteristics of the political and legal environment. These determinants can have direct or indirect influences on entrepreneurial processes mandatory for the development of social entrepreneurship. To determine the strengths and weaknesses of the development of social entrepreneurship in Ukraine, as well as its opportunities and threats, the SWOT analysis was carried out. The actions required to improve the current state of social entrepreneurship were justified. The detection of threats and opportunities has made it possible to identify priorities for the development of social entrepreneurship in Ukraine, taking into account existing risks