In the landscape of travel, there’s a beacon of hope that often goes unrecognized amidst the flashy resorts and blockbuster tour packages: social enterprises. These are the unsung heroes of the tourism industry, the quiet revolutionaries reshaping the tourism industry with integrity, passion, and a rock-solid commitment to balanced tourism. They are the vanguards of change, ensuring that the seductive allure of wanderlust doesn’t come at the expense of the local ethos. They are the visionaries who have recognized that travel can be more than an escape; it can be an exchange — one that enriches and empowers. They prove that responsible travel isn’t just possible; it’s profitable, it’s pleasurable, and it’s the path forward for an industry at a crossroads.

Hello – my name is Dr. Jens Thraenhart.

I’ve always been passionate about responsible travel and supporting local communities. On this passion blog, I spotlight my personal picks of my favorite purpose-driven social enterprises that are not just offering trips, but transformative journeys that stitch together the fabric of local communities with the threads of responsible travelers’ yearnings. I want to take you on a global journey through some of the most impactful social enterprises I have experienced that exemplify how we can travel responsibly.

Responsible travel is the harmonious balance between exploration and conservation, where every footstep on foreign soil is as much about leaving a positive impact as it is about personal enrichment, as someone who’s had his fair share of witnessing both the deleterious footprints of tourism and the uplifting stories of balanced tourism.

While traditional businesses often chase profit with a singularity of purpose, social enterprises chase something more holistic: a profit that propels purpose. Social enterprises generate its own revenues, reinvesting a significant portion back into the societal or environmental causes it champions. This self-sustaining model is a powerful engine for continuous impact, a cycle of growth and giving that perpetuates positive change. It’s a business model that measures success not just by the bottom line, but by the positive ripples it sends through communities and ecosystems.

At its core, a social enterprise in the tourism industry is a balance beam, perfectly poised between the pursuit of profit and the imperative of social and environmental stewardship. It’s a business model that doesn’t just exist to make money; it exists to make a difference. When I first encountered the concept, it was like a light bulb flickered on, illuminating the potential for travel to be a catalyst for good, rather than a vector of exploitation. Through my personal experience, I learned that supporting social enterprises goes beyond just making a financial contribution. It’s about engaging in meaningful and sustainable travel experiences that prioritize the welfare of local communities and the environment while providing an authentic and immersive experience, which directly supports the local community by creating job opportunities and investing in education and sustainable development projects.  It’s not just about having a memorable travel experience, but also about contributing to the well-being of the local people.

As sustainable tourism is the objective of most destinations in the world, reaching total sustainability is a challenge that most destinations never reach. There is the need for growth to stimulate economic development, however that growth is not always inclusive. While tourism destinations need visitor arrivals in order to leverage the positive aspects of tourism, that growth needs to be sustainable for tourism to be a force for good. Balancing growth and regeneration by managing destinations sustainably and responsibly, taking into account carrying capacity and inclusivity of all stakeholders should be the aspiration of the public and private sectors. Social Enterprises can be a big part of the solution.

As more travelers of all generations start to ask, “How can my trip or vacation be a force for good?” and “What choices can I make when I travel that will generate a positive impact?” The travel industry can respond by guiding them to social enterprises.

Social enterprises are businesses that seek to maximize profits while maximizing benefits to society and the environment.

Because the travel industry integrates so many different types of suppliers – shopping, eating, accommodations, transportation, and experiences – there is a tremendous opportunity to select suppliers who are intentionally using their business for the benefit of their local people and communities. When we actively integrate social enterprises into tourism, we:

• Provide visitors with authentic and engaging experiences
• Keep money in the local communities
• Empower local people to positively impact their destination in their own way
• Improve – not detract – from the resiliency and spirit of a community
• Create a virtuous cycle where tourism is viewed as a good thing, thus improving the visitor experience

As a traveler, when you choose to support these enterprises, you’re not just buying a trip; you’re investing in a brighter future for the destinations you visit. And that, my fellow wanderers, is the best souvenir you could ever bring home.

Supporting social enterprises is as simple as it is impactful: choose them. Choose to book your travels through companies that wear their values on their sleeve. Choose to eat at restaurants that train and employ marginalized youth. Choose to buy souvenirs from cooperatives that funnel profits back into local hands. Every choice is a vote for the world you want to travel in, a world where tourism doesn’t take, it gives.

This is a sister website of the Balanced Tourism Blog, hosted by UNWTO Affiliate Member Chameleon Strategies.

WHAT IS A SOCIAL ENTERPRISE?

(Source: Grassroots Volunteering)

A social enterprise sells good or services and uses a portion of the profits to reinvest in the local community by addressing social issues, improving locals’ quality of life, conserving natural resources and the environment, preserving the community’s cultural integrity, and more. The social enterprise holds its strong underlying mission above financial gain, investors, or traditional commercial business ideals. Instead, the common good is the primary focus and when a social enterprise succeeds, so too does the local society.

Social enterprises generate positive impact through innovative, creative products and services. They can also employ those with significant barriers to employment opportunities. Lastly, some social enterprises operate like normal businesses but give a large percentage of their profits to their designated cause.

There are various types of social enterprises, each with its own focus and approach to addressing social or environmental challenges. Here are some common types of social enterprises:

Nonprofit Social Enterprises

These organizations use commercial strategies to achieve their social or environmental missions. They often generate revenue through sales of products or services, but the profits are reinvested into furthering their social objectives.

Cooperatives

Cooperative social enterprises are owned and operated by a group of individuals who come together to address a specific need. They can take the form of worker cooperatives, where employees collectively own and manage the enterprise, or consumer cooperatives, where customers have a say in the business’s decisions.

Community Interest Companies (CICs)

CICs are a type of legal structure in some countries that are designed for social enterprises. They are required to use their assets and profits for the benefit of the community they serve.

B Corporations (B Corps)

B Corps are for-profit companies that meet specific social and environmental performance standards. They are legally required to consider the impact of their decisions on multiple stakeholders, including employees, customers, and the environment.

Social Cooperatives

These cooperatives focus on providing employment opportunities and support for marginalized or disadvantaged groups, such as people with disabilities, immigrants, or the long-term unemployed.

Fair Trade Enterprises

Fair trade social enterprises work to ensure that producers, often in developing countries, receive fair wages and good working conditions for their products, such as handicrafts, textiles, or agricultural goods.

Environmental Enterprises

These social enterprises prioritize addressing environmental challenges, such as waste reduction, renewable energy, sustainable agriculture, and conservation efforts.

Microfinance Institutions

Microfinance social enterprises provide financial services to individuals or communities with limited access to traditional banking, helping to alleviate poverty and promote economic development.

Socially Responsible Businesses

These are traditional for-profit businesses that integrate social and environmental considerations into their operations and decision-making processes.

Hybrid Models

Some social enterprises combine elements of multiple types, using a hybrid model to achieve their social and financial goals.

Social enterprises can take on a wide range of forms and structures, and their activities can vary greatly based on their specific goals and target beneficiaries. The primary distinction to keep in mind is that social enterprises prioritize positive social or environmental impact alongside financial sustainability.

Examples of tourism businesses and services that may operate as a social enterprise in a place you are visiting include:

• restaurants
• retail shops and boutiques
• craft centers
• artisans
• tour operators
• guesthouses
• transportation companies
• tailors
• massage parlors
• cultural shows

The fact is, you have a choice when you travel of where you invest your money. Though it is unlikely you can only support social enterprises on your trip, you can prioritize these businesses when given the opportunity.