Page 77 - Social Enterprise A New Business Paradigm for Thailand

Box 2.5: YOLO – A Social Enterprise That Creates Value and Price from Worthless Waste

The viability of social enterprise models has become increasingly apparent. For YOLO, the journey
began with a desire to address a social issue the founder personally cared about. Waste was
ultimately identified as the most immediate and manageable problem, and one that could be
tackled through a social enterprise approach. Upon deeper investigation, it was found that over
50 percent of Bangkok’s waste consisted of food scraps. This insight prompted YOLO’s founder to
focus on designing and building machines to process food waste, initially targeting hotels and
schools as key customer segments.

YOLO’s initial seed funding, 2 million baht, was provided by the National Innovation Agency (NIA),
a crucial early investment that enabled the development of both its machines and business
operations. However, the onset of the global COVID-19 pandemic disrupted growth, as the target
customers were forced to suspend operations. Simultaneously, the waste landscape shifted: the
surge in food delivery led to a sharp rise in plastic waste. In response, YOLO pivoted to designing
and manufacturing machines that could recycle plastic waste and create added value.

YOLO’s engineering team engaged in a process of trial and error, adapting foreign machine
designs to suit the types of plastic waste commonly found in Thailand. This led to their first major
client, UNESCO, whose involvement significantly increased YOLO’s visibility and credibility.
Beyond selling machines, YOLO has also built a knowledge base on how to operate them
efficiently and achieve high-quality outputs. As a result, the company now offers consulting
services and has helped create jobs in several communities through waste-sorting initiatives.
YOLO has also partnered with fashion brands to transform recycled plastic into clothing and
lifestyle products, further adding value and elevating Thailand’s reputation.
Today, while YOLO still faces a variety of challenges typical of early-stage businesses, its executive
emphasizes: “Social entrepreneurs must have the mindset that they are running a business. We
must be able to compete like any other business, not just dwell on the idea that we’re doing
good and expect people to buy our products.” YOLO has since grown into a key player, working
alongside major organizations to advance policies that aim to make Bangkok a model city for
effective waste management, one whose practices could be adapted and applied elsewhere to
generate positive social impact throughout Thailand.

Source: Based on interview

At the same time, scholars have expressed concerns that incorporating social enterprise
principles into core business operations could potentially lead to widespread money laundering
(Suttisak Kraisornsuthasinee and Swierczek, 2006). Similar anxieties have been raised about the
rise of Buddhist commercialism, particularly as a response to tourist demand. There is growing
concern that temples may no longer serve as places of spiritual practice for Thai people, but
instead become attractions designed to appeal to international visitors.

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