From Collectivism to Sustainability via Social Capital: Case Studies of Three Social Enterprises from India

Abstract

The sustainability of socio-ecological systems surrounding us is crucial for our collective future. To achieve sustainability, it is essential to harness various forms of capital, including natural, physical, human, and social capital. This paper posits that developing countries can leverage their abundant social capital—rooted in collectivist traditions—to enhance social, economic, and environmental sustainability. This argument is supported by case studies of three notable social enterprises in India. The watershed development initiatives and natural resource management efforts led by Professional Assistance for Development Action (PRADAN) demonstrate that social capital can significantly improve livelihoods, promote gender equity, preserve natural resources, and encourage ecologically balanced development. The success of Shri Mahila Griha Udyog Lijjat Papad (LIJJAT)—a social enterprise that employs over 45,000 owner-workers—illustrates how harnessing social capital can empower women and promote sustainable livelihoods. Similarly, the achievements of Anand Milk Union Limited (AMUL) showcase the transformative power of social capital in creating a thriving cooperative model that not only generates substantial economic benefits but also supports the livelihood of its 1,000 employees and serves 3.6 million members. By helping millions of rural farmers, AMUL is crucial in alleviating poverty and reducing inequality. These examples underscore the significant potential of social capital in driving sustainable development across various sectors in India. Given these organisations’ impact, scale, and enduring success, such initiatives can be replicated in many other developing countries.