Social Entrepreneurial Orientation of Non-Governmental Non-Profit Organizations

Authors

  •   A. M. Shafna Temporary Lecturer (Corresponding Author), Department of Agricultural Economics and Business Management, Faculty of Agriculture, University of Peradeniya
  •   K. A. S. S. Kodithuwakku Senior Professor, Department of Agricultural Economics and Business Management, Faculty of Agriculture, University of Peradeniya
  •   Shamala Kumar Professor, Department of Agricultural Economics and Business Management, Faculty of Agriculture, University of Peradeniya

DOI:

https://doi.org/10.17010/amcije/2023/v6i2-3/173335

Keywords:

Non-Profit Organizations

, Social Entrepreneurial Orientation, Social Innovativeness, Socialness, Social Proactiveness, Social Risk-Taking.

JEL Classification Codes

, L21, L26, L31

Paper Submission Date

, June 26, 2023, Paper sent back for Revision, July 10, Paper Acceptance Date, July 15, 2023

Abstract

Purpose : Social entrepreneurial orientation (SEO) is the adaptation of entrepreneurship in an organization that enhances the performance and sustainability of organizations. The study assessed the levels of SEO, including its key dimensions (social innovativeness, social proactiveness, social risk-taking, and socialness), across different types of non-governmental non-profit organizations (NPOs) and identified factors that affect SEO.

Methodology : One hundred and ten non-governmental organizations in Sri Lanka’s Ampara District were investigated. The owners or management of the organizations provided the information. The study included a structured questionnaire, and Stata 19 was used for the analysis.

Findings : Results showed that levels of SEO varied greatly depending on the type of company. SEO was significantly positively correlated with organization size, organic organizational structure, government non-financial support, and strong-tie resource mobilization. NPOs with financial government-supported and revenue-generating operations have much higher SEO. Additionally, the gender and race of the owners or management made a big difference in SEO. Male-owned or managed businesses displayed higher SEO than those with female owners or managers. According to religion, the SEO of NPOs was found to be in the following order: In descending order, the names of business owners or managers who represented Islam, Roman Catholicism/Christianity, Buddhism, and Hinduism are listed.

Practical Implications : The study found that more target-oriented support should be provided for the NPOs. These must take into account both organizational and personnel characteristics of organizations.

Originality : This study constructed a model to evaluate factors impacting the level of SEO, in contrast to earlier studies on SEO.

Downloads

Download data is not yet available.

Downloads

Published

2023-09-01

How to Cite

Shafna, A. M., Kodithuwakku, K. A. S. S., & Kumar, S. (2023). Social Entrepreneurial Orientation of Non-Governmental Non-Profit Organizations. AMC Indian Journal of Entrepreneurship, 6(2-3), 8–30. https://doi.org/10.17010/amcije/2023/v6i2-3/173335

Issue

Volume 6, Issue 2-3, April-September 2023

Section

Articles
Crossref
Scopus
Google Scholar
Europe PMC

References

Alarif, G., Robson, P., & Kromidha, E. (2019). The manifestation of entrepreneurial orientation in the social entrepreneurship context. Journal of Social Entrepreneurship, 10(3), 307–327. https://doi.org/10.1080/19420676.2018.1541015

Anheier, H. K. (2005). Non-profit organisations: Theory, management, policy. Routledge.

Anwar, M., & Ali Shah, S. Z. (2020). Managerial networking and business model innovation: Empirical study of new ventures in an emerging economy. Journal of Small Business & Entrepreneurship, 32(3), 265–286. https://doi.org/10.1080/08276331.2018.1490509

Awang, Z. (2014). A handbook on structural equation modeling. MPWS Publisher.

Baum, J. A., Cowan, R., & Jonard, N. (2014). Does evidence of network effects on firm performance in pooled cross-section support prescriptions for network strategy? Strategic Management Journal, 35(5), 652–667. https://doi.org/10.1002/smj.2133

Bhuian, S. N., Richard, O. C., & Shamma, H. M. (2012). Entrepreneurial orientation and organisational performance: The role of managerial traits. Journal for International Business and Entrepreneurship Development, 6(3–4), 203–223. https://doi.org/10.1504/JIBED.2012.049797

Bouncken, R. B., Plüschke, B. D., Pesch, R., & Kraus, S. (2016). Entrepreneurial orientation in vertical alliances: Joint product innovation and learning from allies. Review of Managerial Science, 10, 381–409. https://doi.org/10.1007/s11846-014-0150-8

Brandsen, T., & Simsa, R. (2016). Civil society, non-profit organizations, and citizenship in China: An editorial introduction to the China Issue. VOLUNTAS: International Journal of Voluntary and Non-profit Organizations, 27(5), 2011–2020. https://doi.org/10.1007/s11266-016-9774-4

Brown, L. D., & Moore, M. H. (2001). Accountability, strategy, and international nongovernmental organisations. Nonprofit and Voluntary Sector Quarterly, 30(3), 569–587. https://doi.org/10.1177/0899764001303012

Chell, E., Spence, L. J., Perrini, F., & Harris, J. D. (2016). Social entrepreneurship and business ethics: Does social equal ethical? Journal of Business Ethics, 133, 619–625. https://doi.org/10.1007/s10551-014-2439-6

Chen, H. L., & Hsu, C.-H. (2013). Entrepreneurial orientation and firm performance in non-profit service organizations: Contingent effect of market orientation. The Service Industries Journal, 33(5), 445–466. https://doi.org/10.1080/02642069.2011.622372

Cohen, R. J., & Swerdlik, M. E. (2005). Psychological testing and assessment: An introduction to tests and measurement (6th ed.). McGraw-Hill.

Dai, W., & Si, S. (2018). Government policies and firms’ entrepreneurial orientation: Strategic choice and institutional perspectives. Journal of Business Research, 93, 23–36. https://doi.org/10.1016/j.jbusres.2018.08.026

Dees, J. G. (2001). The meaning of social entrepreneurship. Center for the Advancement of Social Entrepreneurship (CASE), Duke University’s Fuqua School of Business.

District Secretariat – Ampara (2019). Annual performance reports & accounts.

Do Adro, F., Fernandes, C. I., Veiga, P. M., & Kraus, S. (2021). Social entrepreneurial orientation and performance in non-profit organizations. International Entrepreneurship and Management Journal, 17, 1591–1618. https://doi.org/10.1007/s11365-021-00748-4

Ebaugh, H. R., Chafetz, J. S., & Pipes, P. F. (2006). Where’s the faith in faith-based organizations? Measures and correlates of religiosity in faith-based social service coalitions. Social Forces, 84(4), 2259–2272. https://doi.org/10.1353/sof.2006.0086

Ebaugh, H. R., Chafetz, J. S., & Pipes, P. F. (2007). Collaborations with faith-based social service coalition. Non-profit Management & Leadership, 18(2), 175–191. https://doi.org/10.1002/nml.180

Eikenberry, A. M. (2009). Refusing the market: A democratic discourse for voluntary and non-profit organisations. Non-profit and Voluntary Sector Quarterly, 38(4), 582–596. https://doi.org/10.1177/0899764009333686

Enjolras, B., & Sivesind, K. H. (2018). The roles and impacts of the third sector in Europe. In B. Enjolras, K. H. Sivesind, & A. Zimmer (Eds.), The third sector as a renewable resource for Europe: Concepts, impacts, challenges and opportunities (pp. 95–124). Palgrave Macmillan. https://doi.org/10.1007/978-3-319-71473-8_4

Ertz, M., Karakas, F., & Sarigöllü, E. (2016). Exploring pro-enviromental behaviors of consumers: An analysis of contextual factors, attitude, and behaviors. Journal of Business Research, 69(10), 3971–3980. https://doi.org/10.1016/j.jbusres.2016.06.010

Gelan, D., & Wedajo, G. (2013). Factors affecting entrepreneurial orientation level of business women: The case of Gambela region of Ethiopia. Available at SSRN. http://dx.doi.org/10.2139/ssrn.2261488

Goktan, A. B., & Gupta, V. K. (2015). Sex, gender, and individual entrepreneurial orientation: Evidence from four countries. International Entrepreneurship and Management Journal, 11, 95–112. https://doi.org/10.1007/s11365-013-0278-z

Gresov, C., & Drazin, R. (1997). Equifinality: Functional equivalence in organization design. The Academy of Management Review, 22(2), 403–428. https://doi.org/10.5465/amr.1997.9707154064

Halberstadt, J., Niemand, T., Kraus, S., Rexhepi, G., Jones, P., & Kailer, N. (2021). Social entrepreneurship orientation: Drivers of success for start-ups and established industrial firms. Industrial Marketing Management, 94, 137–149. https://doi.org/10.1016/j.indmarman.2020.06.012

Hardina, D., Middleton, J. D., Montana, S. M., & Roger A. S. (2007). An Empowering Approach to Managing Social Service Organisations. Springer Publishing.

How is an IGO and an NGO different? (2023, August 17). Vakil Search. https://vakilsearch.com/advice/how-is-an-igo-and-an-ngo-different/

Hu, Y., & Pang, X. (2013). Social entrepreneurial orientation and performance of non-profit organizations: An empirical study in China. Journal of Applied Sciences, 13(19), 3989–3994. https://doi.org/10.3923/jas.2013.3989.3994

Jelenc, L., Pisapia, J., & Ivanušić, N. (2016). Demographic variables influencing individual entrepreneurial orientation and strategic thinking capability. Journal of Economic and Social Development, 3(1), 3–14.

Kang, G. D., & James, J. (2007). Revisiting the concept of a societal orientation: Conceptualization and delineation. Journal of Business Ethics, 73(3), 301–318. https://doi.org/10.1007/s10551-006-9208-0

Kaviya, A. (2021). NGO vs INGO. https://vakilsearch.com/advice/ngo-vs-ingo/

Kelly, D., & Lewis, A. (2009). Human service sector nonprofit organization’s social impact. Business Strategy Series, 10(6), 374–382. https://doi.org/10.1108/17515630911005664

Korosec, R. L., & Berman, E. M. (2006). Municipal support for social entrepreneurship. Public Administration Review, 66(3), 448–462. https://doi.org/10.1111/j.1540-6210.2006.00601.x

Kraus, S., Niemand, T., Halberstadt, J., Shaw, E., & Syrjä, P. (2017). Social entrepreneurship orientation: Development of a measurement scale. International Journal of Entrepreneurial Behavior & Research, 23(6), 977–997. https://doi.org/10.1108/IJEBR-07-2016-0206

Kusa, R. (2016). Measuring entrepreneurial orientation in the social context. Entrepreneurial Business and Economics Review, 4(3), 117–129. https://doi.org/10.15678/EBER.2016.040309

Leach, C. W., van Zomeren, M., Zebel, S., Vliek, M. L., Pennekamp, S. F., Doosje, B., Ouwerkerk, J. W., & Spears, R. (2008). Group-level self-definition and self-investment: A hierarchichal (multicomponent) model of in-group identification. Journal of Personality and Social Psychology, 95(1), 144–165. https://doi.org/10.1037/0022-3514.95.1.144

Lumpkin, G. T., Moss, T. W., Gras, D. M., Kato, S., & Amezcua, A. S. (2013). Entrepreneurial processes in social contexts: How are they different, if at all? Small Business Economics, 40(3), 761–783. https://doi.org/10.1007/s11187-011-9399-3

Lurtz, K., & Kreutzer, K. (2017). Entrepreneurial orientation and social venture creation in non-profit organizations: The pivotal role of social risk taking and collaboration. Non-profit and Voluntary Sector Quarterly, 46(1), 92–115. https://doi.org/10.1177/0899764016654221

Lyons, K. (2010). Editorial. International Social Network, 53(5), 595–598. https://doi.org/10.1177/0020872810378796

Mano, R. S. (2010). Organizational crisis, adaptation, and innovation in Israel’s non-profit organizations: A learning approach. Administration in Social Work, 34(4), 344–350. https://doi.org/10.1080/03643107.2010.500985

Marques, C. S., Santos, G., Galvão, A., Mascarenhas, C., & Justino, E. (2018). Entrepreneurship education, gender and family background as antecedents on the entrepreneurial orientation of university students. International Journal of Innovation Science, 10(1), 58–70. https://doi.org/10.1108/IJIS-07-2017-0067

Martinez-Climent, C., Rodriguez-Garcia, M., & Zeng, J. (2019). Ambidextrous leadership, social entrepreneurial orientation, and operational performance. Sustainability, 11(3), 890. https://doi.org/10.3390/su11030890

Mishra, S., & Suar, D. (2010). Does corporate social responsibility influence firm performance of Indian companies? Journal of Business Ethics, 95, 571–601. https://doi.org/10.1007/s10551-010-0441-1

Morris, M. H., Webb, J. W., & Franklin, R. J. (2011). Understanding the manifestation of entrepreneurial orientation in the non-profit context. Entrepreneurship Theory and Practice, 35(5), 947–971. https://doi.org/10.1111/j.1540-6520.2011.00453.x

Nivetha, K. (2023, August 17). What is the difference between an NGO and a CBO. Vakil Search. https://vakilsearch.com/advice/what-is-the-difference-between-an-ngo-and-a-cbo/

Opare, S. (2007). Strengthening community-based organizations for the challenges of rural development. Community Development Journal, 42(2), 251–264. https://doi.org/10.1093/cdj/bsl002

Padilla-Meléndez, A., Rosa Del Aguila-Obra, A., & Lockett, N. (2014). All in the mind: Understanding the social economy enterprise innovation in Spain. International Journal of Entrepreneurial Behaviour & Research, 20(5), 493–512. https://doi.org/10.1108/IJEBR-10-2013-0164

Pallant, J. (2001). SPSS survival manual : A step by step guide to data analysis using IBM SPSS. Routledge. https://doi.org/10.4324/9781003117407

Pearce, J. A., Fritz, D. A., & Davis, P. S. (2010). Entrepreneurial orientation and the performance of religious congregations as predicted by rational choice theory. Entrepreneurship Theory & Practice, 34(1), 219–248. https://doi.org/10.1111/j.1540-6520.2009.00315.x

Rao, N., Sankaran, K., & Prveen, S. (2022). Evolution of social entrepreneurship research in India: Bibliometric analysis of literature. AMC Indian Journal of Entrepreneurship, 5(3), 29–41. https://doi.org/10.17010/amcije/2022/v5i3/172441

Rauch, A., Wiklund, J., Lumpkin, G. T., & Frese, M. (2009). Entrepreneurial orientation and business performance: An assessment of past research and suggestions for the future. Entrepreneurship Theory and Practice, 33(3), 761–787. https://doi.org/10.1111/j.1540-6520.2009.00308.x

Sánchez Cañizares, S. M., & Fuentes García, F. J. (2010). Gender differences in entrepreneurial attitudes. Equality, Diversity and Inclusion, 29(8), 766–786. https://doi.org/10.1108/02610151011089519

Satar, M. S., & Natasha, S. (2019). Individual social entrepreneurship orientation: Towards development of a measurement scale. Asia Pacific Journal of Innovation and Entrepreneurship, 13(1), 49–72. https://doi.org/10.1108/APJIE-09-2018-0052

Sekaran, U., & Bougie, R. (2016). Research methods for business: A skill building approach (7th Ed.). John Wiley & Sons.

Shane, S., & Venkataraman, S. (2000). The promise of entrepreneurship as a field of research. Academy of Management Review, 25(1), 217–226. https://doi.org/10.5465/amr.2000.2791611

Shivani, S., Mukherjee, S. K., & Sharan, R. (2006). Socio-cultural influences on Indian entrepreneurs: The need for appropriate structural interventions. Journal of Asian Economics, 17(1), 5–13. https://doi.org/10.1016/j.asieco.2006.01.002

Shoghi, B., & Safieepoor, A. (2013). The effects of organizational structure on the entrepreneurial orientation of the employees. Journal of International Studies, 6(2), 54–64. https://doi.org/10.14254/2071-8330.2013/6-2/5

Short, J. C., Moss, T. W., & Lumpkin, G. T. (2009). Research in social entrepreneurship: Past contributions and future opportunities. Strategic Entrepreneurship Journal, 3(2), 161–194. https://doi.org/10.1002/sej.69

Slevin, D. P., & Terjesen, S. A. (2011). Entrepreneurial orientation: Reviewing three papers and implications for further theoretical and methodological development. Entrepreneurship Theory and Practice, 35(5), 973–987. https://doi.org/10.1111/j.1540-6520.2011.00483.x

Stam, W., & Elfring, T. (2008). Entrepreneurial orientation and new venture performance: The moderating role of intra-and extraindustry social capital. Academy of Management Journal, 51(1), 97–111. https://doi.org/10.5465/amj.2008.30744031

Stecker, M. J. (2014). Revolutionizing the non-profit sector through social entrepreneurship. Journal of Economic Issues, 48(2), 349–358. https://doi.org/10.2753/JEI0021-3624480208

Suh, J., Harrington, J., & Goodman, D. (2018). Understanding the link between organizational communication and innovation: An examination of public, non-profit and for-profit organizations in South Korea. Public Personnel Management, 47(2), 217–244. https://doi.org/10.1177/0091026018760930

Tan, W. L. (2010). Non-profit Organisations and Social Entrepreneurship Intentions. Research Collection Lee Kong Chian School of Business: Rencontres de St-Gall, St Gallen, Switzerland. https://ink.library.smu.edu.sg/lkcsb_research/3076

The World Bank. (2018). Sri Lanka socio-economic assessment of the conflict affected northern and Eastern provinces. Washington: DC.

Thornton, S. C., Henneberg, S. C., & Naudé, P. (2015). An empirical investigation of network-oriented behaviors in business-to-business markets. Industrial Marketing Management, 49, 167–180. https://doi.org/10.1016/j.indmarman.2015.05.013

Turpin, A., & Shier, M. L. (2020). Social entrepreneurial orientation in human service organizations: A scoping review. Human Service Organizations: Management, Leadership & Governance, 44(2), 144–168. https://doi.org/10.1080/23303131.2019.1700580

Uvin, P., & Miller, D. (1996). Paths to scaling-up: Alternative strategies for local nongovernmental organisations. Human Organization, 55(3), 344–354. https://doi.org/10.17730/humo.55.3.v44334362401041t

Weerasooriya, R., Khatibi, A., & De Alwis, A. C. (2014). The impact of strategic planning for training and educational non-government organizations in Sri Lanka: An evaluation using the balanced scorecard. International Journal of Management Sciences and Business Research, 3(7).

Weerawardena, J., & Mort, G. S. (2006). Investigating social entrepreneurship: A multidimensional model. Journal of World Business, 41(1), 21–35. https://doi.org/10.1016/j.jwb.2005.09.001

Weerawardena, J., & Mort, G. S. (2012). Competitive strategy in socially entrepreneurial non-profit organisations: Innovation and differentiation. Journal of Public Policy & Marketing, 31(1), 91–101. https://doi.org/10.1509/jppm.11.034

Wilson, F., Kickul, J., & Marlino, D. (2007). Gender, entrepreneurial self–efficacy, and entrepreneurial career intentions: Implications for entrepreneurship education. Entrepreneurship Theory and Practice, 31(3), 387–406. https://doi.org/10.1111/j.1540-6520.2007.00179.x

Zeffane, R. (2013). Need for achievement, personality and entrepreneurial potential: A study of young adults in the United Arab Emirates. Journal of Enterprising Culture (JEC), 21(1), 75–105. https://doi.org/10.1142/S0218495813500040