Strategy Development Process:

To develop an effective strategy for your organization, it's crucial to follow a structured
process.

1. Review Current Position: Before planning for the future, it's important to understand
where your company stands in the market. This involves analyzing the company's
strengths, weaknesses, opportunities, and threats. Gathering insights from leaders,
customer data, and market research helps in gaining a clear understanding of the
company's current position.

2. Set Measurable Objectives: Once you have a clear understanding of the company's
current position, the next step is to set measurable objectives. These objectives should
align with the organization's mission and vision. Prioritize these objectives by
considering their potential impact and urgency. It's essential to ensure that these
objectives are specific, measurable, achievable, relevant, and time-bound (SMART).

3. Develop an Action Plan: With measurable objectives in place, it's time to develop a
detailed action plan. This plan should include specific tactics, timelines,
responsibilities, and required resources. Utilizing strategy maps can help visualize
connections between different perspectives such as financial, customer, internal
process, and learning and growth. Involving team members in the planning process
ensures commitment and brings diverse ideas to the table.

4. Monitor Progress and Revise: Once the strategy is implemented, it's crucial to
monitor progress regularly. Communicate the strategy throughout the organization
and set up regular reviews with employees and managers to track progress. Produce
quarterly scorecards to formally evaluate progress against measurable objectives.
Based on these evaluations, make necessary adjustments to the strategy to ensure its
success.
Example:
Let's take the example of a product manufacturer planning to expand into new territories:
A product manufacturer plans to expand into new territories:
• Set Measurable Objectives:
• Launch three new products with a target of 30% revenue growth
• Review Current Position:
• Analyze market data and identify untapped opportunities
• Develop an Action Plan:
• Develop 20 prototype products for market testing.

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 • Implement marketing strategies, including promotions and product
positioning, to increase sales.
• Monitor Progress and Revise:
• Regularly review sales data and customer feedback to track progress.

Technological Change and Development:

Technological Change (TC) encompasses the invention, innovation, and diffusion of
technologies and processes. It includes the development of emerging technologies and the
continuous improvement and spread of existing ones. Rapid technological change, driven by
advancements such as big data, Artificial Intelligence, and renewable energy technologies,
presents both opportunities and challenges for achieving the 2030 Agenda and Sustainable
Development Goals.

Definition: Technological change refers to making a product or process more efficient,

resulting in increased output without using more resources. Technological change is the
process of improving existing technologies and developing new ones to enhance existing
products and create new ones in the market.
Example: The telephone has evolved over time, offering various ways to communicate like
texting, emailing, and calls.

Stages of Technological Change:

• Invention: Creating a new product or process.
• Innovation: Applying the invention for the first time.
• Diffusion: How quickly others start using the new innovation.

Impacts of Technological Change:

• Economic Evolution:
o Technology helps people create wealth in new ways, evolving societies from
traditional to industrialized.
o Almost every industry, including aviation, education, and healthcare, has been
improved by technological change.
• Increased Efficiency, Lower Costs:
o Technology makes everyday tasks faster and easier, reducing the time and
energy required.
o For instance, vacuum cleaning robots save time by automating household
chores.
• Decreased Self-reliance:
o As technology advances, we rely more on it, becoming less self-reliant
compared to our ancestors.

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Technological Change as a Social Process:
Technological change doesn't happen in isolation. It's a social process involving
producers, adopters, and various other stakeholders affected by cultural, political, and
marketing factors. In free market economies, profit maximization is the main driver of
technological change, leading to the development and adoption of technologies that promise
high profits. Unfortunately, the process is biased towards the financial interests of capital, as
there are no well-established democratic processes allowing average citizens to direct
technological change.

Elements of Diffusion Emphasis: Everett M. Rogers' diffusion of innovations theory

outlines four key elements of the technological change process:
1. An innovative technology.
2. Communication through certain channels.
3. Adoption by members of a social system.
4. Adoption over a period of time.
These elements help us understand how innovations spread through societies and
industries, shaping technological change.

Innovation: Innovation is crucial for the acceptance and adoption of new technologies.
Rogers proposed five main attributes influencing acceptance: Advantage, Compatibility,
Complexity, Trialability, and Observability. Compatibility refers to how well an innovation
fits with existing values and experiences, while Complexity refers to how difficult it is to
understand and use. Trialability and Observability also play significant roles in acceptance, as
they reduce risk and make results visible, respectively. Additionally, the relative advantage of
an innovation, whether economic or non-economic, influences its acceptance.

Social System: The social system provides the medium and boundaries within which
innovation is adopted. Social norms, opinion leaders, change agents, government policies,
and the consequences of innovations all influence technological change. Cultural settings,
political institutions, laws, and administrative structures also play crucial roles in shaping
technological development.

Time: Time is a significant factor in the acceptance process. It relates to the innovativeness
of individuals or other adopters, indicating the relative earliness or lateness with which an
innovation is adopted.

Invention vs Innovation in Technological Change: Invention is the creation of something

entirely new through scientific progress, while innovation involves improving upon
inventions. Continuous innovation is essential for the development and adoption of new
technologies. For instance, while the computer was a breakthrough invention, continuous
innovations have significantly improved its functionality. Similarly, Apple's iPod wasn't the
first portable music device, but continuous innovative solutions have made it one of the

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giants in the music industry worldwide, combining convenience, design, and efficiency in a
single device.

The Effect of Technological Change:

1. Efficiency
Technology helps people and companies work faster, make more products, and spend less
money.
• Improved Efficiency: Machines and tools allow tasks to be done more quickly and
with fewer mistakes.
Example: A farmer using a tractor can do in one day what might take a week by hand.
• Productive Efficiency: Making the most output (products) using the least input
(money, materials, time).
• Dynamic Efficiency: Technology gets better over time — companies find new ways
to improve processes.
Example: A factory that upgrades its machines to work faster or use less energy.
• Lower Production Costs: With better efficiency, businesses spend less on making
goods. This can lead to cheaper prices for consumers.

2. Impact on Market Structures

Technology can change how many companies control a market — some markets become
more competitive, others more concentrated.
• Monopoly (One Company Dominates): Sometimes one company gets ahead using
new technology and becomes the only major player.
Example: Kodak once ruled the camera film market before digital cameras took over.
• Competitive Market (Many Companies): Technology can lower the cost of entry,
allowing more companies to compete.
Example: Many smartphone brands exist now, not just one.
• Duopoly (Two Companies): Sometimes, only two companies dominate a market.
Example: Boeing and Airbus are the main players in large aircraft manufacturing.

3. Methods of Production
Technological change has transformed the way products are made throughout history.
• Efficient Farming: Tractors, fertilizers, and genetically improved seeds help farmers
grow more food more easily.
• Industrial Revolution: Shift from handmade goods to machine-based factory
production powered by steam and coal.
• Steel Revolution: Using steel instead of iron allowed for better transportation and
stronger buildings.
• Computer Age: Computers and automation now do many jobs that people used to do
by hand, increasing speed and reducing errors.
Result: Better, faster, and cheaper production methods.

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4. Destruction of Existing Markets
While new technologies create new opportunities, they can also destroy old industries that
can’t keep up.
• Disruptive Innovation: A new product or idea completely changes the market and
makes old ones obsolete.
Example: Streaming services replaced DVD rental stores like Blockbuster.
• Sustaining Innovation: Improves existing products without replacing them
completely.
Example: New car models with better mileage improve the car industry, rather than
replacing it.
Result: Some companies fail, while new ones grow — this constant change pushes the
economy forward.

5. Productivity
Technology boosts the amount of goods and services produced with the same or fewer
resources.
• Better Outputs: More products are made with less effort, saving time and money.
Example: Robots in factories speed up production and improve accuracy.
• Improved Labor Productivity: A worker with modern tools produces more in less
time than before.
• Creative Destruction: Old technologies are replaced by new ones — this keeps the
economy evolving.
• New Markets, Better Living Standards: Technology creates new industries (like
renewable energy or app development), which leads to more jobs and improved
quality of life.

Understanding Development Economics:

Development economics is a branch of economics focused on improving fiscal,
economic, and social conditions in developing countries. It addresses various factors like
health, education, working conditions, and market conditions to uplift the world's poorest
countries. Development economics studies the role of factors such as rapid population
growth, structural transformation of economies, and the impact of education and healthcare.
It also examines international trade, globalization, sustainable development, epidemics like
HIV, and the impact of catastrophes on economic and human development. In short,
Development economics is essential for understanding and shaping policies that can uplift
developing nations. It's a complex field that addresses a wide range of economic, social, and
political factors, aiming to improve the lives of millions of people around the world.
Nobel laureates Esther Duflo, Abhijit Banerjee, and Michael Kremer revolutionized
development economics by bridging academia and practical application. They introduced
randomized controlled trials into development economics, leading to ground breaking
experiments and modern policymaking.

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Importance of Development Economics:
• Development economics is a powerful tool in public policy, aid, and development.
• Applied work in this field can make significant real-world policy differences,
affecting millions of people.
• Advocating for measurement, evaluation, and evidence-based policies is crucial for
achieving impactful change.

Challenges and Opportunities:

• There is still much work to be done in development economics, with significant trade-
offs between costs, scale, and reliability.
• The field addresses both macroeconomic and microeconomic factors, aiming to
transform emerging nations into more prosperous ones.

Types of Development Economics:

1. Mercantilism: Mercantilism was one of the earliest economic theories, widely
practiced in Europe between the 16th and 18th centuries. It focused on strengthening
the power of the state by tightly controlling economic activities, especially trade. The
main idea behind mercantilism was to create a trade surplus by exporting more goods
than importing, which was believed to increase national wealth. Countries with
colonies would restrict them from trading with others, ensuring that all wealth and
resources flowed back to the home country. Mercantilist policies also encouraged the
use of domestic resources and protected local industries through government
intervention and monopolies.
2. Linear Stages of Growth Model: The Linear Stages of Growth Model became
popular after World War II as a way to rebuild and modernize economies, especially
in Europe. This theory suggested that economic growth happens in a series of steps or
stages, mainly through industrialization. According to this model, underdeveloped
countries could grow if they increased savings and investments, developed industries,
and received support from the government in the form of public infrastructure and
capital. However, the model also recognized that local traditions, weak institutions, or
social attitudes could hold back development, and these needed to be addressed
through planning and intervention.
3. Structural Change Theory: Structural Change Theory takes a different approach by
focusing on how a country’s economy needs to change its basic structure to develop.
It emphasizes the shift from an agricultural economy, where most people work in
farming, to an industrial economy, where manufacturing and industry drive growth.
The idea is that productivity and incomes are generally higher in industrial sectors. A
good example of this theory in action is Russia after the communist revolution, where
the country moved rapidly from a farming-based economy to a highly industrialized
nation. This transformation is seen as essential for long-term economic development.
4. Economic Nationalism: Lastly, Economic Nationalism promotes policies that protect
and strengthen a country’s own economy, often by limiting foreign influence. This
approach focuses on maintaining domestic control over industries, labor, and capital.

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 It often includes measures such as high tariffs, trade barriers, and restrictions on
foreign investments. Economic nationalists are usually skeptical of globalization and
prefer policies that support self-reliance and local production. For instance, in its early
years, the United States adopted strong protectionist policies to help its local
industries grow by shielding them from foreign competition.

Global Health Perspective:

Global Health Perspective: A Strategic Approach in Developmental Engineering
In the context of Developmental Engineering, the Global Health Perspective plays a
key role in shaping strategies that aim to improve living standards, foster innovation, and
drive sustainable growth. At its core, global health refers to the research, policies, and
practices that seek to improve health outcomes and achieve health equity for all people across
the world. It recognizes that many health challenges—such as pandemics, malnutrition, and
lack of clean water—cross national borders and therefore require coordinated, global
responses.
From a strategy development point of view, global health emphasizes not only
treating diseases but also addressing the underlying socioeconomic and infrastructural
causes. This aligns closely with Developmental Engineering, which focuses on designing
solutions that are socially, economically, and environmentally sustainable. For instance,
building a low-cost water purification system or improving local vaccine distribution are
technical solutions that support global health goals.

Key Agencies Driving Strategy

The World Health Organization (WHO) leads the charge in coordinating global health
strategies. Alongside WHO, organizations like UNICEF and the World Food Programme
(WFP) implement large-scale interventions targeting health and nutrition. These agencies
provide data, funding, and implementation frameworks, all of which are essential when
planning engineering projects aimed at improving global health. Additionally, broader
initiatives like the Millennium Development Goals (MDGs) and the Sustainable
Development Goals (SDGs) provide measurable targets, allowing Developmental Engineers
to align their innovations with global benchmarks.

Global vs. International Health

It's crucial to differentiate global health from international health. International
health traditionally focuses on health issues in developing countries, often driven by aid from
wealthier nations. Global health, however, is more holistic and inclusive—it involves all
countries and focuses on collaborative solutions to shared health threats, such as pandemics
or climate-related illnesses. This distinction is vital when designing strategies that are not
limited to short-term aid, but aim for long-term systemic change.

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Real-World Impact and Strategic Importance
Recent health crises such as the COVID-19 pandemic, Ebola outbreak (2014), and
H1N1 flu (2009) have shown how interconnected global health truly is. A disease outbreak in
one region can disrupt economies, travel, and healthcare systems globally. Thus,
incorporating global health into the Strategy Development Process means proactively
designing resilient systems—like scalable telemedicine platforms, emergency supply chains,
or smart diagnostic tools—that can withstand global health shocks.
From a geopolitical and economic lens, investing in global health contributes to political
stability, global diplomacy, and economic growth. Healthy populations are more
productive, and stable health systems reduce the risk of social unrest and economic
disruption.

Takeaway for Strategy Development in Developmental Engineering

• Understand global health not just as a humanitarian issue, but as a strategic pillar in
development planning.
• Collaborate with global agencies to align engineering solutions with health priorities
and funding opportunities.
• Design for equity, accessibility, and sustainability, ensuring solutions address root
causes and function in resource-limited settings.
• Track global health indicators (e.g., from WHO or SDGs) to measure project impact
and inform adaptive strategies.

Emerging Issues in Global Health: A Strategic Lens for Developmental Engineering

In today’s interconnected world, global health faces rapidly evolving challenges that
demand strategic, interdisciplinary responses. One of the key frameworks guiding the global
response is the International Health Regulations (IHR), revised by the World Health
Organization (WHO) in 2005. These regulations aim to build stronger international
cooperation in detecting, reporting, and responding to public health threats. Countries are
now expected to establish robust surveillance and emergency response systems, reinforcing
the need for technical infrastructure and digital innovation—areas where Developmental
Engineering can play a transformative role.

A major concern for many nations is the dual burden of disease. While significant
progress has been made in reducing deaths from infectious diseases such as tuberculosis and
malaria, there has been a sharp increase in non-communicable diseases (NCDs) like heart
disease, cancer, and diabetes. Many developing countries now face the challenge of
managing both communicable and non-communicable diseases simultaneously. This dual
burden complicates resource allocation and demands adaptable strategies and technologies—
ranging from mobile health monitoring tools to low-cost diagnostic devices—that engineers
can help design and scale.

Changing social and economic conditions in developing countries also shape global
health needs. As populations urbanize and life expectancy increases, new challenges emerge,

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such as rising rates of road accidents, mental health issues, and substance abuse. Some
countries, like Kenya, have already launched programs targeting road traffic safety and
violence prevention. Developmental engineers can support these efforts by designing safer
transport infrastructure, behavior-tracking technologies, and tools for remote mental health
screening.

Globalization and trade also introduce new health risks. The complex nature of
international supply chains can result in the spread of foodborne illnesses, substandard
pharmaceuticals, and contaminated products. This necessitates better monitoring systems,
quality control mechanisms, and traceability tools—areas where engineers can offer
innovative solutions. Collaborative international efforts, especially between the U.S. and
other nations, are essential to identify and manage these risks efficiently.

A wide network of organizations coordinates global health efforts. At the inter-governmental

level, institutions such as the World Health Organization (WHO), UNICEF, the World Food
Programme (WFP), and the International Committee of the Red Cross (ICRC) play major
roles. Research-focused bodies like the International Agency for Research on Cancer (IARC)
and the WHO Centre for Health Development (WKC) help in data gathering and strategic
planning. Additionally, influential non-governmental organizations (NGOs) such as
Médecins Sans Frontières (MSF) and the Bill and Melinda Gates Foundation bring critical
resources and innovative approaches to health challenges, often collaborating with
engineering and tech experts to roll out impactful solutions. The range of global health
challenges is broad. Pandemics like COVID-19 and various strains of influenza demonstrate
the importance of early detection systems, vaccination campaigns, and health education—
areas in which digital tools and engineering design can play a major role. Environmental
factors, including climate change, air pollution, and extreme weather events, significantly
affect human health. Preventing and responding to these requires technologies that ensure
clean water, improved sanitation, and resilient infrastructure, all core to developmental
engineering practices.

Economic disparities and access to healthcare continue to be significant concerns. While

some regions enjoy cutting-edge medical care, others lack access to even basic services.
These gaps often align with geographic and income inequalities. Strategically, this highlights
the need for affordable, decentralized health systems—solar-powered clinics, telemedicine
networks, and mobile diagnostic units—that engineers can help design and implement.

Political instability and migration further complicate health strategies. Conflicts damage
health infrastructure and displace populations, making them vulnerable to disease outbreaks.
Cross-border cooperation is vital, and so is the development of mobile, rapid-response health
units that can serve refugees and displaced communities effectively.

Meanwhile, non-communicable diseases (NCDs) have become the leading cause of death
globally, accounting for around 70% of all deaths. These diseases are closely tied to lifestyle
and socioeconomic factors. Therefore, strategy development must include preventive

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education, access to healthy foods, and monitoring of risk behaviors—elements that
engineers can support through wearable health tech, data platforms, and behavior-change
tools.

Finally, animal health, food sourcing, and agricultural practices are emerging as critical
areas. Poor waste management, overuse of pesticides, and inadequate veterinary oversight in
agriculture can lead to zoonotic diseases—those transmitted from animals to humans.
Integrating veterinary science with public health and engineering is crucial for building
disease-resilient food systems. Developmental engineers can contribute by designing better
animal waste systems, creating biosensors for food safety, and improving cold-chain
logistics.

Strategic Takeaway for Developmental Engineers

For students and professionals in Developmental Engineering, understanding these emerging
global health issues is essential for building relevant, scalable, and socially impactful
solutions. Whether it’s developing low-cost medical technologies, enhancing data systems for
disease surveillance, or designing sustainable infrastructure, engineers play a central role in
creating a healthier and more equitable world.

INTERNATIONAL EDUCATION PERSPECTIVE:

International Education as a Strategic Influence in Global Development

International education plays a pivotal role in shaping strategic approaches within
Development Engineering. As a globally expanding sector, international education is no
longer limited to expatriate communities; it increasingly includes local students seeking
English-medium instruction and access to international curricula. This shift represents a
strategic realignment of educational priorities, reflecting globalization’s impact on knowledge
systems, skill development, and cultural exchange. Strategically, international education
systems contribute to capacity building, workforce mobility, and the development of globally
competent citizens—core elements in the development engineering agenda.

Reframing Strategy with a Global Education Lens

The ongoing debate surrounding the definition of "international education" itself points to
evolving strategies in comprehensive education. Development engineers must understand this
ambiguity as an opportunity for innovation and policy design. International education
broadens individual perspectives, nurtures diverse cross-border connections, and fosters an
ecosystem of innovation that transcends geographical boundaries. In strategic terms, it
provides a fertile ground for designing solutions that are culturally adaptive, socially
inclusive, and globally scalable.

Dual Impact: Student and Professional Development

For those studying or working in education-related development sectors, international
education offers a two-fold strategic benefit. During their academic journey, students are

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immersed in multicultural environments that expose them to a variety of worldviews,
languages, and belief systems. This cross-cultural competence is a vital skill in Development
Engineering, where success often depends on the ability to co-create solutions with diverse
communities. Professionally, educators and engineers are encouraged to design inclusive
academic environments where diversity is embraced and cultural or linguistic barriers are
addressed as strategic assets rather than obstacles.

Strategic Role in Leading Global Change

International education is a powerful catalyst for global transformation. It fosters
multicultural learning environments that heighten students’ cultural sensitivity and promote
inclusive worldviews. For development engineers, such settings reinforce the strategic need
for empathy, ethical awareness, and cross-sector collaboration. The infusion of global
perspectives into engineering education helps produce professionals equipped to lead change
across different cultural and institutional landscapes.

Responding to Global Educational Trends

The expansion of international education parallels key global development trends. As global
mobility increases—due to both economic opportunity and educational migration—the
demand for internationally recognized educational systems grows. Western-style curricula
such as the International Baccalaureate (IB) and Cambridge Assessment are increasingly
influencing Asia and the Global South. According to ISC Research (2019), over 10,000
international schools serve millions of students and educators worldwide. Strategically, this
trend signals the need for development engineers to align educational interventions with these
global systems to ensure scalability, recognition, and impact.

International Education as a Strategic Learning Model

International education is more than a content delivery system; it is a strategic model for
cultivating global competence. It emphasizes active engagement with international issues, the
development of multilingual and multicultural proficiencies, and the nurturing of critical
thinking through exposure to diverse viewpoints. Programs such as the IB encourage students
to explore complex topics from multiple perspectives, a skill directly relevant to development
engineering, where solutions must balance technical, environmental, and social dimensions.

Strategic Dimensions of International Education

1. Language Proficiency:

Multilingual competence is increasingly seen as a strategic asset in development projects.

International education fosters this by accelerating language acquisition and offering
bilingual or multilingual programs. Engineers operating in international contexts benefit from
enhanced communication skills and the ability to navigate multicultural fieldwork more
effectively.

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2. Diverse Educational Models:
Exposure to varied educational systems prepares students to adapt to different learning
environments and innovation ecosystems. This adaptability is essential in development
engineering, where global best practices must be adapted to local conditions through strategic
customization.

3. Cultural Awareness and Problem Solving:

Cross-cultural awareness improves interpersonal communication, ethical decision-making,
and community engagement. International education nurtures this by encouraging students to
question assumptions and understand alternative worldviews—an indispensable skill in
strategy development for sustainable projects.

4. Global Networking:
Developing a global network of peers, mentors, and institutions enhances collaborative
innovation and knowledge sharing. Strategic partnerships forged through international
education can later translate into transnational development collaborations.

5. World Exploration and Academic Travel:

Academic travel and exchange programs expose students to real-world challenges in various
countries, strengthening their experiential learning and field-based strategic thinking. These
programs help engineers contextualize solutions within local realities.

6. Enhanced Career and Academic Outcomes:

Graduates of international education systems are highly employable, with 90–95% securing
work in their field within six months of graduation. Strategically, this reflects the alignment
of international education with market and development needs, providing a skilled workforce
capable of implementing complex development strategies.

Conclusion
In the context of Development Engineering, international education serves as both a strategic
input and a delivery mechanism for global impact. It cultivates skills, mindsets, and
relationships that are critical for sustainable development. As educators and strategists,
integrating the principles of international education into development planning ensures a
more inclusive, adaptable, and globally resonant approach to solving the world’s most
pressing challenges.

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Social business perspective:
A social business is a special kind of business that is created to solve social
problems like poverty, lack of education, or poor healthcare. The main purpose of a
social business is not to make a profit for the owners or shareholders, but to improve
the lives of people and communities. This idea was introduced by Professor
Muhammad Yunus, a Nobel Peace Prize winner. He believed that regular businesses
focus too much on earning money, while charities are not always sustainable. Social
business is a middle path—it earns money like a regular business but uses that money
to help people.
In a social business, the profits are not distributed to investors. Instead, any
money earned is put back into the business to help it grow and reach more people.
The people who invest in a social business only get back the money they put in; they
do not receive any extra profit. This keeps the focus on the social mission, rather than
on making money. One famous example of a social business is the Grameen Bank,
started by Muhammad Yunus in Bangladesh. This bank gives small loans to poor
people—especially women—so they can start their own businesses. These loans are
given without any need for collateral, which means even the poorest people can get a
chance to improve their lives.
Social businesses are different from other types of organizations. In a regular
for-profit business, the main aim is to earn money and share that profit with the
owners or shareholders. Helping society may be a part of their work, but it is not the
main focus. On the other hand, a non-profit organization works only to help people,
but it depends on donations or grants and does not earn money through selling
products or services. A social business combines the good parts of both: it helps
people like a non-profit, but it earns money like a for-profit business, making it more
stable and long-lasting.
There are some key features that define a social business. The most important
one is that the business must be created to solve a social problem. It should also be
able to sustain itself by earning enough money to keep running without outside help.
Investors can put money into the business, but they do not get profit from it. Instead,
any money the business makes is used to improve the service or expand the work.
Employees in a social business are paid fair wages, and the business should also care
for the environment and try not to harm it in any way. People who run social
businesses are usually passionate and want to make a real difference in the world.
Social entrepreneurs are the people behind these kinds of businesses. They are
different from regular entrepreneurs, who mainly want to earn profit. A social
entrepreneur looks at the problems in society and tries to find new and creative
solutions through business. They are driven by passion and are willing to take risks to
bring change. For example, Susan B. Anthony worked for women’s rights in
America, and Vinobha Bhave started the Land Gift Movement in India to help
landless people.
There are many types of social enterprises. Some are trading businesses that
are owned by workers or communities. Others are financial institutions like credit

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 unions, which work to help their members rather than make large profits. Some social
enterprises are community organizations, like housing cooperatives or local
development groups that reinvest profits into the community. Lastly, many NGOs
and charities also work as social enterprises, using their earnings to support social or
environmental causes.
A very important part of social business is employment. Many social
enterprises focus on giving jobs to people who are from disadvantaged backgrounds.
These may include people who are poor, belong to minority communities, or have
faced social discrimination. By giving them jobs, social businesses help them earn
money, become independent, and live a better life without depending on government
help.
Today, technology is also helping social businesses grow. New tools like
blockchain and smart contracts are being explored to make social businesses more
efficient, fair, and transparent. These technologies can help in tracking money flow,
ensuring trust, and making sure the business stays focused on its social goals.
In summary, a social business is a powerful idea that combines business methods with
a heart for social change. It is designed to be self-sustaining, to help people, and to
work toward long-term solutions for society’s biggest problems. It stands as a strong
and practical alternative to both traditional businesses and charity-based models.

Principles of Social Business

1. Purpose: The primary objective of a social business is to address social problems
such as poverty, education, healthcare, and environmental issues, rather than
maximizing profits or shareholder wealth.
2. Financial Sustainability: Social businesses must be financially self-sustaining, both
for the organization and the people it serves. External funding sources like grants are
not allowed; those involved in the business are expected to invest.
3. Return on Investment: Investors in a social business are not entitled to profits
beyond their initial investment; no dividends are given.
4. Reinvestment: Profits earned are reinvested in the business to scale operations and
improve services, aiming to reach more people or enhance service quality.
5. Fair Compensation: Employees receive fair compensation in line with industry
standards and better working conditions.
6. Environmental Responsibility: Social businesses are committed to environmental
well-being, ensuring that their operations do not harm the environment directly or
indirectly.
7. Passion for Social Contribution: Social businesses are run by individuals passionate
about contributing to society and the environment, creating an environment of joy
rather than stress.

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 Comparison Summary:
Feature For-Profit Non-Profit Social Business
Business Organization
Goal Make money Help people Help people
sustainably
Profit Use Given to Not earned or used Reinvested in the
owners business
Financial Yes No (depends on Yes
Sustainability donations)
Works Like a Yes No Yes
Business
Social Mission Optional Main goal Main goal

Social Enterprise and Employment

Social enterprises are businesses that not only aim to earn money but also focus on
solving social problems. One of the main ways they do this is by giving jobs to people
from disadvantaged or marginalized backgrounds. These may include individuals from
minority communities, indigenous groups, or others who have faced discrimination and
had fewer chances in life. By providing them with employment and sometimes training,
social enterprises help these individuals earn a decent living, gain skills, and become self-
reliant. This also reduces their dependence on government support systems. For some
social enterprises, creating jobs for such people is not just part of what they do—it is their
central mission. They believe that providing meaningful work can lift people out of
poverty and give them dignity.

Types of Social Enterprises

Social enterprises are organizations that aim to achieve social goals through business
activities. There are different types of social enterprises, based on how they are structured
and whom they serve. One type is called trading enterprises, which includes cooperatives
or worker-owned businesses. In these businesses, the workers also own the business and
take part in decisions. This kind of ownership helps build strong, supportive communities
and gives people more control over their jobs.
Another type is financial institutions, such as credit unions and cooperative banks.
These are different from regular banks because they are owned by their members, not
outside investors. Their main aim is to help their members with financial services, not just
to make a profit.
A third type is community organizations, like community centers or housing
cooperatives. These organizations use any money they earn to improve the community—
like offering better housing or running local programs. They often involve many members
who work together to support the organization’s mission.

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 Lastly, there are NGOs (non-governmental organizations) and charities. These
organizations are created to solve specific problems such as poverty, education, or
environmental protection. Even though they may earn some money, all profits are used to
support their mission or to pay the people who provide free services to others. These
types of organizations often depend on volunteers, donations, and grants but are still
considered social enterprises if they also generate income through some kind of business
activity.

Ex. 1. Amul (Anand Milk Union Limited)

Amul is a dairy cooperative started in Gujarat. It helps farmers by buying milk directly
from them and selling it without middlemen.
Why it’s a social enterprise:
It gives fair prices to farmers and helps them earn a stable income. Farmers are also part-
owners of the cooperative.

2. SELCO India
SELCO provides affordable solar energy to poor households in rural India.
Why it’s a social enterprise:
It solves the problem of electricity access and helps improve health, education, and
income through clean energy.

3. Goonj
Goonj collects old clothes and household items from cities and redistributes them to poor
rural communities.
Why it’s a social enterprise:
It meets basic needs and runs village development programs in exchange for goods,
promoting dignity and self-reliance.

4. SEWA (Self-Employed Women’s Association)

SEWA supports poor women workers by organizing them into unions and providing
training, healthcare, and financial services.
Why it’s a social enterprise:
It empowers women to become financially independent and improve their working
conditions.

5. Araku Coffee
Araku Coffee works with tribal farmers in Andhra Pradesh to grow and sell organic
coffee.
Why it’s a social enterprise:
It gives better income to farmers, trains them in organic farming, and reinvests profits into
the tribal community.

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 Social Entrepreneurs:
A social entrepreneur is someone who comes up with new and creative ways to solve
problems in society. They are different from regular business entrepreneurs because
making money is not their main goal. Instead, they are focused on improving people's
lives, fixing social issues, and bringing about positive change. However, they still need to
earn enough money to keep their business running. Social entrepreneurs are often
passionate about their cause and full of ideas. They are good at motivating people,
explaining their vision, and encouraging others to support or join them.
Their work can be in many areas such as health, education, clean water, sanitation, or
protecting the environment. While they may make some profit, they see profit only as a
tool to help more people—not as the main reason for starting the business. Two well-
known examples of social entrepreneurs are Susan B. Anthony, who fought for women’s
rights in the United States, and Vinobha Bhave, who led a movement in India to give
land to the poor and landless.

Role of Engineers in Development Strategies:

Engineers play a very important role in helping a country or community grow and
develop. One of their biggest contributions is in building infrastructure like roads,
bridges, buildings, and public transport systems. Without these, people cannot travel, do
business, or access basic services. Engineers also help in developing new technologies
that make life easier, safer, and more efficient. These innovations can improve everything
from farming and manufacturing to education and healthcare.
Engineers are also key players in protecting the environment. They design systems
to manage waste, produce clean energy, and reduce pollution. For example, they work on
solar energy projects, recycling plants, and water purification systems. In cities, engineers
help create smart and sustainable urban areas. They plan how to use space wisely,
build energy-saving buildings, and develop traffic systems that reduce congestion and
fuel use.
Another important area is disaster management. Engineers design buildings and
infrastructure that can survive natural disasters like earthquakes or floods. They also help
create early warning systems and safety plans. In healthcare, engineers design medical
machines, devices, and tools that help doctors diagnose and treat patients more
effectively. And when it comes to education, engineers train the next generation by
teaching and sharing their knowledge. They help young people gain skills that can lead to
good jobs and also contribute to development.
In short, engineers are problem-solvers who work at the heart of progress. They help
improve lives by using science, creativity, and technical knowledge to build a better and
more sustainable world.

Development engineering notes chapter 4