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Lesson 5 of 5Leadership, Projects and Technology
Unit 4 · Lesson 5 of 5

How Entrepreneurs Make a Difference

Entrepreneurs from many communities tackle social, economic, environmental and ethical issues, and although they face challenges like money, networks, bias and internet access, supports such as mentors, loans, grants and business organizations can help.

4 min read1 quick check8 practice questionsAsk AI about this →

Key things to remember

  1. 1Ventures can address social, economic, environmental and ethical issues.
  2. 2A social enterprise sells products or services mainly to help solve a social or environmental problem.
  3. 3First Nations, Métis and Inuit are three distinct Indigenous peoples in Canada.
  4. 4Common challenges: money, networks, bias, internet access and experience.
  5. 5A loan is repaid with interest; a grant is not repaid; a mentor gives advice and support.

Entrepreneurs do more than make money. A new business can create local jobs, cut waste, make life easier for people with disabilities, or carry a culture forward. Entrepreneurs come from every community: big cities and small towns, newcomers and families who have lived here for generations, and First Nations, Métis and Inuit communities. This lesson looks at how ventures make a difference, who has made a difference, and what helps or holds entrepreneurs back.

Four kinds of issues ventures tackle

Measure success three waysPeoplePlanetProfitsustainablebusinessCSR: a businesstakes responsibilityfor its effects onall threePeoplesocialFair wages and a safeworkplaceVolunteer in the communityAccessible products andspacesTreat customers honestlyPlanetenvironmentalCut packaging and wasteUse less energy, orrenewable energyRecycle and reusematerialsBuy local to cut shippingProfiteconomicCharge fair pricesKeep honest records andpay taxesReinvest to growPlan for the long term
Fig 1The triple bottom line: a sustainable business looks after people, planet and profit at the same time.
Type of issueWhat it meansVenture example (hypothetical)
SocialHelping people and communities.A café that trains and hires youth who are looking for their first job.
EconomicMoney, jobs and local spending.A repair shop that hires local workers and buys from local suppliers.
EnvironmentalProtecting nature and cutting waste.A shop that sells shampoo bars with no plastic bottles.
EthicalDoing what is fair and honest.A clothing brand that pays fair wages and tells customers where its fabric comes from.

A social enterprise is a business whose main purpose is to help solve a social or environmental problem. It still sells things and tries to make a profit, but it uses much of that profit for its cause. Accessibility means making products, places and services easy for everyone to use, including people with disabilities, for example a website that works with a screen reader or a shop with a ramp.

VideoWatch how the triple bottom line asks a business to care about people and the planet as well as profit, the same idea as the figure in this section.Watch on YouTube

Entrepreneurs from many communities

CauseKind of changeEffects onEntrepreneurspots a needand takes therisk to actNew productse.g. a reusable lunch kit or anew appNew methods of productione.g. 3D printing parts,automated packingNew ways of doing businesse.g. online ordering,subscriptions, delivery appsWorkersnew jobs and new skills; someold jobs change or disappearConsumersmore choice, better quality,often lower pricesCommunitieslocal jobs, leaders and rolemodels, sponsorships andscholarships
Fig 2Entrepreneurs act as agents of change: new products, new methods and new ways of doing business affect workers, consumers and communities.
Entrepreneur or ventureCommunityContribution
Sean McCormick, founder of Manitobah MukluksMétis, Winnipeg, ManitobaBuilt a footwear company that makes mukluks and moccasins inspired by traditional Indigenous designs.
Ron Foxcroft, Fox 40 whistleHamilton, OntarioA basketball referee who developed a whistle with no pea inside, so there is no pea to jam or stick.
ShopifyOttawa, OntarioCreated an online platform that lets small businesses set up their own online stores.
Muhammad Yunus, Grameen BankBangladesh (global)Started giving very small loans (microloans) to people too poor to get a regular bank loan. He and the bank shared the 2006 Nobel Peace Prize.
Inuit art co-operativesInuit communities in the NorthCommunity-owned co-operatives help Inuit artists sell carvings and prints, keeping money in their communities.
Real examples, kept to well-known facts. Local examples can come from your own town.
Three distinct peoples
First Nations, Métis and Inuit are three distinct groups of Indigenous peoples in Canada, each with its own cultures, languages and histories. Indigenous entrepreneurs often build businesses that strengthen their communities and share their cultures on their own terms.

Challenges entrepreneurs face

ChallengeWhy it is hardSupport that can help
MoneyIt is hard to get a loan without savings, a credit history or something to back the loan.Small business loans and grants, including programs for youth and Indigenous entrepreneurs.
NetworksWithout contacts, it is hard to find customers, suppliers or advice.Mentors, business clubs, local chambers of commerce, networking events.
BiasSome people are treated unfairly because of their age, gender, race or background.Business organizations for women, newcomers, youth and Indigenous entrepreneurs; mentors who speak up.
Internet accessIn some remote and northern communities, internet can be slow or very expensive, making online selling hard.Community internet projects, shared business centres, selling through co-operatives.
ExperienceFirst-time owners do not know what they do not know.Free workshops, youth business programs, library and online courses.

Supports that help entrepreneurs succeed

  • Mentor: an experienced person who gives advice and encouragement, often for free.
  • Loan: money you borrow and must pay back, usually with interest.
  • Grant: money given for a purpose that you do not pay back, but you must meet its conditions.
  • Youth entrepreneurship programs: help students and young adults start summer or small businesses.
  • Indigenous business organizations: offer advice, networks and funding for First Nations, Métis and Inuit entrepreneurs.
  • Local supports: libraries, community centres and small business centres often offer free help.
Quick checkTry it before you read on
1
What is the key difference between a loan and a grant?

Worked examples

Reveal one step at a time and try to beat it to the next line.

Example 1
A hypothetical student venture, Second Spin, collects used bikes, fixes them with help from volunteers, and sells them cheaply to families. It hires two local teens each summer. Which kinds of issues does it address?
Example 2
Kaya lives in a remote northern community. She makes beaded earrings and wants to sell them, but her internet is slow and she does not know anyone in business. Match each challenge to a support.
Example 3
Explain how the Fox 40 whistle shows an entrepreneur acting as an agent of change.

Where marks get lost

  • Thinking a social enterprise cannot make a profit. It can and often must; it just uses the profit for its cause.
  • Treating First Nations, Métis and Inuit as one group. They are three distinct peoples with their own cultures.
  • Mixing up a loan and a grant. A loan must be paid back; a grant does not, if you meet its conditions.
  • Believing every entrepreneur has the same chances. Money, networks, bias and internet access are not equal for everyone.
  • Calling a business "eco-friendly" without evidence. A claim about helping the environment must be true and specific.

Flashcards 7

Social enterprise
Ethical issue
Accessibility
Mentor
+ 3 more

Practice

1
Match each venture action to the type of issue it addresses.
Selling shampoo bars with no plastic bottle
Hiring local youth for their first job
Buying from local suppliers to keep money nearby
Telling customers truthfully where products are made
2
Which best describes a social enterprise?
3
Sean McCormick, who founded Manitobah Mukluks in Winnipeg, is...
4
What makes the Fox 40 whistle different from a regular referee's whistle?
5
Match each challenge to a support that helps.
No money to buy supplies
No one to ask for advice
Slow internet in a remote community
Never run a business before
6
What do we call money given to a business for a purpose that does not have to be paid back?
7
Why might an entrepreneur in a remote northern community find online selling harder?
8
Muhammad Yunus and Grameen Bank are known for...

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