Social Entrepreneurship as a Catalyst for Sustainable Development: Trends, Challenges, and Policy Implications —A Review
Abstract
Despite extensive global commitments to the Sustainable Development Goals (SDGs), recent reports indicate that only about 17% of the targets are currently on track, signalling severe gaps in poverty alleviation, social inclusion, climate action, and equitable economic growth. Conventional state-led programs and profit-centric markets have struggled to deliver integrated and lasting solutions, particularly in vulnerable communities. This persistent gap has intensified the search for innovative, hybrid models, positioning Social Entrepreneurship (SE) as a potential catalyst capable of aligning social missions with entrepreneurial strategies to accelerate sustainable development. The primary objective of this review is to critically analyze recent literature (2020–2025) to identify the trends, enabling factors, challenges, and policy implications shaping SE’s role in driving sustainable development outcomes. A synthesis of several studies reveals compelling evidence of SE’s transformative impact: initiatives increased women’s employment by 37%, reduced community waste streams by 35–45%, delivered 2.5 million solar home systems to over 20 million underserved people, and achieved 2.4× higher capital access when supported by legal recognition and policy instruments. Core enabling factors identified include finance access, capacity building, policy support, technological innovation, and impact measurement systems.
This review is significant as it consolidates fragmented findings into a coherent framework, offering actionable insights for policymakers, practitioners, and researchers. It demonstrates that well-supported Social Entrepreneurship (SE) ecosystems can bridge systemic gaps left by traditional approaches, making this review a timely and essential contribution for accelerating progress toward the SDGs.
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