This dissertation highlights the roles of political economy as the important factor influencing the success of social enterprises. Innovation is an independent scientific act of an individual. In fact innovation and social enterprise are embedded with each other. While innovation as an independent scientific endeavor is not bothered with political economy but the entrepreneurial endeavor to put the innovation in practical use poses several elements of political and economic environment. This dissertation analyses the relations of such elements with social entrepreneurship. This thesis presents international independent science made by Affiliated Honorary Research Fellow Achyut Nepal. This scientific thesis is original scientific work of Achyut Nepal for the purpose of scientific defense.