China as the country of social entrepreneurs.

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After Warren Buffett and Bill Gates visited China two years ago to promote their “Giving Pledge” initiative there, charity in China has become an issue noted in the West. Juliana Liu analyzes for the “BBC” what has happened in the years since.
The Chinese publishing group “Hurun Report” observed that for the top 100 philanthropists in the country, private donations in China increased five-fold from 2004 but fell more than 17% in the last year. A fortunate lack of major natural disasters, mistrust in the often state dominated charity institutions and some scandals about the misuse of funds caused the reversal in giving. The slack is taken up by small scale social entrepreneurs establishing businesses to care for the elderly, provide health services, develop technologies and help fight poverty. Even if working for profit, albeit minimal, such smaller social businesses are preferred by many donors since they offer transparency and attend to immediate needs which the big charities often lack.
Philanthropy will always be a controversial discussion since it is directly linked to the questions of social justice and social inequality with regard to the roots of individual wealth. Social enterprises can help considerably to cope with the significant variance in donations. Smaller sized businesses in particular offer the advantage of transparency in the often multi-faceted industry of charities in which religious, material and interests out of vanity mix regularly. More important than charities are on the long run governmental policies which from the very beginning should prevent the problems that charities have to address.