The diverse world of social enterprise: a collection of social enterprise stories

Purpose – The purpose of this paper is to highlight the diverse world of social enterprise. Design/methodology/approach – This paper profiles 11 different social enterprises from around the world. These range from a profit-achieving business in a very competitive industry, but one with strong social principles, through a profitable workers' co-operative to ones needing to find financial sustainability if they are to continue their social aspirations. The paper discusses a number of key issues in defining an organisation as a social enterprise and highlights the central issue of measuring success and impact. Findings – In some of the enterprises the important contribution of a pivotal social entrepreneur is apparent. The need to create and add value for customers and clients is always apparent, as is the need to find effective routes to market. It can be concluded that whilst certain beliefs and principles are routinely evident, social enterprises most certainly cannot be described as “one-size-fits-all”. Originality/value – The paper presents a collection of social enterprise stories

Balancing a Hybrid Business Model : The Search for Equilibrium at Cafédirect

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

Expanding the Boundaries of Brand Communities : The Case of Fairtrade Towns

Purpose: This paper aims to further the authors’ understanding of brand communities, and their role in brand co-creation, through empirical and theoretical contributions derived from researching the marketing dynamics operating within a successful but atypical form of brand community, Fairtrade Towns (FTT). Design/methodology/approach: The paper reflects a pragmatic application of Grounded Theory, which captured qualitative data from key “insiders”, with a particular emphasis on FTT steering group members and their role as “prosumers”. Data were gathered via ethnographic involvement within one town and semi-structured interviews with participants in others. Findings: FTTs, as brand communities, demonstrate elements of co-creation that go beyond the dominant theories and models within the marketing literature. They operate in, and relate to, real places rather than the online environments that dominate the literature on this subject. Unusually, the interactions between brand marketers and consumers are not the primary source of co-creation in FTTs. Instead, factors usually identified as merely secondary providers of additional brand knowledge become key initiators and sources of co-creation and active “citizen marketer” engagement. Originality/value: This study demonstrates how brand co-creation can operate in physical geographical communities in ways that are formal without being managed by conventional brand managers. It conceptualises FTTs as a nested and “glocalised” brand and demonstrates how steering group members facilitate the process of co-creation as prosumers. It empirically demonstrates how FTTs have evolved to become unusually complex brand communities in terms of the variety of stakeholders and the multiplicity of brands involved, and the governance of the localised brand co-creation process

Social entrepreneurship: Entrepreneurship and social value creation

Social entrepreneurship has attracted attention from scholars, policy makers and practitioners in developed and developing countries around the world. Much of the early research was devoted to addressing definitional debates and contextual differences and only recently have scholars turned their attention to investigating the relationship between social value creation and opportunity identification and exploitation. The aim of the chapter is three fold. First, we review the rise to prominence of social entrepreneurship and the principal definitional and contextual debates. Second, we summarize the main research findings concerning social value creation and opportunity identification and exploitation. Finally, we identify ten critical topics for advancing social entrepreneurship knowledge and theory development

Unpacking social impact scaling strategies : challenges and responses in African social enterprises as differentiated hybrid organizations

Purpose – Social enterprises (SEs) face tensions when combining financial and social missions, and this is particularly evident in the scaling process. Although extant research mainly focuses on SEs that integrate their social and financial missions, this study aims to unpack social impact scaling strategies in differentiated hybrid organizations (DHOs) through the case of African SEs. Design/methodology/approach – The study entails an inductive multiple case study approach based on four case SEs: work integration social enterprises (WISEs) and fair trade producer social enterprises (FTPSEs) in Uganda and Kenya. A total of 24 semi-structured interviews were collected together with multiple secondary data sources and then coded and analyzed through the rigorous Gioia et al. (2013) methodology to build a theoretical model. Findings – The results indicate that SEs, as differentiated hybrids, implement four types of social impact scaling strategies toward beneficiaries and benefits (penetration, bundling, spreading and diversification) and unveil different dual mission tensions generated by each scaling strategy. The study also shows mutually reinforcing mechanisms named cross-bracing actions, which are paradoxical actions connected to one another for navigating tensions and ensuring dual mission during scaling. Research limitations/implications – This study provides evidence of four strategies for scaling social impact, with associated challenges and response mechanisms based on the cross-bracing effect between social and financial missions. Thus, the research provides a clear framework (social impact scaling matrix) for investigating differentiation in hybridity at scaling and provides new directions on how SEs scale their impact, with implications for social entrepreneurship and dual mission management literature. Practical implications – The model offers a practical tool for decision-makers in SEs, such as managers and social entrepreneurs, providing insights into what scaling pathways to implement (one or multiples) and, more Social impact scaling strategies importantly, the implications and possible solutions. Response mechanisms are also useful for tackling specific tensions, thereby contributing to addressing the challenges of vulnerable, marginalized and low-income individuals. The study also offers implications for policymakers, governments and other ecosystem actors such as nongovernmental organizations (NGOs) and social investors. Originality/value – Despite the growing body of literature on scaling social impact, only a few studies have focused on differentiated hybrids, and no evidence has been provided on how they scale only the social impact (without considering commercial scaling). This study brings a new perspective to paradox theory and hybridity, showing paradoxes come into view at scaling, and documenting how from a differentiation approach to hybridity, DHOs also implemented cross-bracing actions, which are reinforcement mechanisms, thus suggesting connections and synergies among the actions in social and financial mission, where such knowledge is required to better comprehend how SEs can achieve a virtuous cycle of profits and reinvestments in social impact

Where now for fair trade?

This paper critically examines the discourse surrounding fair trade mainstreaming, and discusses the potential avenues for the future of the social movement. The authors have a unique insight into the fair trade market having a combined experience of over 30 years in practice and 15 as fair trade scholars. The paper highlights a number of benefits of mainstreaming, not least the continued growth of the global fair trade market (tipped to top $7bn in 2012). However, the paper also highlights the negative consequences of mainstreaming on the long-term viability of fair trade as a credible ethical standard

An examination of tensions in a hybrid collaboration : a longitudinal study of an empty homes project

We analyse the tensions in a hybrid collaboration (specifically, a social alliance comprising three social enterprises and a local council) 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 (including “value for money” and local community benefit) 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 (to address housing need and unemployment). Pre-existing relationships between organizations, and the existence of synergistic capabilities also influence the choice of partners. Secondly, we identify how tensions arise (from differences in organizational size and available resources; ambitions for growth; and issues related to values and ethics), 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