DYNAMIC: marketing for values driven organisations
This report will focus on the strategies being adopted by west-midlands based social enterprise, including strategic management, marketing, the legal structure adapted and finally the creation and measurement of the social value and impact. The report will be demonstrated using the case study of DYNAMIC, their approach to strategic management and measurement of social impact using different theories. Furthermore, recommendations will be made for the future growth of the organisation taking various implications into account. The report will then be ended with a conclusion. Introduction to Social Enterprises
The increasing acknowledgement of the third sector in the global market, with the broader interest in the non-conventional entrepreneurial dynamics addressing current challenges, has led to the formation of social enterprises. (Johnson T. et al., 2006) Department of trade and industry (DTI) (cited in Gunn & Durkin 2010) defines social enterprise as, ‘A social enterprise is a business with primarily social objectives whose surpluses are simply reinvested for that purpose in the business or in the community, rather than being driven by the need to maximise the profit for shareholders and owners’. It can be concluded from the above said definition that the social enterprises likewise commercial organisations, regularly produce goods and services for consistent cash flow into the organisation. But in this case, the generated surplus is re-invested back in the community for the social benefit. Introduction to DYNAMIC
DYNAMIC is a specialist marketing consultancy for social enterprises, community interest companies, charities and socially responsible businesses based in the west midlands. From launch of a new product to finding and retaining the customers, Dynamic marketing offers the sector affordable and professional marketing services to the value driven organisations by understanding their mission of creating the social value in the community (DYNAMIC, 2012). It is evident from the research that the operations of the dynamic marketing consultancy are diverse in terms that being a social enterprise, it helps west midlands based value driven organisations in order to survive in the market. As suggested by McLoughlin & Aaker in 2010, marketing in an organisation helps to understand the customers, competitors, markets and submarkets and environment forces and trends. It also analyses the internal assets such as brand management and distribution channels. DYNAMIC has delivered its services in the sector of marketing to most of the social enterprises to their budget accordingly. The vast list of some of its clients includes Birmingham and Solihull Women’s Aid, Coventry and Warwickshire CDA and Citizen Coaching CIC. (Dynamic, 2012) In all the above mentioned SE’s DYNAMIC has been able to successfully deliver their expertise services ranging from Marketing Audit, Branding, launch of new products etc. (DYNAMIC, 2012)
In relation to the legal structure, research reveals that there has been no evidence that what form of social enterprise does DYNAMIC claims to be. Social enterprise UK (2013) states three most commonly used legal forms are: (i)Community Interest Company (CIC): it is created specifically for social enterprises ensuring that the organisation cannot deviate from its social mission. (ii)Industrial and Provident society (IPS): Form of co-operatives and community benefit societies. (iii)Companies limited by guarantee or share: Most commonly used and flexible in terms of governance. However, looking at the above forms of legal structures, DYNAMIC fits into the category of Community interest companies, as its sole objective is to help the west-midlands based social enterprises in the marketing sector. As community interest companies (2013) suggests that CIC provides a higher profile for social...