From the SocialEdge Blog:  "IBM Global's 2006 report (pdf version here) : Business model innovation: the new route to competitive advantage " includes a striking graph illustrating the finding of IBM's financial analysts that "companies that put more emphasis on business model innovation experienced significantly better operating margin growth (over a five-year period) than their peers." And business model innovation is something that lies at the very heart of social entrepreneurship."

Of particular interest to us as we are working on a project to help solve the global e-waste problem, are descriptions by authors John Elkington and Pamela Hartigan of three styles of business model used by leading social entrepreneurs:

1. The "hybrid" nonprofit- "where most of the experimentation in social entrepreneurial style occurs, often focusing on the production of novel forms of social and environmental value"
2. The "social business" - "a for-profit entity focused on a social mission -- its main difference from other businesses being that its main aim is not to maximize  financial return for shareholders, but to achieve social goals.  Financing and scaling opportunities can be greater for businesses running on this model, because they can more readily take on debt and equity."
3.  The "leveraged nonprofit" 

Read more at SocialEdge.