Dataset Modelling of the Financial Risk Management of Social Entrepreneurship in Emerging Economies

The relevance of this study lies in the fact that financial risk is a serious obstacle to the development of social entrepreneurship, preventing the implementation of potential support for sustainable development goals in business. The purpose of this article is to clarify specific aspects of financing factors and financial risk related to social entrepreneurship in developing countries (in comparison with the standard financial risk related to commercial entrepreneurship) in order to analyze the influence of the financing factors of social entrepreneurship on sustainable development, as well as to determine the potential for the development of social entrepreneurship through financial risk management. To achieve this goal, this article uses the methodology of econometrics—dataset modelling of financial risk management in social entrepreneurship to achieve sustainable development in emerging economies. On the basis of the results of this study, firstly, it is substantiated that the financial risks entailed by social entrepreneurship differ from the standard financial risk present in commercial entrepreneurship. Specific factors of the financing of sustainable development in emerging economies are determined and, on the basis of this, financial risks specific to social entrepreneurship in emerging economies are identified as follows: (1) reduced stimulus to use financial resources in long-term investments, which disrupts the stability and decreases inclusion; (2) joint public–private investments and decreased investment in R&D; and (3) expanded investment in the skills required for jobs and “markets of tomorrow”. Secondly, a contradictory influence of financing factors on sustainable development is demonstrated. Thirdly, a large potential for the development of social entrepreneurship by means of financial risk management (maximum reduction) was identified. With the minimization of financial risk, social entrepreneurship would demonstrate substantial progress, with an increase of 99.61% (more than 50%) from 45.18 points to 90.18 points. A novel contribution of this paper to the extant literature consists of the specification of the essence and specifics of social entrepreneurship in emerging economies through the identification of financial risks and the provision of recommendations for their management.

Prospects for the introduction of intellectual resources in the digital environment of commercial entrepreneurship

The relevance and practical significance of the research is determined by the increasing role of intellectual resources in the conditions of digitalization of entrepreneurship. Along with other types, intellectual resources determine the competitiveness of trade enterprises and act as a key factor in their development. One of the main features that characterize the modern economy is a high level of competition, which ultimately leads to the need to maximize the use of all available resources, actively introduce innovative technologies, and quickly adapt to changing market conditions. The scope of the study is expanded by the fact that during the coronavirus pandemic, commercial entrepreneurship in Russia was greatly transformed. suffered and transformed. The pandemic has pushed commerce to online platforms, and contributed to the development of a favorable environment for e-commerce. Currently, a wide range of digital innovations are used in commercial entrepreneurship. The COVID-19 crisis has accelerated the spread of e-commerce to new firms, customers, and products. This allowed the trade enterprises to continue working, despite the limitations of contacts. At the same time, the possession of intellectual capital has a significant impact on the competitiveness of firms. The importance of intangible assets as a source of competitive advantages is growing rapidly. Blockchain and related technologies are currently relevant, many industries are exploring their capabilities, and new ways to use it are constantly emerging. Since the distributed ledger technology creates a secure, verified, and immutable information chain, it finds application in brand protection and enforcement, and is used to track.

Commercial social spaces in the post-disaster context

PurposeThis paper argues that commercial entrepreneurial activities have social implications and can provide needed social spaces during the disaster recovery process, and that viewing commercial enterprises as socially valuable has implications for post-disaster public policy.Design/methodology/approachThis paper discusses themes and concepts developed through in-depth interviews conducted in New Orleans, Louisiana, and Houston, Texas, after Hurricane Katrina. Particular case studies of the personal experiences of communities that recovered after Hurricane Katrina are utilized to highlight how commercial entrepreneurship creates and maintains social spaces where community members can share resources and connect during the recovery process.FindingsEntrepreneurs need not have a specific social mission in order to make social contributions, and commercial entrepreneurship should create and maintain social spaces that are important for community recovery after disasters.Practical implicationsThe social spaces that commercial entrepreneurs facilitate should be considered when designing and implementing public policy in the post-disaster context. Policies can often hinder recovery, and policymakers should instead establish clear regulatory regimes and allow for greater space for entrepreneurs to act.Originality/valueThis paper highlights the role entrepreneurs play in advancing social goals and purposes after disasters, specifically how commercial entrepreneurs can create and maintain social spaces where community members gather to discuss their challenges and strategies for disaster recovery. It highlights the extra-economic role of commercial entrepreneurs and discusses the implications for public policy based on this broadened conception of entrepreneurship.

Perceptual versus institutional determinants of entrepreneurial entry

PurposeThis cross-national study of entrepreneurship seeks to investigate the perceptual and institutional determinants of entrepreneurial entry. To do so, the authors distinguish between social and commercial entrepreneurial activities, taking the position that the concept of entrepreneurship is not a monolithic one.Design/methodology/approachThe authors construct a large cross-national data set and employ hierarchical linear modeling (HLM) to run a multi-level analysis on individual-level data from Global Entrepreneurship Monitor (GEM) and country-level data from Polity IV and GLOBE, representing 47 countries.FindingsIndividuals' perceptual characteristics (i.e. perceived self-efficacy, opportunity perception, and fear of failure) and informal institutions in the form of supportive cultures impact social entrepreneurship more strongly than commercial entrepreneurship. On the other hand, the formal institution of the rule of law, specifically the protection of property rights, is more conducive to commercial entrepreneurship.Originality/valueThe results of this study contribute to theory by illuminating the complicated relationships between environmental conditions, individual-level psychological factors, and entrepreneurial decisions. Furthermore, the authors’ multi-level model contributes to a more detailed conceptualization of entrepreneurial entry by identifying institutional settings that facilitate commercial versus social entrepreneurship. The authors also clarify why commercial entrepreneurship and social entrepreneurship attract different types of individuals.

Are There Really Differences Between Social and Commercial Entrepreneurship in Developing Countries?

The objective of this chapter is to determine the probability of starting social or commercial entrepreneurship in developing countries using the institutional approach as the theoretical framework. The study tests the hypotheses through a binomial logistic regression based on a sample of 10,598 entrepreneurs obtained from the Global Entrepreneurship Monitor (GEM). The main findings demonstrate that a higher level of education (formal institution) and a positive perception of personal values (informal institution) increase the probability of being a social entrepreneur. Also, the study shows that the interaction between informal institutions causes changes in the likelihood of being a social or commercial entrepreneur. This research advances the discipline by providing new information on the institutional environmental factors that influence social entrepreneurial activity.

Lean Approach to Social Entrepreneurship

This chapter proposes an alternate view to social entrepreneurship emphasizing that for-profit and non-profit entrepreneurship are in essence indifferent. It then discusses the latest trends in commercial entrepreneurship world together with implications on social entrepreneurship. In doing so, the lean startup phenomenon and closely related concepts, namely customer development philosophy, business model innovation, value proposition design, and jobs-to-be-done theory are explored with implications on social entrepreneurship.