Abstract
Social enterprises need to identify an innovative and differentiated business model to more efficiently meet the needs of their clients and survive in the long term. However, research on customer perception of this innovation is scant. Therefore, the objective of this research was to explore the effect of socially responsible consumption on the business model innovation perceived by clients of social enterprises in the service sector and its effect on satisfaction and loyalty. A quantitative cross-sectional study was conducted with 400 customers of social enterprises in the services sector in Mexico. Results showed that socially responsible consumption had a positive influence of perceived business model innovation. Perceived business model innovation had a direct, positive influence on customer satisfaction and an indirect positive influence on loyalty. The implications of the results were discussed.
Highlights
More consumers with different characteristics and socioeconomic levels are choosing responsible consumption options
The present article examines business model innovation (BMI), from the perception of customers, in social enterprises that act as agents of change and that operate in the service sector in an emerging country
We reported a combination of absolute and incremental fit index: χ2, Root Mean Square Error of Approximation (RMSEA), Comparative Fit Index (CFI), and Tucker Lewis Index (TLI)
Summary
More consumers with different characteristics and socioeconomic levels are choosing responsible consumption options (deKlerk, Kearns & Redwood, 2019) This implies that they make purchasing decisions based, in part, on pro-social values when consuming products and services (Golob et al, 2019). For this reason, organizations with explicit corporate social responsibility efforts and social enterprises need to strategically configure their business model to generate value and obtain a competitive advantage. Innovation is one of the significant determinants of value creation (Austin & Seitanidi, 2012) It can arise in the product or service (Lusch & Nambisan, 2015), in the strategies (Pitelis, 2009) or even in the business model (Berends, Smits, Reymen, & Podoynitsyna, 2016).
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