The chapter begins with a brief outline of the analytical perspective adopted, political economy, and then examines the contested concepts of ‘social economy’, ‘social enterprise’, ‘social entrepreneur’ and ‘social innovation’. The chapter then reviews the four concepts and locates them within two distinct approaches, the first a broad approach to economic development based on economic and social solidarity and a more democratised society, and the second an evolution of the recent marketisation of the management and delivery of many public services. The chapter then briefly examines the political context in which the debate is taking place in Ireland and how it might be progressed. This is followed by an examination of two short case studies, the 3 first, a recent effort in privately-supported social innovation in the United States and the consequences for civil society and citizens when states make decisions about the role of social enterprises without thinking through the ramifications of the policy interventions in a coherent manner. The second case study reviews the expansion and relative decline of student-owned social enterprises in Ireland and the critical role and unforeseen consequences of public policy interventions. This is followed by an examination of the current discourse and the likely consequences for public policy in Ireland.