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The Big Issue Case Study

The Big Issue is a social enterprise that aims to help the homeless population. It provides homeless individuals with an opportunity to earn an income by selling the Big Issue magazine on the streets. Profits from magazine sales are reinvested into training and resources to help vendors improve their lives and transition out of homelessness. The organization is divided into two parts - one focused on magazine production and sales, and a foundation that handles donations, training, and housing support. This structure allows each part to focus on its specific tasks and brings the best results from the Big Issue model to create social change.

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725 views2 pages

The Big Issue Case Study

The Big Issue is a social enterprise that aims to help the homeless population. It provides homeless individuals with an opportunity to earn an income by selling the Big Issue magazine on the streets. Profits from magazine sales are reinvested into training and resources to help vendors improve their lives and transition out of homelessness. The organization is divided into two parts - one focused on magazine production and sales, and a foundation that handles donations, training, and housing support. This structure allows each part to focus on its specific tasks and brings the best results from the Big Issue model to create social change.

Uploaded by

Alexandra
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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The Big Issue Case Study

1. Yes, we would call Gordon Roddick and A. John Bird social entrepreneurs because the
underlying motivation of their business goes beyond the financial gain, as they aim for a change
that is beneficial to the society. Thus, they have brought, through the magazine they have
created, a new, innovative manner to improve the condition of the people they have decided to
help, bringing positive change.

2. The main problem that this business is solving is represented by the homeless. Therefore, the
aim is to provide them with a mean to help themselves, instead of merely offering them money,
like other foundations do. This is perfectly reflected in the slogan of the company “A Hand Up.
Not a hand out.” and it is further backed by the actions of the business who also gives the
homeless courses of financial literacy and access to training and employment opportunities. Yes,
this is a good example of social entrepreneurship because it brings social change and we also
believe that through the approach they have taken, this will represent a long-term solution to
the problem because in a way it helps the homeless regain their independence and slowly build
back their lives.

3. This business creates socio-economic value because it is using the economic value that it obtains
in order to create social value. It makes use of the resources and inputs and through them
generates results that bring benefits to the persons they have chosen as beneficiaries for their
mission of social change. This can also be seen perfectly in the statistics of The Big Issue such as
the current number of homeless and vulnerably housed persons that they support (2800), the
fact that each week 125 000 copies are circulated and read by over 522 000 people. This all has
helped the vendors of The Big Issue to earn in total more than 5 million pounds that will
eventually help them be released from their dependence and improve their situation.

4. Yes, the Big Issue is a social enterprise because their main aim is not to make profits so that the
shareholders can reap the rewards, but rather to change the society for the better and to
improve the condition of the homeless. Therefore, the profits that the company makes are
reinvested, according to their website, so that they can further help the vendors escape from
poverty. The are constantly being innovative and responding to the challenges being posed by
the market and the economy in order to be able to continue their operations and attain their
goal of social change. The fact that their business has reached great heights and has helped the
homeless all around the world is exemplified by the countless organizations that were inspired
by their business models from places ranging from Tokyo to Johannesburg or Nairobi and Sao
Paolo.

5. We believe that the choice of The Big Issue to divide its operations into 2 parts, one which deals
with the production and sale of the magazine and the Foundation which accepts donations and
deals with training the homeless and providing them housing is a good idea. Through this
method of organizing, there is a clear separation between the tasks each person is supposed to
perform and it helps them do their job at the highest levels. Moreover, the company responsible
for the production can hire experts and people specialized in order to ensure the quality of the
magazines, while the Foundation can also rely on volunteers for some of the tasks. This can help
each part of the organization deal with its part of the Big Issue model and together they can
bring the best results. It might also facilitate the decision making if the business is organized in 2
parts than simply as a large foundation.

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