Abstract
The purpose of this paper is to make the existence meaning of the business form NPO that hasn't been explained fully so far clear as a subject of the social innovation. Theory about NPO until now deals with only the side that the non-efficiency of the system such as the failure of the market and governmental failure is complemented. But as for the business form NPO that society is reformed, it has hardly explained. In this paper, entrepreneur function of Schumpeter used critically, and entrepreneur function that have solve social problem to use for market mechanism is used as an analysis outline. This entrepreneur function is used, and the socio economics that changes social value into the economical value is proposed. Therefore, entering to the market is necessary for NPO. Therefore, NPO must get in the market to make use of this entrepreneur function. In other words, the organization, which can make use of a social entrepreneur function, is a business form NPO, and this is existence meaning in business form NPO.