A Look at Three Models of Philanthro-Capitalism
Tuesday, May 3, 2011
A market based approach to philanthropy, with one eye firmly on the bottom line, can be an effective way for entrepreneurs to meet their social goals. take a close look at three such models of philanthro-capitalism.
Five years ago, Google placed ’for-profit philanthropy’ on centrestage when it created a division to tackle issues like climate control, poverty and emerging diseases. The founders of Google, who kicked off the philanthropy with $1 billion in seed money, felt a for-profit motive would give the charity more flexibility in areas like funding start-ups and attracting venture capital.
Back home, a clutch of dyed-in-the-wool industrialists is working on similar lines in social businesses. K Anji Reddy has a project to provide villagers with pure drinking water. Ajay Piramal too has a similar venture, along with a low-cost healthcare delivery model and a rural BPO. All these are for-profit ventures, though that does not make profits an imperative