Social Enterprise in Europe: At the Crossroads of Market, Public Policies and Third Sector

Peer reviewe

Contemporary changes and civil society in Portugal and the Russian Federation

Portugal and the Russian Federation share some aspects of traditional culture and similar experiences in modern history, but they also exhibit significant differences that determine specific modes of civil society’s development. Results of a comparative and diachronic analysis show that the major differences between the two countries reside in civil society’s openness and composition. Organized civil society is not very distinct in relative size when comparing Portugal and the Russian Federation, but it is globally more autonomous, expressive, trusted and institutionalized in Portugal than in the Russian Federation and among the factors that contribute to this condition are an earlier and revolutionary transition to democracy, a larger middle class, a greater prevalence of the value of interdependence, and a regime that endorses bigger public social expenditure in Portugal, all this within the framework of the European Union that has a longer history of social demand and institutional incentives for civil society. Despite those unequal conditions, civil society faces similar current challenges in both countries, mainly with the outsourcing of the public provision of social services.info:eu-repo/semantics/acceptedVersio

An exploratory study on the potential of social enterprise to act as the institutional glue of network governance

This study combines two topics of contemporary salience for public administration: social enterprise and governance networks. While operating at different levels, both are institutions which attempt to draw together the three pillars of state, market, and civil society. Nevertheless, the respective literatures focus on particular aspects of the three pillars. We connect the two concepts and suggest that some social enterprises can act as the institutional glue of networks due to their ability to benefit organizations in each of the three sectors. This requires social enterprises to have the managerial capacity to diffuse social know-how, and is facilitated by the trust of other organizations and a supportive policy framework. The links are explicated at the conceptual level before providing evidence from South Korea and the UK. Finally, research propositions are offered, which suggest new avenues for future research

Towards an appreciation of ethics in social enterprise business models

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 (inputs) and the hybrid organisations that emerge out of these commitments and actions (outputs). Ethical theory can be a useful way to re-orient the field of social enterprise so that it is more critical of bureaucratic (charitable) and market-driven (business) enterprises connected to neo-liberal 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 (purpose-versus-resource) by reframing hybridity in terms of the moral choice of economic system (redistribution, reciprocity and market) and social value orientation (personal, mutual or public benefit). We deconstruct the political foundations of charitable trading activities (CTAs), co-operative and mutual enterprises (CMEs) and socially responsible businesses (SRBs) by examining the rationalities (formal, social and substantive) and ethical commitments (utilitarian, communitarian, pragmatic) 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 (knowingly and unknowingly) when choosing between systems of economic exchange and social value orientation, then expressing it through a legal form

Use of Anesthesia Simulator

peer reviewe

Interest rates in savings groups: Thrift or threat?

Savings group (SG) models are praised for achieving financial inclusion for the poorest at a very low cost. Promoted by international NGOs, SG models are inspired by indigenous savings and credit associations (ROSCAs). SG models however differ in that they prescribe lending the pooled savings to group members for an interest. The interest rate aims to (1) boost capital accumulation, (2) allocate scarce capital efficiently, and (3) remunerate and incentivize savers. This paper builds on a six-month fieldwork conducted in South Kivu (DR Congo) consisting of direct observations of SG meetings and interviews with SG participants and practitioners. We study the gaps between SG practitioners’ objectives and SG participants’ perceptions and practices related to the interest rate. Our research pays particular attention to the local context and local norms that interfere with SG practitioners’ objectives. Our analysis highlights three gaps. First, SG participants turn savings into credit for security purposes rather for rapid capital accumulation. Second, credit allocation decisions are guided by fairness and security concerns rather than efficiency. Third, SG participants often regard the accumulated interest as belonging to the group and to active borrowers rather than to passive savers. Our results invite development actors to pay greater attention to the potential risks of the SG approach for its participants. Despite the common appellation “savings groups”, this microfinance innovation builds upon credit and strongly encourages its members to go into debt

Interest rates in savings groups: Thrift or threat?

Savings group (SG) models are praised for achieving financial inclusion for the poorest at a very low cost. Promoted by international NGOs, SG models are inspired by indigenous savings and credit associations (ROSCAs). SG models however differ in that they prescribe lending the pooled savings to group members for an interest. The interest rate aims to (1) boost capital accumulation, (2) allocate scarce capital efficiently, and (3) remunerate and incentivize savers. This paper builds on a six-month fieldwork conducted in South Kivu (DR Congo) consisting of direct observations of SG meetings and interviews with SG participants and practitioners. We study the gaps between SG practitioners’ objectives and SG participants’ perceptions and practices related to the interest rate. Our research pays particular attention to the local context and local norms that interfere with SG practitioners’ objectives. Our analysis highlights three gaps. First, SG participants turn savings into credit for security purposes rather for rapid capital accumulation. Second, credit allocation decisions are guided by fairness and security concerns rather than efficiency. Third, SG participants often regard the accumulated interest as belonging to the group and to active borrowers rather than to passive savers. Our results invite development actors to pay greater attention to the potential risks of the SG approach for its participants. Despite the common appellation “savings groups”, this microfinance innovation builds upon credit and strongly encourages its members to go into debt

The hybrid nature of social enterprises how does it affect their revenue sources?

Purpose This paper aims to examine the applicability of the benefits theory of nonprofit finance to an international sample of social enterprises (SEs). Design/methodology/approach This research analyzes the revenue sources of SEs through the lens of benefits theory. In particular, the authors test the links between revenue sources and the character of an enterprise's mission. This study uses data on 545 SEs collected by the International Comparative Social Enterprise Models project, which was an international collaborative effort of more than 200 researchers. The authors use cross-sectional multivariate regression to identify the factors which influence the revenue portfolios of SEs. Findings The findings provide evidence of SE revenue portfolios that are nuanced and complicated. Benefits theory helps to illuminate this nuance. The application of benefits theory to SE goes beyond the traditional characterization of the publicness and privateness of goods and services to include the intended beneficiaries, the nature of benefits they receive and the management practices followed to assure distribution of benefits to intended beneficiary groups. By analyzing the public (and private) goals of SEs, such as employment generation and food security, the authors gain an understanding of what they really do, and hence, how they can be best financed. Originality/value This study provides empirical support to the applicability of benefits theory to SEs, which provides both theoretical advancement and practical implications