The master’s thesis examines social entrepreneurship as a fundamental component of the third sector, focusing on the comparison of the development and role of social enterprises in Slovenia and Latvia. It highlights that traditional market mechanisms are insufficient to address complex social problems, making it essential to develop entrepreneurial models that combine innovation and social responsibility to reduce exclusion.
The aim of the research is to conduct an in-depth examination of institutional differences and shared characteristics in the development of social entrepreneurship in Slovenia and Latvia and to assess their impact on society, particularly in terms of improving quality of life and promoting a more inclusive social environment. The research will identify factors influencing the growth of social enterprises in Slovenia, analyse support mechanisms, legislation, and access to financing, and examine the relationship between the development of social enterprises and broader social development.
The study applies a combination of qualitative and quantitative methods, including legislative framework analysis, case studies, and comparative analysis of institutional practices and strategic orientations. This methodology enabled a comprehensive insight into the diversity and challenges of both environments. The results show that social enterprises in Slovenia and Latvia make a significant contribution to improving social inclusion, employing vulnerable groups, and developing local communities. Despite differences in legislative support, funding, and institutional practices, the core values and objectives of social enterprises in both contexts are comparable.
The purpose of the thesis is to contribute to the understanding of social entrepreneurship as a sustainable mechanism for addressing societal challenges. The practical contribution lies in understanding institutional mechanisms and access to financing, resulting in recommendations for improving the support environment and creating more inclusive policies, particularly in the Slovenian context. The results are relevant to policymakers, social innovators, and society at large.
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