The Impact of Social Entrepreneurship on Poverty Reduction and Community Development in Sub-Saharan Africa

Authors

  • Bilal Shahzad Department of Business Administration, Lahore University of Management Sciences (LUMS), Lahore, Pakistan Author
  • Sana Farooq School of Management, Institute of Business Administration (IBA), Karachi, Pakistan Author

Keywords:

Social Entrepreneurship, Poverty Reduction, Community Development, Employment Creation, Innovation, Sub-Saharan Africa, Quantitative Analysis

Abstract

Social entrepreneurship has gained increasing attention as a sustainable approach to addressing poverty and fostering community development in developing regions. This study quantitatively examines the impact of social entrepreneurship on poverty reduction and community development in Sub-Saharan Africa. Using cross-sectional survey data collected from social enterprises and community stakeholders, the study applies descriptive statistics, correlation analysis, multiple regression, and mediation modeling to evaluate the relationships between social entrepreneurial activities and development outcomes. The results indicate that innovation intensity, employment creation, revenue sustainability, and community outreach are significantly associated with improved poverty reduction and community development indicators. Regression analysis reveals that employment creation and community outreach are the strongest predictors of poverty reduction, while mediation analysis demonstrates that employment generation and enterprise sustainability partially mediate the relationship between social entrepreneurship and poverty reduction outcomes. Visual and tabulated analyses further confirm the robustness of these relationships across multiple model specifications. Overall, the findings provide empirical evidence that social entrepreneurship contributes meaningfully to poverty alleviation and community development in Sub-Saharan Africa, highlighting its role as an effective mechanism for inclusive and sustainable development.

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Published

2025-12-31