Social enterprises are hybrid organizations that primarily pursue social missions while also seeking economic gains. Drawing on workplace diversity and conflict theories, this article addresses recent calls for further research to explore how employees within social enterprises experience internal conflicts arising from the organizational pursuit of dual, competing missions (i.e., social and economic), and how social enterprises manage, and potentially overcome, these challenges. In the context of Korean social enterprise, we conducted a quantitative study that built on an initial explorative (...) qualitative study. Our research examined whether perceived participatory human resource management practices and diversity climate increase employees’ affective commitment by reducing their relational conflict. We further explored a boundary condition, perceived social impact, which strengthened this mediation relationship. Our results offer significant insights into social enterprise, business ethics, and broader management literature. Implications for future research and practice are also discussed. (shrink)

An increasing amount of research has examined the management of competing logics, and possible tensions arising between them, within “hybrid organizations.” However, the ways in which the relationships of hybrids with other organizations shape the conciliation of these logics and tensions have received limited attention so far. In this theoretical paper, we examine how hybrid organizations deal with interorganizational collaboration, in particular whether and how their hybridity can be maintained when they partner with “dominant-logic organizations.” Drawing on empirical literature on (...) social enterprise–corporate collaborations, we develop a framework and several propositions on how competing logics and their balancing within hybrid organizations may be affected by interactions with organizations underpinned by one dominant logic. We suggest that influences will mostly depend on the type of collaboration pursued. A collaboration based on a lower level of engagement and interaction between the two partners is likely to give precedence to one logic over the other, reducing inter-logic tensions but possibly compromising organizational hybridity. By contrast, a collaboration featuring numerous interactions and mission compatibility may facilitate sustained hybridity if tensions are acknowledged and managed. Our propositions contribute to the literatures on hybrid organizations, interorganizational collaboration, and social enterprise. (shrink)

Over the past decade, institutional theory has been extensively utilized in the field of social entrepreneurship (SE). However, an encompassing overview of the wide-ranging applications of institutional theory to SE is lacking, potentially hampering academic advances in this domain. To fill this gap, we conduct a systematic review and supplementary bibliometric analysis of 148 papers published between 2008 and 2022 to comprehensively understand the nexus of SE and institutional theory while also outlining the integration of ethics herein. Our analysis shows (...) that the existing research is divided into three clusters, reflecting three unique conversations between SE and institutional theory: institutional and societal change through SE, institutional complexity and hybrid organizations, and the institutional context of SE. We find that ethics is only integrated into these conversations to a limited degree. Based on our analysis, we zoom in on each conversation to identify the existing research gaps and point to new opportunities for future research. We also encourage SE scholars to zoom out on the abovementioned conversations to enrich this promising field by critically examining ethics and incorporating relevant insights from other research fields (i.e., social movement theory, category, and emotions). (shrink)

In this study, we employed a combination of bibliometric analysis and a structured review approach to examine the social entrepreneurship (SE) research. Our bibliometric analysis involved 2517 articles containing 155,846 references and we analyzed the data in three time periods: 1990–2009, 2010–2014, and 2015–2020 to detect longitudinal trends. This analysis helped us to identify the intellectual foundation of each period and the evolution of the intellectual structure of SE research. We specifically identified 13, 9, and 11 clusters that constituted the (...) philosophical foundations of SE research for the periods 1990–2009, 2010–2014, and 2015–2020 respectively. A longitudinal comparison of three periods helped us to trace the evolution of the intellectual structure of SE research. Further, the structured review, involving 106 recent influential articles, enabled us to identify 10 recent dominant themes of SE research. Building on our bibliometric and structured review approach, we developed an organizing framework for guiding future SE research across six dimensions: ethics, individual, community, collaborative, organizational, and contextual. (shrink)

In this paper, we employ bibliometric analysis to empirically analyse the research on social entrepreneurship published between 1996 and 2017. By employing methods of citation analysis, document co-citation analysis, and social network analysis, we analyse 1296 papers containing 74,237 cited references and uncover the structure, or intellectual base, of research on social entrepreneurship. We identify nine distinct clusters of social entrepreneurship research that depict the intellectual structure of the field. The results provide an overall perspective of the social entrepreneurship field, (...) identifying its influential works and analysing scholarly communication between these works. The results further aid in clarifying the overall centrality features of the social entrepreneurship research network. We also examine the integration of ethics into social entrepreneurship literature. We conclude with a discussion on the structure and evolution of the social entrepreneurship field. (shrink)

Management of organizational tensions can facilitate the simultaneous advancement of economic, social, and environmental priorities. The approach is based on managers identifying and managing tensions between the three priorities, by employing one of the three strategic responses. Although recent work has provided a theoretical basis for such tension acknowledgment and management, there is a dearth of empirical studies. We interviewed 32 corporate sustainability managers across 25 forestry and wood-products organizations in Australia. Study participants were divided into two groups: those considered (...) effective at corporate sustainability and a status-quo group. Contrary to current theory, our findings showed that acknowledgment of organizational tensions was widespread in the Australian forestry and wood-products industry and not limited to those managers who are effective at managing corporate sustainability. What differed was the degree to which managers did something about the perceived tensions—with the effective group more consistently acting to manage and resolve paradoxical scenarios. Our findings suggest that existing theoretical constructs of tension management may not adequately capture the individual-level complexity involved with managing tensions in practice. (shrink)

Based on an abductive analytic study, we examine financial and social value incorporation in the multi-valued market of impact investing. This paper draws on interviews with investment professionals in 54 charitable foundations, intermediary and field building organizations in the impact investing market, to compare market objectives with practice, and to determine whether social and financial values are incorporated, thus producing ‘returns’ of both types through market exchange. We find unincorporated valuation is apparent at both the market level and for several (...) types of investors in contrast with the incorporated or even integrated valuations of other investors. This demonstrates that rather than incorporating logics in a binary or hybrid way, valuation in the moral market of impact investing occurs in a multiplicity of ways and on different levels of the market, depending on a variety of factors including adherence to traditional financial market standards and market design and maintenance. (shrink)

We identify a normative paradox of responsible management education. Business educators aim to promote social values and develop ethical habits and socially responsible mindsets through education, but they attempt to do so with theories that have normative underpinnings and create actual normative effects that counteract their intentions. We identify a limited conceptualization of freedom in economic theorizing as a cause of the paradox. Economic theory emphasizes individual freedom and understands this as the freedom to choose from available options. However, conceptualizing (...) individuals as profit-maximizing actors neglects their freedom to reflect on the purposes and goals of their actions. We build on the work of pragmatist philosopher John Dewey, who distinguishes between habitualized and creative problem-solving behaviors, conceptualizes knowledge construction as a process of interdependent scientific social inquiry, and understands actors as having the freedom to determine what kind of people they wish to be. We apply pragmatist theory to business education and suggest equipping students with a plurality of theories, supplementing neoclassical economics with other economic perspectives and views from other disciplines on economic behavior. Moreover, we suggest putting students into learning situations that require practical problem solution through interdependent social inquiry, encouraging ethical reflection. In doing so, we contribute by linking the problematic conceptions of freedom identified in economic theorizing to the debate on responsible management education. We conceptualize a pragmatist approach to management education that explicitly re-integrates the freedom to discursively reflect on the individual and societal purpose of business activity and thereby makes existing tools and pedagogies useful for bringing potential freedom back into business. (shrink)

We analyse the tensions in a hybrid collaboration and how these are mitigated using boundary-spanning community impact, leading to compatibility between distinctive institutional logics. Our qualitative longitudinal study undertaken during 2011–2016 involved reviewing literature and archival data, key informant interviews, workshop and focus groups. We analysed common themes within the data, relating to our two research questions concerning how and why hybrids collaborate, and how resulting tensions are mitigated. The findings suggest a viable model of service delivery termed hybridized collaboration (...) in which the inherent tensions from different institutional logics do not prevent success. Paradoxically, multiple logics are a basis for the partnership’s existence, but the ability to achieve different and occasionally conflicting aims simultaneously can be difficult, resulting in tensions. We offer two novel insights. First, we highlight how social enterprise hybrids collaborate locally and in multi-organizational relationships. We found that the initial opportunity to collaborate was catalysed by the existence of shared objectives. Pre-existing relationships between organizations, and the existence of synergistic capabilities also influence the choice of partners. Secondly, we identify how tensions arise, and are mitigated via several factors including the pre-existing relationships, allowing for regular “spaces of negotiation” between collaborators, the shared social mission, community social impact, the resulting public relations, and shared resources and knowledge. (shrink)

This paper investigates the difficulties of creating economic, social, and environmental values when operating as a hybrid venture. Drawing on hybrid organizing and sustainable business model research, it explores the implications of alternative forms of business model experimented with by farmer owned, fairtrade social enterprise Cafédirect. Responding to changes and challenges in the market and societal environment, Cafédirect has tried multiple business model innovations to deliver on all three forms of value capture, with differing levels of success. This longitudinal case (...) study, therefore, provides a contribution to our understanding of how business models enact hybrid mission, providing a platform for triple-bottom-line value capture. In doing so, we are able to expand on the normative understandings of integrating hybrid objectives, and the complications of multiple types of value capture. (shrink)

How can a critical analysis of entrepreneurial intention inform an appreciation of ethics in social enterprise business models? In answering this question, we consider the ethical commitments that inform entrepreneurial action and the hybrid organisations that emerge out of these commitments and actions. Ethical theory can be a useful way to reorient the field of social enterprise so that it is more critical of bureaucratic and market-driven enterprises connected to neoliberal doctrine. Social enterprise hybrid business models are therefore reframed as (...) outcomes of both ethical and entrepreneurial intentions. We challenge the dominant conceptualisation of social enterprise as a hybrid blend of mission and market by reframing hybridity in terms of the moral choice of economic system and social value orientation. We deconstruct the political foundations of charitable trading activities, co-operative and mutual enterprises and socially responsible businesses by examining the rationalities and ethical commitments that underpin them. Whilst conceptual modelling of social enterprise is not new, this paper contributes to knowledge by developing a theory of social enterprise ethics based on the moral/political choices that are made by entrepreneurs when choosing between systems of economic exchange and social value orientation, then expressing it through a legal form. (shrink)

In this paper, we derive a four-stage process model of how hybrid organizations respond to specific challenges that arise under conditions of value pluralism and institutional complexity. Engaging in exploratory qualitative research of six Australian hybrid organizations, we identify institutional and organizational responses to pluralism, particularly as organizations strive to uphold multiple value commitments, such as social, environmental and/or financial outcomes. We find that by employing a process of separating, negotiating, aggregating, and subjectively assessing the value that is created, our (...) cases demonstrate how they move between logics in a dynamic fashion and address specific challenges of cognitive dissonance, incommensurability, interdependence and aggregation. Our model contributes to the literature by reframing the notion of ‘tensions’ that arise in conditions of hybridity and characterize specific challenges and sequential responses that may go some way to addressing why some hybrids employ particular responses to pluralism and why some succeed. (shrink)