Concept and Theories of Social Innovation

Abstract

Theories and concepts of social innovation are discussed in this chapter. After briefly discussing the evolution of the concept of social innovation, it is shown in the chapter that the concept, although in use since the eighteenth century, gained considerable importance in the academic literature and policymaking from the turn of the twenty-first century largely because of the financial crisis of 2008, and austerity agenda of countries in Europe. This is further corroborated by the review of research studies on social innovation. Important theories influencing social innovation are social action, social and solidarity economy, innovations, social entrepreneurship, social investment and social capital and new public management. An evolutionary perspective to the concept of social innovation is provided to show that the meaning of social innovation constantly expanded over a period of time in response to changing social needs and social relations.