Christine K. Volkmann Kim Oliver Tokarski Kati Ernst (Eds.) Social Entrepreneurship and Social Business An Introduction and Discussion with Case Studies fya Springer Gable r
Editors' Preface V Part I: The Field. 1 1 Background, Characteristics and Context of Social Entrepreneurship 3 1.1 Introduction 4 1.2 The Role of Social Entrepreneurship in Societies, Economies and Politics 5 1.3 The Story of Social Entrepreneurship in Academia 10 1.4 Concepts and Typologies of Social Entrepreneurship 12 1.4.1 Social Entrepreneurship and Social Entrepreneur 12 1.4.2 Social Enterprise 20 1.5 Case Study 25 1.6 Further Reading 27 1.7 Bibliography 27 2 Social Entrepreneurship: Definitions, Drivers and Challenges 31 2.1 Introduction 32 2.2 Social Entrepreneurship Defined 33 2.3 What Social Entrepreneurship is Not 36 2.3.1 Not a Discrete Sector 36 2.3.2 Not a Synonym for Social Business 37 2.3.3 Not a New Form of Corporate.Social Responsibility 38 2.3.4 Not the Only Model of Social Innovation 39 2.4 The Drivers of Social Entrepreneurship 39 2.5 The Size and Scope of the Field of Social Entrepreneurship 41 2.6 Conclusion and Future Research 42 2.7 Exercise: Using Case Studies to Discuss Definitional Issues 44 2.8 Further Reading 45 2.9 Bibliography 45 Part II: The People 49 3 Social Entrepreneurs and their Personality 51 3.1 Introduction ' 52 3.2 Personality in Entrepreneurship Studies 54 3.3 Elements of the Social Entrepreneurial Personality 56 3.3.1 Entrepreneurial Personality 56 3.3.2 Prosocial Personality 58 3.3.3 The Social Entrepreneurial Personality 60 3.4 Case Study 61 3.5 Further Reading 63 3.6 Bibliography 63
VIII Table of Contents 4 Human Resource Management and Volunteer Motivation 65 4.1 Introduction 66 4.2 Personnel Work in Social Enterprises 68 4.3 The Person Who Volunteers 69 4.4 Motivation of Volunteers 70 4.4.1 Volunteer to Serve: The Altruism Debate.". 70 4.4.1.1 Theories of Altruism 70 4.4.1.2 Motives of Altruism 72 4.4.2 Volunteer to Meet the Own Needs: The Egoism Debate 72 4.4.2.1 Egoism Theories 72 4.4.2.2 Motives of Egoism 74 4.5 Implications for Volunteer Management 75 4.6 Case Study 79 4.7 Further Reading 81 4.8 Bibliography 81 5 Collaborations and Partnerships 83 5.1 Introduction 84 5.2 Reasons for Crafting Collaborations 84 5.3 Different Collaboration Partners 86 5.3.1 Collaborating with the Private Sector 87 5.3.2 Collaborating with the Public Sector 88 5.3.3 Collaborating with the Civil Sector 89 5.4 Designing a Collaboration 90 5.4.1 Different Dimensions of Collaborative Value Chain Integration 90 5.4.2 Specific Types of Collaborations 92 5.5 Potential Risks and Challenges 94 5.6 Guidelines to Establish a Collaboration 95 5.6.1 Preparation Phase 96 5.6.2 Planning Phase 96 5.6.3 Developing Phase 97 5.6.4 Renewing Phase 97 5.7 Case Study 98 5.8' Further Reading 100 5.9 ' Bibliography 100
IX Part III: The Business 103 6 Business Models in Social Entrepreneurship 105 6.1 Introduction 106 6.2 Opportunities for Social Entrepreneurs 107 6.2.1 The Nature of Social Entrepreneurial Opportunities 107 6.2.2 Opportunity Recognition in Social Entrepreneurship 108 6.2.3 Examples: How Social Entrepreneurs Translate Problems into Opportunities... 110 6.3 Distinct Features of Business Models for Social Enterprises 114 6.4 Design Principles of Social Entrepreneurship Business Models 119 6.4.1 Addressing the Root Cause of a Societal Problem 119 6.4.2 Empowerment of Beneficiaries 120 6.4.3 Co-Creation 120 6.4.4 Price-Differentiation and Cross-Subsidization 121 6.5 Replication and Scaling-Up 122 6.6 Case Study 125 6.7 Further Reading 130 6.8 Bibliography 130 7 Selling Good: Tfie Big Picture of Marketing for Social Enterprises 133 7 A Introduction 134 7.2 Why is Marketing Important for Social Enterprises? 136 7.3 Peculiarities Concerning Marketing for Social Enterprises 137 7.4 Elaborating a Marketing Conception 139 7.4.1 The Elements of a Marketing Conception - Basic Framework 139 7.4.2 Market Analysis 140 7.4.3 Marketing Coals 142 7.4.4 Competitive Strategy 144 7.4.5 Measures - Planning & Implementation 145 7.4.5.1 Procurement- Fundraising 145 7.4.5.2 Sales Marketing to Beneficiaries 150 7.4.6 Controlling 153 7.5 Conclusion 153 7.6 Case Study 154 7.7 Further Reading 155 7.8 Bibliography 155
8 Financing of Social Entrepreneurship 157 8.1 Introduction 158 8.2 Financing Instruments 161 8.2.1 Donations 162 8.2.2 Equity Capital 163 8.2.3 Debt Capital 164 8.2.4 Mezzanine Capital 164 8.2.5 Hybrid Capital 165 8.3 Financing Institutions 166 8.3.1 Value Banks 167 8.3.2 Social Investment Advisors 167 8.3.3 Social Stock Exchanges 168 8.3.4 Venture Philanthropy Funds 168 8.3.5 Social Investment Funds 169 8.3.6 Funding Consultancies 170 8.4 Case Study 171 8.5 Further Reading 172 8.6 Bibliography 172 9 Performance Measurement and Social Entrepreneurship 175 9.1 Introduction 176 9.2 Why Accountability in Social Entrepreneurship is Crucial 179 9.3 Impact Measurement 181 9.3.1 Measuring Outputs and Outcomes 182 9.3.2 Approaches to Measuring Social Impact 183 9.3.2.1 Data Captured 183 9.3.2.2 Use of Data 184 9.3.2.3 Application 185 9.3.2.4 Techniques Involved 185 9.3.3 Issues in Measuring the Performance of Social Enterprises 186 9.4 Case Study 187 9.5 Further Reading 189 9.6 Bibliography 189
XI 70 Strategies for Scaling in Social Entrepreneurship 191 10.1 Introduction 192 10.2 Theory on Scaling 193 10.2.1 Prerequisites 193 10.2.2 Scaling Strategies '. 194 10.2.2.1 Dissemination 194 10.2.2.2 Affiliation 195 10.2.2.3 Social Franchising 196 10.2.2.4 Branching 197 10.2.3 Choosing the Appropriate Scaling Strategy 198 10.2.4 Scalability from the Perspective of Investors 199 10.3 Implications of Scaling: Barriers and Solutions 199 10.3.1 Financing 200 10.3.1.1 Internal Financing 201 10.3.1.2 External Financing 201 10.3.2 Human Resources 202 10.3.2.1 Founder Level 202 10.3.2.2 Staff Level 203 10.3.3 Quality Control and Management 203 10.3.3.1 Difficulties Concerning Quality Management 204 10.3.3.2 Approaches to Ensure Quality 204 10.4 Outlook 204 10.5 Case Study 206 10.6 Further Reading 208 10.7 Bibliography 208 Part IV: The Market 211 11 Social Entrepreneurship in the Market System 213 11.1 Introduction 214 11.2 The Function of Social Entrepreneurship in the Market System 215 11.3 The Socio-Institutional Context of Social Entrepreneurship 219 11.3.1 The Legitimacy of Social Enterprises 220 11.3.2 The Scope for Social Entrepreneurship in the Market Economy 224 11.4 Case Study 229 11.5 Further Reading 232 11.6 Bibliography 232
XII Table of Contents 72 The Impact of Social Entrepreneurship on Societies 235 12.1 Introduction 236 12.2 A Societal Perspective on Impact 237 12.3 Static Impact and Social Entrepreneurship 239 12.3.1 Static Impact of Charitable NGOsand Aid vs. Social Entrepreneurship 240 12.3.2 Static Impact of For-Profit Companies vs. Social Entrepreneurship 242 12.3.3 Static Impact of Government Provision vs. Social Entrepreneurship 243 12.3.4 Social Entrepreneurship as a Second-Best Solution in Terms of Static Impact... 245 12.4 Dynamic Impact and Social Entrepreneurship 246 12.4.1 Dynamic Impact of Charitable NGOs and Aid vs. Social Entrepreneurship 247 12.4.2 Dynamic Impact of For-Profit Companies vs. Social Entrepreneurship 248 12.4.3 Dynamic Impact of Government Provision vs. Social Entrepreneurship 250 12.5 Conclusion 251 12.6 Case Study 252 12.7 Further Reading 254 12.8 Bibliography 254 13 Critical Reflections on Social Entrepreneurship 255 13.1 Introduction 256 13.2 Problematising Social Entrepreneurship: Typology of Critical Endeavours 258 13.3 Myth Busting: Testing Popular Ideas and their Assumptions 259 13.4 Critique of Power Effects: Denormalising Discourses, Ideologies and Symbols 261 13.5 Normative Critique: Marking Moral Foundations 263 13.6 Critique of Transgression: Resisting and Re-appropriating Prescribed Routes.. 265 13.7 Interventionist Critique: Opening More Radical Trajectories 267 13.8 Introduction to Critical Reflection 270 13.9 Further Reading 272 13.10 Bibliography 273 The Authors 277 Index 283