Browse glossary terms

This is a growing list of terms used in the social business and enterprise sector.

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Additionality

Definition:

An important aspect of international climate change policy. The term refers to a situation in which a project results in emissions reductions that are additional to those that would have taken place without the project. The Kyoto Protocol decrees that Certified Emissions Reductions (CERs) must only be issued to the Clean Development Mechanism (CDM) projects that would not have happened without the financial incentive of a carbon credit system. The underlying logic is that carbon trading should be a tool to bring new projects into a global market, rather than reward projects that would be undertaken without the incentive. Awarding ERUs to non-additional projects would distort the carbon price and therefore undermine one of the key aims of Kyoto - to set a stable carbon price.

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Affirmative business

Definition:

US term for a viable social purpose venture that provides disadvantaged people with secure jobs, competitive earnings, career development, and potential ownership stakes . Employees of this type of business include the disabled, recovering substance abusers, and former convicts.

Albedo effect

Definition:

In climate change science, the reflection of solar radiation back into space. The polar ice caps have a significant albedo effect, reflecting sunlight back out to space. However, as these melt, less sunlight is reflected, resulting in further global warming. This is an example of a feedback loop.

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Alternative Energy

Definition:

Energy derived from sources other than fossil fuels eg. wind and solar power. Some definitions include nuclear power.

Related terms:

Alternative Fuels.

Alternative Fuels

Definition:

Any transportation fuel not derived from petroleum.

Asian Development Bank

Definition:

A multilateral financial institution founded in 1966 that aims to promote development and reduce poverty in Asia and the Pacific.

Related terms:

Sustainable Development.

B Corporation

Definition:

A type of corporation, developed and trademarked in the US, that seeks to create and realize benefits for all its stakeholders by 'institutionalising [their] interests' while meeting wide-ranging ethical and environmental performance measures.

Reference:

changed

Related terms:

Albedo effect.

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Base of the pyramid

Definition:

Refers to the vast proportion of the world's population who live under the poverty threshold and whose marketing potential has in general been ignored by corporations. Grameen Bank is an example of a corporation that has managed to access this potential.

Related terms:

Sustainable Development. Microfinance.

Bioethanol

Definition:

A biofuel produced by the sugar fermentation process used primarily as an automotive fuel or, more commonly, as an octane enhancer. The main feedstocks for bioethanol are corn and maize. Plans to further increase the production of bioethanol have been widely criticised as increased demand is driving up the price of these crops, both important foodstuffs.

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