Details
Year: 2019
Published in: British Council
Cited as: British Council, Turkey, 2019. ‘The State of Social Enterprise in Turkey’. Available at: https://www.britishcouncil.org.tr/en/programmes/education/social-enterprise-research
Subject
The State of Social Enterprise in Turkey
Abstract
Social enterprise is a comparatively new phenomenon in Turkey with growing interest from academics, civil society actors, policymakers and practitioners. This is also a reflection of current global trends (Bosma et al., 2016). Social impact and sustainability is gaining attention worldwide. Digital information and new technologies are enabling people to come together in relation to pressing social and environmental issues, such as global warming and immigration. Different stakeholders are rallying around diverse but related agendas, from the Sustainable Development Goals (SDGs), to Certified B Corporations in the private sector and alternative business models from the circular economy and the social and solidarity economy. These trends are accompanied by a shift in the priorities, mindsets and motivations of global citizens, leading to an increase in the number of social enterprises worldwide (Bosma et. al., 2016). These trends are also visible in the research conducted by the British Council in more than 20 countries around the world1. In line with global trends, social enterprises in Turkey are gaining momentum. The increasing number of social enterprises founded each year (see Figure 9) creates a rapidly changing landscape. As the research team were compiling a catalogue of social enterprises, each week one or two entirely new social enterprises would be added. Intermediary organisations are expanding, new actors are entering the field and the number of social enterprise-related events are growing. It should be noted that due to this intense activity, the lists and tables presented in this report will not stay up to date for long, but rather serve as a baseline. Despite this increased interest in social enterprise, the enabling mechanisms for developing an effective social enterprise ecosystem are very limited in Turkey. Incubation, acceleration, co-working or lab facilities for social enterprises are limited. In 2016, according to an experts’ poll conducted by Thomson Reuters Foundation in co-operation with the Global Social Entrepreneurship Network, Turkey ranked last (44th from 44 countries) in terms of a favourable environment for social entrepreneurs. The poll assessed areas such as government support, attracting skilled staff, public understanding, making a living, gaining momentum and access to investment, and the results indicate a challenging context, but also big opportunities for growth. Since 2016, the social enterprise ecosystem in Turkey has been developing, yet sectors and actors are still operating in isolation. Interaction between actors (such as public bodies, local administrations, private bodies, universities and citizens) continues to be mostly spontaneous and event-based. On the positive side, greater emphasis has been placed on coordination and collaboration by major ecosystem actors. At the same time, prominent universities, technology incubators, civil society organisations, international actors and policy networks offer great potential to create a more functional social enterprise ecosystem in Turkey, and interest is growing. This report uses an operational definition that classifies organisations that prioritise social or environmental impact while generating more than half of their revenue from trading and reinvesting their surplus or profit primarily in their mission, as social enterprises. According to a 2018 Deloitte Millennial Survey, millennials’ priorities are different to those of prior generations. Younger generations believe that business leaders can create a positive impact on society. Findings from the semi-structured interviews support this. The misalignment between millennials’ perceptions of business motivations and priorities and their own is one of the motivating factors for millennials to start social enterprises. The report is enriched with good practice examples of social enterprises in Turkey, a glossary (Annex 5) and annexes on the general characteristics of the legal forms in Turkey (Annex 3), an overview of the existing body of publications on social entrepreneurship in Turkey (Annex 6). We believe that this report provides important insights into the current status of social enterprise in Turkey and hope that the findings will provide a baseline for future studies aiming to contribute to the development of social enterprises in Turkey. As such, feedback on this research and further information is welcome.
