An Exploration of Some Effects of Social Innovation Capability in Social Enterprises in Mexico

Judith Cavazos-Arroyo

doi:10.4067/s0718-27242020000400063

Abstract

Social enterprises need to develop processes that create social value based on their initiative to find solutions to social problems through innovative strategies. The objective of this research was to examine the effect of social innovation capability, social marketing achievements and enterprise social performance as antecedents of social value creation in social enterprises in Mexico. An explanatory and cross-sectional study was developed for 106 managers of social enterprises in Mexico. A Structural Equation Modelling was applied using Partial Least Squares to test five hypotheses. The results supported that social innovation capability has a positive and direct effect on social value creation, social marketing achievements and enterprise social performance. Similarly, these last two showed a direct effect on social value creation. Particularly, it was identified that social innovation capability had the greatest effect on social value creation. The implications of the results are discussed.

Highlights

Social enterprises need to make an effort to create a sustainable business model, reach the fullness of their social mission and obtain the greatest possible social impact through a new way of doing business (Pineda, 2018)
The social innovation scale was adapted from Keskin (2006), the social value creation and the social marketing achievements were measured with scales from Liu, Eng and Takeda (2015) and the social performance scale from Lortie, Castro Geovanni and Cox (2017)
The total effect to social value creation was calculated by the sum of the significant direct and indirect effects and the result was of 0.596 considered as notable (Hair et al, 2016). The purpose of this investigation was to examine the effect of social innovation capability, social marketing achievements and enterprise social performance as antecedents of social value creation in social enterprises in Mexico

Summary

Introduction

Social enterprises need to make an effort to create a sustainable business model, reach the fullness of their social mission and obtain the greatest possible social impact through a new way of doing business (Pineda, 2018). They develop processes that create social value based on their initiative to find solutions to social problems through innovative strategies that involve the combination of resources and the exploitation of opportunities to stimulate social change (Dees, 1998). Social marketing achievements and enterprise performance can be key aspects of contributing to increasing the social value of an organization

Objectives

Methods

Results

Conclusion