PEST Analysis
Political
In Bolivia, the president is the head of state and government. Besides, he is also the leader of a diversity multi-party system. Also, it is fundamental to note that the government has express mandate to exercise its power. At times, however, part of this authority ends up being surpassed. For instance, in May 2006, President Morales managed to delight some of the nationals and surprised world energy leaders when he declared that the government would control the entire energy industry (St John, 2019) .
Economic
Like most nations, Bolivia experiences both economic prosperity and depression. For instance, there was economic recession in the 1980s. This led to the collapse of many industries such as the tin market which resulted in the loss of 21000 jobs ( Dana, 2019 ). Also, in 2005 the nation adopted the hydrocarbons law requiring foreign entities to surrender what they produced to the state in exchange for a fee. The country, nevertheless, recorded 5.3 percent growth rate in 2009 which was the highest in South America.
Delegate your assignment to our experts and they will do the rest.
Social
There are a lot of incentives which have been put in place to initiate social reforms and deal with problems facing individuals. One of the common issues is poverty. A number of welfare programs have been set up to deal with this problem. In order to enhance the lives of children and the aged individuals, insurances tied to healthcare have been established. During Morales tenure, for instance, there was a 25 percent decline in poverty.
Technology
The nation is greatly connected to technology owing to the many advancements made. For example, Bolivia Tech Hub initiated in 2014 which provides efficiency to the country`s technology community. Also, Cochabamba has emerged as a top software maker within the country. Moreover the online community made up to $130 million in 2017, hence indicating the immense potential posed by technology.
Stakeholder Theory
Social entrepreneurship can be defined as a means of doing business with the idea of addressing some predetermined social course. It is arguably a factor which has managed to get significant attention and admiration owing to its ability to address some of the economic and social problems experienced by a nation. Social entrepreneurs are responsible for coming up with ingenious organizations which bear the potential to address some of the issues facing individuals within the society ( Lee, 2017 ). They, therefore, appear as the key stakeholders within any economy. They yearn to attain great social change, initiate innovations, in the course of coming up with a solution to address a social problem, and also utilize feedback from others to refine some of their processes. Besides, they also put a lot of emphasis on their desired ecological change while earning money in a bid to support the initiative.
Stakeholder pertains to an entity which derives benefits or is harmed as a result of the social entrepreneurship endeavors. There are a number of different stakeholders in this sector within Bolivia. For instance, the community. The activities involved in this form of entrepreneurship are bound to offer benefit to the citizens of Bolivia since some of them are able to get jobs (Padilla-Meléndez & Ciruela-Lorenzo, 2018) . Also, environmental conservation initiatives are likely to enhance the lives of individuals. Another stakeholder is the government. Social entrepreneurs in Bolivia assist the government by alleviating part of the burden imposed on them, for example, by assisting poor individuals who are in great need by offering them employment opportunities. Besides, the social entrepreneurs are also part of the stakeholders since they are set to gain from their activities and also impact on the lives of other individuals within the society.
Major Campaigns
In Bolivia, there is a high chance of coming into contact with activities which highlight the social culture and also seek to elevate the lives of the nationals through numerous campaigns. Various efforts being undertaken in social entrepreneurship have paved way for some resourceful campaigns. For instance, the creation of new bookstores in the country which is an indication that the education sector is one of the targeted areas. One of the social entrepreneurs who have spearheaded this campaign is Biblioworks whose main aim is to enhance education and literacy within the society. The organization was initiated in 2005, and its most visible incentive is the crowdfunding campaign which occurred in 2014 ( Jancenelle, Javalgi & Cavusgil, 2019 ). The environment has also been targeted by organizations such as the Integral Center for the Minor Worker (CIMET). The institution has established campaigns aimed at financing projects such as the “La casa de los amigos” meaning the house of friends whose aim is to offer support to working children by offering them recreational environments ( Honig, 2017 ).
Art is another segment which some social entrepreneurs have capitalized on. In Montenegro, for instance, children belonging to low-income families are exposed to circus classes in a bid to elevate their lives ( Tracey & Stott, 2017 ). Moreover, social entrepreneurs have focused on the film production sector. Documentaries such as Take off which highlights the lives of children in Bolivian streets has worked towards raising funds to aid such needy individuals. Also, Durazno is another documentary casting produced by Arbol which also tends towards the same agenda of uplifting the lives of poor Bolivian nationals.
Main Activities
In Bolivia, one of the areas where major campaigns of social entrepreneurs are undertaken is in the agricultural sector. One of the best examples of such an entrepreneur is Mauricio Diez de Medina who seized the opportunity of ensuring that the country`s best coffee does not require to be exported (Van Wijk, Zietsma, Dorado, de Bakker & Martí, 2019). For instance, the Café Roaster Boutique is one of the areas where such coffee is sold to the locals. Another sector is technology, whereby social entrepreneurs such as Ana Lucia Gutierrez have capitalized on fashion by ensuring that the Bolivian society is in a position to produce high quality clothing accessories (Van Wijk et al., 2019). The manufacturing sector is also part of the areas where the social entrepreneurs have capitalized on. Esteban Quispe Churata is one of the entrepreneurs who have made a significant impact in this area. They have managed to gather waste and put it to use by developing robots, thus managing to contribute towards the country`s environmental conservation initiatives.
Another targeted area which capitalizes on fair trade practices in Bolivia is the fashion industry where social entrepreneurs such as Beatriz Canedo Patino have managed to put Bolivia on the international stage. Also, other designers such as Ericka Suarez Weisea focus on edifying the nation`s cultural heritage. Her unique style of using cultural antiques has partly managed to sensitize the residents on the great importance of conserving their environment (Ferguson, 2018). Moreover, Gabriela Flores has also vowed to combat poverty in Bolivia by designing eco-friendly designs by incorporating numerous artisans from the community.
Successful Programs
There have been a number of successful initiatives in Bolivia which have been implemented by the country`s social entrepreneurs. Armonia has, for example, successfully managed to conserve the nation`s birds as well as the habitats they dwell in by establishing a nation where wildlife can manage to thrive effectively. The entity has established natural reserves in a bid to save wildlife within the country. Local and indigenous communities have also been empowered by the business through the establishment of ecotourism and division of profits realized from the projects with community members. Moreover, campaigns have also been heightened against the illegal trade of the Red-fronted and Blue-throated parrots which are some of Bolivia`s most threatened animals ( Cardador, Díaz-Luque, Hiraldo, Gilardi & Tella, 2018 ).
There are a variety of successful programs which have contributed immensely to the elevation of Bolivia from being one of South America`s poorest nations. Some of these are centered on enhancing tourism. For example, the Barba Azul Nature reserve initiative, the Palkachupa Contiga program which has successfully offered assistance to indigenous communities. The Polylepis Forest, Masked Antipitta, Andrean Condor and Ticaca Grebe program also examples of successful initiatives pegged on enhancing tourism ( Aidis, 2016 ). Conservation international has also efficaciously established programs which have managed to save Bolivia from deforestation. Local and national policies of action pertaining to areas such as Pando which is at the northern region of Bolivia have successfully been implemented. The residents of this area have been educated on resourceful practices with the potential of offering protection to the environment as well as enhance the production of natural resources.
Conclusion
To sum it all up, one cannot deny the fact that social entrepreneurship has had a significant impact on business, development, and the quality of life of Bolivian nationals. For instance, residents of low-income urban areas have managed to get employment in some of the social entrepreneur`s companies. Moreover, talented individuals have succeeded in getting an avenue where their skills can be put into productive use. For instance, artisans have been employed in some of the organizations and managed to come up with great inventions. Moreover, due to the activities of social entrepreneurs, Bolivians are finding it easier to access training on some of the relevant skills required in the industry, hence making it possible for them to contribute towards the edification of the nation`s economy. Finally, some of the practices advocated for by the social entrepreneurs have assisted the residents of Bolivia in adopting incentives which are likely to improve their environment making it habitable for all individuals. One cannot, therefore, discount the value of social entrepreneurs on the Bolivian Economy.
References
Aidis, R. (2016). 4. Three faces of innovation: institutions, gender and entrepreneurship in Latin America. Research Handbook on Gender and Innovation, 72.
Cardador, L., Díaz-Luque, J. A., Hiraldo, F., Gilardi, J. D., & Tella, J. L. (2018). The effects of spatial survey bias and habitat suitability on predicting the distribution of threatened species living in remote areas. Bird Conservation International, 28(4), 581-592.
Dana, L. P. (2019). Entrepreneurship in Bolivia: An Ethnographic Enquiry. In Informal Ethnic Entrepreneurship (pp. 133-147). Springer, Cham.
Ferguson, G. (2018). The Social Economy in Bolivia: Indigeneity, Solidarity, and Alternatives to Capitalism. VOLUNTAS: International Journal of Voluntary and Nonprofit Organizations, 29(6), 1233-1243.
Honig, B. (2017). Compensatory Entrepreneurship: Avoiding the Pitfalls of Global Isomorphic Entrepreneurship Research and Activities.
Jancenelle, V. E., Javalgi, R. R. G., & Cavusgil, E. (2019). Cultural entrepreneurship and legitimate distinctiveness in international prosocial crowdfunding. International Business Review.
Lee, W. (2017). Microfinance: Models and implications for social entrepreneurship. Educating Social Entrepreneurs, Volume II: From Business Plan Formulation to Implementation.
Padilla-Meléndez, A., & Ciruela-Lorenzo, A. M. (2018, August). Female indigenous entrepreneurs, culture, and social capital. The case of the Quechua community of Tiquipaya (Bolivia). In Women's Studies International Forum (Vol. 69, pp. 159-170). Pergamon.
St John, R. B. (2019). Bolivia: Geopolitics of a Landlocked State.
Tracey, P., & Stott, N. (2017). Social innovation: a window on alternative ways of organizing and innovating. Innovation, 19(1), 51-60.
Van Wijk, J., Zietsma, C., Dorado, S., de Bakker, F. G., & Martí, I. (2019). Social innovation: Integrating micro, meso, and macro level insights from institutional theory. Business & Society, 58(5), 887-918.
