This study explores social enterprises’ strategies for addressing mission drift. Relying on an inductive comparative case study of two Italian social enterprises, we show how stakeholder engagement combined with social accounting can successfully support a social venture to re-balance its positioning between wealth generation and social value creation. Indeed, stakeholder engagement helps the internal actors of a social enterprise to rationalize and embody pro-social values previously abandoned, while social accounting reinforces this embodiment process by showing the reintroduced social commitment of (...) the social enterprise to external audiences. Conversely, strategies focused only on social accounting and without significant engagement of external stakeholders prove to be unsuccessful in counterbalancing mission drift because they fail to activate the necessary process of internal re-introduction and operationalization of pro-social values and objectives. (shrink)

This paper investigates how social enterprises navigate through the ethical complexity of social change and extends the ethical quandaries faced by social enterprises beyond organisational boundaries. Building on the emerging literature on the ethics of SEs, I conceptualise ethics as an engagement with power relations. I develop theoretical arguments to understand the interaction between ethical predispositions of a SE and the normative structure of the social system in which it operates. I applied this conceptualisation in a hierarchical and heterogeneous rural (...) Indian context to provide insights into the moral ambiguity of ethical decision-making and suggest pathways for ethical actions. Taking a qualitative case study approach, I followed an exemplary SE’s implementation process in India. I observed ethical challenges in designing the implementation process, selecting the beneficiaries and sustaining the programme. I also identified three actions of the SE—the action of recognition, the action of reposition and the action of collaboration—and developed a transformative process model. I discuss the theoretical implications of this research for SEs and recommend a critical engagement with ethical theories to address systemic problems. (shrink)

In this article, we explain the mechanisms that allow social enterprises to balance their missions, and the risk of mission drift as organizations grow. We empirically explore Incubator-BUS (I-BUS), a student organization within a private Brazilian university, which sought to incubate cooperatives for vulnerable groups. Although initially successful in balancing its missions, I-BUS then failed. We show how scaling-up can complicate the balancing of different missions within the same organization. We propose that, to balance their missions, social enterprises—especially recently formed (...) and democratically managed enterprises—need not only “spaces of negotiation,” as suggested in the literature, but also “herding spaces” that connect an organization to its institutional context. We indicate why herding spaces are critical, but then show how scaling-up can result in organizational “compartmentalization” that undermines them. (shrink)

We investigate the research question: Why are there very few social enterprises in China? Our findings unpack four types of institutional challenges to social entrepreneurship, as perceived by social entrepreneurs: norms of a strong role for government; misunderstood or unknown role for social enterprises; non-supportive rules and regulations; and lack of socio-cultural values and beliefs in support of social goals. We contribute to the literature on social enterprises by showing how an institutional environment may be “non-munificent,” i.e., non-supportive for the (...) existence of social enterprises and their goals, and we thus address the need for more attention to the institutional environment in which social entrepreneurship takes place. Further, by using Q-methodology on 42 social entrepreneurs along with illustrative qualitative data from interviews, we address the need to go beyond anecdotal case studies and introduce methodological plurality in social entrepreneurship research. Finally, our findings on institutional challenges provide us with an opportunity to discuss how social entrepreneurs may engage with purposive activities to overcome such challenges, leading us to initiate a conversation between the social entrepreneurship and institutional work literatures. (shrink)

In this article, we use content and cluster analysis on a global sample of 200 social entrepreneurial organizations to develop a typology of social entrepreneuring models. This typology is based on four possible forms of capital that can be leveraged: social, economic, human, and political. Furthermore, our findings reveal that these four social entrepreneuring models are associated with distinct logics of justification that may explain different ways of organizing across organizations. This study contributes to understanding social entrepreneurship as a field (...) of practice and it describes avenues for theorizing about the different organizational approaches adopted by social entrepreneurs. (shrink)

Social entrepreneurs need resources to develop their organizations and catalyze social impact. Existing research focuses on how social entrepreneurs access and use resources, yet it neglects how they search for resource holders. This issue is particularly salient in social entrepreneurs’ decisions about whom to approach for interpersonal feedback as a valuable resource. The current literature offers lists of individuals whom social entrepreneurs approach for feedback and implies these individuals can be easily accessed. Thus, it offers little insight into how social (...) entrepreneurs select whom to approach for feedback and why, or why they struggle to access feedback. We conducted an in-depth inductive study based on 82 interviews with 36 nascent social entrepreneurs to investigate how they search for and select individuals to approach for feedback within and outside their social networks through an iterative appraisal process. Our findings start to open the black box of searching for resource holders in the resource mobilization process and offer insights on power and stigma in social entrepreneurship. (shrink)

Social enterprises combine activities, processes, structures, and meanings associated with multiple institutional logics that may pose conflicting goals, norms, values, and practices. This in-depth multi-source case study of an ecological social enterprise in Malaysia reveals how the enactment of the family logic interacts with the market and ecological logics not only in conflicting but also in synergetic ways. By drawing attention to the institutional logic of the family in social entrepreneurship, this study highlights the heterogeneity of social enterprises. The findings (...) have implications for research with social enterprises and family-owned firms in relation to the ethical obligations of these organizations and the interactions of multiple logics. (shrink)