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Good profit: the role of legal institutions on promoting social business
Abstract
This article aims to analyze the figure of social business, based on the approximation between ethics and economics proposed by Amartya Sen. It investigates the potential of those enterprises in causing social impact simultaneously to the persuit of economic results. It establishes a dialogue between two areas of the New Institutional Economics (the one that analyses the institutional environment and the other focused on the transaction costs), both subject to considerations under the School of Law and Economics. It also describes the role of legal initiatives in the promotion of social enterprises, in order to reduce or soften the transaction costs involved in the creation and operation of such a business model. In order to reach its objectives, it was used the deductive method and bibliographic research. The article concludes that social business can be an important space for ethics in the economy, reconciling the promotion of a social good with economic efficiency and the generation of wealth.
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References
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DOI: https://doi.org/10.18256/2238-0604.2018.v14i1.2032
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