Social entrepreneurship in the development of ecologically oriented economy of Ukraine

Pohrishchuk Borys
Doctor of Economics, Professor, Director of Vinnytsia Educational and Scientific Institute of Economics of the West Ukrainian National University, Ukraine, e-mail: pohrishchuk70@gmail.com, ORCID ID: https://orcid.org/0000-0001-6974-1083

Melnyk Victoriia
Doctor of Economics, Professor of Economics, Accounting and Taxation Department, Vinnytsia Educational and Scientific Institute of Economics of the West Ukrainian National University, Ukraine, e-mail: melnyk.vc@gmail.com, ORCID ID: https://orcid.org/0000-0002-8587-1192

Trachuk Oleksandr
Роstgraduate student of the Marketing Department, West Ukrainian National University, Ukraine, e-mail: oleksandrtrachuk2023@ukr.net, ORCID ID: https://orcid.org/0009-0000-2869-8728

Cite this article:

Pohrishchuk, B., Melnyk, V., & Trachuk, O. (2023). Social entrepreneurship in the development of ecologically oriented economy of Ukraine [Sotsialne pidpryiemnytstvo v rozvytku ekolohoorientovanoi ekonomiky Ukrainy], Socio-economic research bulletin; Vìsnik socìal’no-ekonomìčnih doslìdžen’ (ISSN 2313-4569), Odessa National Economic University, Odessa, No. 3-4 (86-87), pp. 48-58.

Abstract

The article investigates the concept of social entrepreneurship in the development of an environmentally-oriented economy through the disclosure of the essence, characteristics, organizational aspects of the development of social entrepreneurship and the determination of the impact of social entrepreneurship on solving issues of socio-economic development and greening of production. In the conditions of a full-scale war, resource limitations and ecological cataclysms, slowing down of economic growth and growing demands for business socialization, scientific searches for a balance between economic, ecological and social effects and ensuring the formation of regulatory mechanisms are particularly relevant. The theoretical and methodological basis of the research is a system-complex method of learning and the use of such techniques and methods as: monographic, historical, logical, analytical, comparative, constructive, generalization. The authors differentiated the functional types of ecologically oriented enterprises according to the areas of activity and proposed key aspects of strategic planning and the involvement of financial resources in the activities of social enterprises. It was determined that social entrepreneurship is a catalyst for the creation of a powerful resource of professional development and personal recovery, where the ecologically oriented direction is the most system-providing in solving the strategic tasks of human life. The main sources of financial support for social entrepreneurship are defined as: investments from founders, credit resources, profit from entrepreneurial activity, domestic and international grants, public funding, non-material assistance of partners, networking, subsidizing and other sources. Based on the results of the research, a set of organizational measures for the functioning of social entrepreneurship was formed regarding: improvement of regulatory and legal support; strengthening partnership relations between government and business; attraction of investment resources; providing access to markets; scaling up service delivery and increasing social responsibility. It was determined that it is advisable to develop the environmental activities of social enterprises in such directions as: environmental education, innovative activities, production of environmentally safe products and provision of services, resource conservation, energy efficiency. It has been proven that at the level of strategic planning of social entrepreneurship, it is necessary to implement a number of tasks related to the formation of the mission and goals of the activity; obtaining education in the field of ecological and economic development, increasing the professional level of employees; study of practical experience of social entrepreneurship; integration, finding like-minded people to realize common goals, creating new products and promoting innovations, as well as support from the state, specialized business organizations, accelerators, and the community.

Keywords

social entrepreneurship; social responsibility; social business; ecologically oriented economy; investment support; financial resources; sustainable development.

JEL classification:А130; М210; О130; DOI:https://doi.org/10.33987/vsed.3-4(86-87).2023.48-58

UD classification: 316.334.22: 330.15

This work is licensed under a Creative Commons Attribution 4.0 International License. To view a copy of this license, visit http://creativecommons.org/licenses/by/4.0/

References

1. Smachylo, V. V., & Khalina, V. Yu. (2017). Social entrepreneurship as a progressive direction of the European integration development of Ukraine [Sotsialne pidpryiemnytstvo yak prohresyvnyi napriam yevrointehratsionoho rozvytku Ukrainy], Ekonomiko-pravovi aspekty derzhavno-pryvatnoho partnerstva v umovakh detsentralizatsii ekonomiky Ukrainy: materialy Vseukrainskoi naukovo-praktychnoi internet-konf. molodykh uchenykh i studentiv. Kharkivskoho natsionalnoho universytetu miskoho hospodarstva im. O. M. Beketova, Kharkiv, 1-28 liutoho 2017 r., s. 24–26. Retrieved from: [in Ukrainian]
2. Levchuk, N. (2023). Trend or necessity? Why Ukraine needs social entrepreneurship [Trend chy neobkhidnist? Chomu Ukraini potribne sotsialne pidpryiemnytstvo], Іnternet-vydannia «Vector»: sait. Retrieved from: https://vctr.media/ua/trend-chi-neobhidnist-shho-prihovuye-za-soboyu-soczialne-pidpriyemnicztv-184643 [in Ukrainian]
3. Luhovenko, N. V., & Kovalenko, N. V. (2020). Social enterprises as a tool of dialogue between the state and society [Sotsialni pidpryiemstva yak instrument dialohu derzhavy i suspilstva], Infrastruktura rynkhu, Vyp. 42, s. 187–192. DOI: https://doi.org/10.32843/ infrastruct42-32 [in Ukrainian]
4. Pylypenko, N. M., & Karpets, О. V. (2021). Theoretical aspects of social entrepreneurship in modern conditions [Teoretychni aspekty sotsialnoho pidpryiemnytstva v sychasnykh umovakh], Efektyvna ekonomika, No. 3. DOI:10.32702/2307-2105-2021.3.87 [in Ukrainian]
5. Davydovska, H. I. (2016). Problems of social entrepreneurship in Ukraine [Problemy sotsialnoho pidpryiemnytstva v Ukraini], Naukovyi visnyk Uzhhorodskoho natsionalnoho universytetu, Vyp. 7, Ch. 1, s. 106109 [in Ukrainian]
6. Sherhina, L. A., Notevskyi, Ye. V., & Zhemba, A. Y. (2018). Social entrepreneurship in the context of sustainable development [Sotsialne pidpryiemnytstvo v konteksti staloho rozvytku], Visnyk Khmelnytskoho natsionalnoho universytetu, No. 3, T. 2, s. 160165 [in Ukrainian]
7. Mykhalchuk, L. V., & Bendyuh, Ye. S. (2021). Methods of attracting financial resources for the development of social entrepreneurship [Metody zaluchennia finansovykh resursiv dlia rozvytku sotsialnoho pidpryiemnytstva], Ekonomika ta suspilstvo, Vyp. 32. DOI: https://doi.org/10.32782/2524-0072/2021-32-56 [in Ukrainian]
8. Romanovska, A. V., & Velychko, V. V. (2021). Socially oriented business as an aspect of sustainable development of the territory [Sotsialno-orientovanyi biznes yak aspekt staloho rozvytku terytorii], Perspektyvy rozvytku terytorii: teoriia i praktyka: materialy V Mizhnarodnoi naukovo-praktychnoi konferentsii zdobuvachiv vyshchoi osvity i molodykh uchenykh, Harkiv, 18–19 lystopada 2021 r., s. 225–228. Retrieved from: http://eprints.kname.edu.ua/60737/1/РМВ_2021-225-228.pdf [in Ukrainian]
9. Khvesyk, M. A., Ilyina, M. V., & Shpylova, Yu. B. (2019). Socio-ecological imperatives for the development of rural territorial communities: monograph [Sotsio-ekolohichni imperatyvy rozvytku silskykh terytorialnykh hromad: monohrafiia], Derzhavna ustanova «Instytut ekonomiky pryrodokorystuvania ta staloho rozvytku Natsionalnoi akademii nauk Ukrainy», Kyiv, 302 s.
10. Lunkina, T. I. (2021). The mechanism of social responsibility formation of the agrarian sector subjects of the economy [Mechanism formuvannia sotsialnoi vidpovidalnosti subiektiv ahrarnoho sektora ekonomiky], Modern Economics, No. 29, s. 115120. DOI: https://doi.org/10.31521/modecon.V29(2021)-18 [in Ukrainian]
11. Mishenin, Ye. V., Koblyanska, I. I., Ustik, T. V., & Yarova, I. Ye. (eds) (2013). Ecologically oriented logistics management of production: monograph [Ekolohooriientovane lohistychne upravlinnia vyrobnytstvom: monohrafiia; za red. Ye. V. Mishenina], Drukarskyi dim «Papirus», Sumy, 248 s. [in Ukrainian]
12. Chuyko, O. V., & Shkuro, V. P. (2020). Environmentally oriented social entrepreneurship in the community [Ekolohooriientovane sotsialne pidpryiemnytstvo u hromadi], Portal «Social Business In UA». Retrieved from: https://socialbusiness.in.ua/knowledge_base/ekoloho-oriientovane-sotsial-ne-pidpryiemnytstvo-u-hromadi [in Ukrainian]
13. Development of social entrepreneurship in Ukraine and its role in the reintegration of Donbass: analytical note (2019) [Rozvytok sotsialnoho pidpryiemnytstva v Ukraini ta yoho rol u reintehratsii Donbasu: analitychna zapyska], Natsionalnyi instytut stratehichnykh doslidzhen: sait. Retrieved from: https://niss.gov.ua/sites/default/files/2019-01/111Zapiska-Hodgson-Sots-p_dpri_mnitstvo-zatverdzhene-4cef0.pdf [in Ukrainian]
14. About social services: Law of Ukraine, No. 2671-VIII, 17.01.2019 [Pro sotsialni posluhy: Zakon Ukrainy, No. 2671-VIII, 17.01.2019]. Retrieved from: https://zakon.rada.gov.ua/ laws/show/2671-19#Text [in Ukrainian]
15. Nazaruk, V. (2015). While social entrepreneurs in Ukraine cannot compete for resources with business [Poky sotsialni pidpryiemtsi v Ukraini ne mozhut konkuruvaty za resursy z biznesom], Portal «HURT». Retrieved from: http://www.gurt.org.ua/interviews/29086 [in Ukrainian]