Analysing the impact of organisation’s dual mission on the development of social projects and innovation

Abstract

PurposeHow does organisational mission affect the development of social entrepreneurship and social innovation? Based on the theoretical perspective of social innovation, the aim of this paper is to empirically analyse the impact of the organisation’s dual mission (social and economic) on social entrepreneurship and social innovation, as well as to discover the effect of the latter on the performance of organisations.Design/methodology/approachUsing data from 213 social economy firms, the authors conduct an empirical test of hypotheses using structural equation modelling.FindingsThe empirical study shows that an organisation’s dual mission (social and economic) has a positive effect on social entrepreneurship. However, the results suggest that the creation of social innovations is based more on social dimensions than on the economic interest of companies. The results also confirm that companies willing to embark on social projects can develop new products or services that address social needs.Originality/valueThe findings not only supply empirical evidence that helps clarify the effects of economic and social missions on organisational performance but they also offer guidance to companies on the role of social innovation in strengthening organisations.