Social impact can be defined as the effect created on people by an action/inaction, an activity, project, programme or policy. A Social Impact Startup is a Startup that is committed to solving cultural, environmental and/or social issues. Rather than being driven by profit, a Social Impact Startup is committed to making the world a better place to live. In a recent report, the World Economic Forum said that the most important job of a business should be to improve society. “More people care about businesses that do good for society.” For entrepreneurs, running an organisation that creates good social impact is not just an essential ethical approach but also a commercial competitive advantage. India’s Startup community, in tune with a global awareness to create sustainable business models, is leveraging technology to create smart and sustainable solutions to enhance social impact. These enterprises are offering unique solutions across sectors, like agriculture, clean energy and healthcare. The Social Impact Startups not only attempt to bridge gaps in delivery but also provide unique solutions to traditional problems.
Rural livelihood is defined as ‘the process by which “households construct a diverse portfolio of activities and social support capabilities for survival and in order to improve their standard of living.” It involves mostly agriculture and village industries. There is a need to create more livelihood opportunities through entrepreneurship not only to alleviate poverty but also to ensure inclusivity, equity and sustainability. Rural livelihood thrives more on local employment. Rural Livelihood Startups have good scope to transform agriculture as a technology-driven vocation and make rural employment more attractive for urban youth.
Sustainability means fulfilling the needs of the current generation without compromising the needs of future generations, while ensuring a balance among economic growth, environmental care and social well-being. Sustainability involves economic sustainability, environmental sustainability and social sustainability. Startups in sustainability make a difference in the way people lead their lives and also how they co-exist with the environment by aligning with the Sustainable Development Goals.The variety of Startups in sustainability include Green Technology Startups, Sustainable Agriculture Startups, Clean Energy Startups, Sustainable Fashion Startups and Sustainable Travel Startups. (See also micro sites on Automotive, EV; Circular Economy; Blue Economy; Climate Tech and Clean Energy).
The population of Tamil Nadu is diverse, with a range of demands and difficulties. Due to this diversity, Social Impact Startups have good potential to address pressing problems in various areas, including healthcare, education, agriculture, clean energy and others. The market potential in Tamil Nadu is enormous and encouraging due to a rising awareness of social issues and a need for sustainable solutions.
The State’s goal is to create a future in which Social Impact Startups significantly impact the way people lead their lives. The government is committed to creating a welcoming ecosystem that encourages creativity, teamwork and scalability. Initiatives to improve access to capital, reduce regulatory procedures and advance entrepreneurship education are all part of Tamil Nadu’s future road map.