Emerging Structures for Social Enterprises Within Nonprofits: An Institutional Logics Perspective

2018 ◽  
Vol 47 (3) ◽  
pp. 474-492 ◽  
Author(s):  
Tricia Fitzgerald ◽  
Deborah Shepherd

The development of social enterprise initiatives within nonprofit organizations is a complex activity and the disruptive challenges of accommodating commercial processes within social organizations are often underestimated. This article is based on research that tracks four nonprofit organizations as they endeavor to develop their first social enterprise activities. Using a lens of institutional logics with the emerging empirical findings, six discernible differences are identified between nonprofits and for-profits which usefully inform our understanding of the challenges of accommodating both commercial and social logics. Building upon existing theory, this article offers a typology of structural options for a social enterprise that nonprofits might consider, with illustrative examples from the research findings.

2018 ◽  
Vol 14 (4) ◽  
pp. 410-428 ◽  
Author(s):  
Suvi Kokko

Purpose This paper aims to understand how social value is created in a context characterized by institutional complexity. By identifying stakeholders interacting in a social enterprise and the logics guiding their expected and experienced value, the study describes how social value is created when different institutional logics embedded in strong-tie networks are bridged. Design/methodology/approach Concepts of structural holes and institutional logics were applied to the empirical case of a social enterprise. Interviews provided the primary empirical material, but multiple data collection methods were used. Findings A shared goal facilitated co-existence of competing value logics, and provided common space forming multiple social value outcomes as products of the different logics. Research limitations/implications Limited to one case, this study shows that the interaction of otherwise unconnected stakeholders in a social enterprise, and their embeddedness in different institutional logics, provides one explanation for why and how social value is created. Practical implications Acknowledging and addressing gaps in knowledge and resources can lead to social value creation if social enterprises remain open to different logics. This suggests that co-existence of different logics can be a key factor for successful social value creation in social enterprises, if the competing logics are turned into complementary sources. Originality/value Dependency on logics from different networks of stakeholders shapes social enterprises to produce outcomes consistent with the different logics. The multiplicity of social value outcomes poses challenges for evaluating the success of social enterprises, especially when the tendency is to use evaluation approaches from the for-profit sector, focusing on the economic logic.


Author(s):  
Andreana Drencheva ◽  
Wee Chan Au

AbstractSocial 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.


Author(s):  
Nor Razinah Mohd. Zain ◽  
Najim Nur Fauziah ◽  
Habeebullah Zakariyah ◽  
Azman Mohd. Noor

This research explores the potential of cash waqf in generating capital revenue in carrying out social-based investment through social enterprises. Looking closely into two different concepts (i.e., social enterprises and waqf), this research appreciates the understanding on the modern business model of social enterprise and the innovative version of religious social finance (i.e., cash waqf). Depending on qualitative methodology and analytical review, the discussion of this research is developed. These approaches are considered suitable and pragmatic for the suggested business model of social enterprise. Here, an innovative business model with a combination of social enterprise operation and cash waqf is introduced. It has the potential to stimulate further research to innovate religious social finance instruments to current and modern business models. This research proposes a business model of social enterprise that combines cash waqf in its operation for sake of generating capital revenue. Simultaneously, such a business model has the potential to expand the cash waqf in meeting social objectives of the social enterprise. As research findings, it is found that even though waqf is derived from a religious traditional philanthropic instrument, its innovative version of cash waqf can be utilised in generating capital revenue for social enterprises. As long as the required principles of cash waqf as provided under Islamic law is fulfilled, a combination of cash waqf in the operation of social enterprise can be carried out.


Author(s):  
Eugene Remy Rwamigabo

The purpose of this chapter is to provide insights on micro or small social enterprises in Rwanda with a focus on their opportunities and challenges. The author carried out a literature review and interviews. The chapter explores the emergence and evolution of economically oriented social organizations in Rwanda. The context of emergence of social enterprise in Rwanda was shaped, among other factors, by Anglo-Saxon influence. The chapter underlines other contextual factors underlying the current emergence of micro or small social enterprises notably the aftermath of the 1994 genocide against Tutsi, and the current entrepreneurships trends. Finally, the chapter examines opportunities shaping micro or small enterprises and investigates challenges facing micro or small social enterprises in Rwanda. The chapter explores and provides insights into the specificities and the current trends of micro or small social enterprise in Rwanda with a view to fostering further analysis for several research avenues.


Author(s):  
Rochelle Spencer ◽  
Martin Brueckner ◽  
Gareth Wise ◽  
Banduk Marika

Purpose Using an integrated framework for performance management of nonprofit organizations, this paper aims to present an analysis of the activities of an Indigenous social enterprise in the town of Yirrkala in northeast Arnhem Land in the Northern Territory of Australia. The evaluation focuses on the social effectiveness of the organization and its ability to help generate income and employment and drive social capital creation. Design/methodology/approach The analysis is informed by data derived from “yarns” with social enterprise staff and semi-structured interviews conducted with key informants who were selected using snowball sampling. Data were transcribed and analyzed thematically. Findings The analysis reveals that the organization provides a successful community-based pathway for increasing Indigenous economic participation on local terms at a time of regional economic decline and high levels of Indigenous unemployment nationally. Practical implications The measured effectiveness of Nuwul highlights the need for targeted policy support for Indigenous enterprises and that social entrepreneurship is far more likely to be successful in a supportive government policy environment, a critical need for government-initiated policies to encourage the formation of Indigenous social enterprises that are entrepreneurial and innovative in their solutions to poverty and marginalization. Such policies should not only aid the establishment of Indigenous ventures but also facilitate their long-term growth and sustainability. Originality/value Although Indigenous entrepreneurial activities have been found to be effective in addressing Indigenous disadvantage in Australia, little is known about their community impact. The article provides original empirically grounded research on the measurement of Indigenous entrepreneurial activities and their wider community impact. The data show, against the backdrop of mixed results of government efforts to drive Indigenous economic mainstreaming, that the entrepreneurial activities analyzed in this paper are an example of more flexible and culturally appropriate pathways for achieving Indigenous equality in rural and remote regions of Australia.


2016 ◽  
Vol 28 (6) ◽  
pp. 1287-1306 ◽  
Author(s):  
Chunlei Wang ◽  
Zhaowen Duan ◽  
Larry Yu

Purpose This study aims to examine the development of a social enterprise in China’s tourism industry by analyzing the coevolution of the social entrepreneur and the social system. Design/methodology/approach Purposeful sampling was used to select 1kg.org as a single-case study. Semistructured in-depth interviews of three informants were conducted to obtain organization-specific insights. Interview data were analyzed following structuration theory. Secondary data and interviews of other social entrepreneurs and experts were used to support the findings. Research findings were validated using triangulation and member-checking methods. Findings Because of the institutional environment, most nonprofit organizations in China do not have resource independence and clear legal identity. Meanwhile, social enterprise has emerged as a new organizational form with the objective of creating social value through profitable business operations. Practical implications Social enterprise is still in its infancy in China, particularly in the tourism field. This study reveals an innovative and sustainable model for nonprofit organizations in China facing institutional challenges and competitive funding environments. It provides recommendations to policymakers for improving mechanisms to increase social services through social enterprises. Originality/value This study proposes a new conceptual framework for studying social entrepreneurship by adapting structuration theory to address contemporary social and business issues.


2017 ◽  
Vol 13 (4) ◽  
pp. 329-344 ◽  
Author(s):  
Inbal Abbou ◽  
Benjamin Gidron ◽  
Noga Buber-Ben David ◽  
Yael Greenberg ◽  
Yisca Monnickendam-Givon ◽  
...  

PurposeThe purpose of this paper is twofold: to outline the historical and current contextual forces behind the development of the social enterprise movement in Israel and to analyze the different models identified by the research team along which social enterprises are formed at present. Design/methodology/approachThe study was part of the International Comparative Social Enterprise Models (ICSEM) Project and the methodology used in the analysis of the models was the one used in the international comparison. It entailed the analysis of three to five case studies within each model, which were analyzed along three major dimensions: the economic basis of the enterprise, its social objectives and its governance structure. FindingsThe findings suggest that social enterprises in Israel develop along four major models, all within existing different incorporation systems; these are nonprofit organizations, privately owned business enterprises, cooperatives and public-sector frameworks. On the basis of the case studies analyzed, it was possible to identify specific characteristic configurations of the three dimensions (economic/social/governance) that were at the basis of the model and guided it. Originality/valueThe study is the first of its kind to present a broad picture of the developing social enterprise scene in Israel and as such can clearly inform and guide both researchers and policymakers in their future work on the development of the social enterprise phenomenon in the country.


2014 ◽  
Vol 27 (3) ◽  
pp. 251-266 ◽  
Author(s):  
Malin Gawell

Purpose – Sweden, and many other countries, has, during the twentieth century, developed a rather large public sector providing social welfare services to citizens. Only to a small extent were private for- or nonprofit organizations providing these services. During the last decade we have seen a shift towards more services being provided by private for- and nonprofit actors. This shift means that roles are reconsidered, renegotiated and reconstructed. In this debate social entrepreneurship, social enterprises and innovation are emphasized. The aim of this paper is to problematize and analyze how social entrepreneurship and social enterprises relate to public sector management and governance. Design/methodology/approach – In the paper theories on (social) entrepreneurship and innovation is combined with theories focusing on welfare structures. Empirically, the analysis is based on the current policy development in Sweden and five social entrepreneurship initiatives. Findings – The analysis discloses the relationship between the public sector and social entrepreneurship as negotiation of emerging social enterprise markets in which aspects as the creation of value, dependencies and innovation are emphasized. Even if the study has a geographical focus both theoretical contributions and implications for policy and practice can be of use also in other contexts. Originality/value – Through combining social entrepreneurship with welfare services and public management this empirically based study contributes both to problematize and align the emerging field of social innovation.


Author(s):  
Peter Elson ◽  
Peter Hall ◽  
Sarah Leeson-Klym ◽  
Darcy Penner ◽  
Jill Andres

Western Canada has been the source of significant developments in the social enterprise sector over the past fifteen years. Among these developments one must include the formation of Enterprising Non-Profits in British Columbia, the Social Enterprise Fund in Alberta, and the Canadian CED Network in Manitoba. Underlying these more recent developments is a history of co-operative development and earned revenues by nonprofit organizations, reflecting a longstanding blend of entrepreneurship and community solidarity. This article highlights some of the more recent social enterprise developments in three Western provinces, profiling three independent cases that reflect the diversity of social enterprise activity in British Columbia, Alberta, and Manitoba, and providing the results of social enterprise sector surveys that took place in these same provinces in 2014.Depuis quinze ans, l’Ouest canadien a été la source de développements importants dans le secteur de l’entreprise sociale. Parmi ces développements, il faut inclure la formation : d’Enterprising Non-Profits en Colombie-Britannique; du Social Enterprise Fund en Alberta; et du Réseau canadien de DÉC au Manitoba. Sous-tendant ces progrès récents est une longue histoire de développements coopératifs et de revenus gagnés par des organismes sans but lucratif reflétant une combinaison d’entreprenariat et de solidarité communautaire. Cet article souligne certains des développements plus récents en entreprise sociale dans trois provinces de l’Ouest, recensant trois cas distincts qui reflètent la diversité des activités en entreprise sociale en Colombie-Britannique, en Alberta et au Manitoba, et présentant les résultats de sondages sur le secteur de l’entreprise sociale effectués dans ces trois provinces en 2014.


2019 ◽  
Vol 118 (8) ◽  
pp. 347-355
Author(s):  
Hye- RimPark ◽  
Yen-Yoo You

Unlike non-profit organizations, social enterprises must be sustainable through profit-making activities in order to pursue social purposes.However, the most important of the poor limited resources is also human resources, and for the efficient use of human resources, empowerment should be given to members. This study proves whether job engagement mediates the effect on sustainability when psychological empowerment is given to employees in social enterprises.


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