The elea Way - Preview

elea’s FOUNDATION AND OPER ATING MODEL

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3. differentiate traditional philanthropy from philanthropic impact investing; 4. explain elea’s ethical approach to philanthropic impact investing; 5. summarize and describe the central attributes of elea’s operating model (investment management, investors’ circle, and professional development); and 6. evaluate elea’s operating model (How do these components reinforce each other? Are there tensions between them?) and propose new fea- tures for expanding and leveraging the impact of such an organization. Ref lec tion questions 1. What is the link between elea’s purpose to fight absolute poverty with entrepreneurialmeans and the ethical positionof elea’s founders (http:// www.elea-foundation.org/en/about-us/what-is-eleas-purpose)? 2. What are the most important differences between traditional phi- lanthropy (i.e., charitable giving) and elea’s approach to philan- thropic impact investing? 3. Why are integrity, humbleness, engagement, and partnership prac- tical virtues of an impact investor? Based on your experience, could you identify other virtues that are necessary to becoming an impact investor? If so, which virtues, and why are they important? 4. What are the advantages of elea’s operating model? What are its main challenges? What can impact investors learn from it? 5. What advice would you give to elea’s leadership team as the model is further developed? Suggest three ideas of how elea’s operating model could be expanded and leveraged. 6. If you were part of elea’s board, what three to five key performance indicators would you suggest to measure the success of elea’s operat- ing model? Justify. Right vs. right dilemma: Crowding out vs. crowding in The presence of both public and private capital providers to an impact investment can either encourage or deter private investors from invest- ing, depending on the type of involvement. Two competing mechanisms explain this phenomenon: crowding out and crowding in. Crowding