Intellectual Capital in Social Enterprises

Abstract

Over the last decade, the phenomenon of social entrepreneurship has experienced impressive growth in different countries. Using a market- based approach, Social Enterprises (SEs) incorporate commercial forms of revenue generation (creating economic value) as a vehicle to accomplish their social mission (creating social value). Profits and wealth creation play a role in their business model, but they are rather considered as the means to achieve a social end, and not an end in themselves. Especially in Greece, the recent financial crisis has triggered the generation of several SEs with multifaceted purposes.

The scope of the study is twofold; Firstly, to identify the Intellectual Capital (IC) of SEs in Greece. More specifically, to identify the Human Capital, Organizational Capital and Relational Capital existing in these SEs as well as the relationships existing among these IC subcategories. Secondly, to assess whether these components of IC exert an influential role on the performance of the SEs.

Our analysis is based on answers provided by a sample of Greek SEs on a structured questionnaire. The measurement of IC is done through scales that borrow characteristics from both the private and the public sector literature. In our study, the performance of SEs is measured through their perceptions regarding the level of success in achieving the desired output, outcome and impact as well as well as quantified proxies of the above.

Keywords: social enterprises, intellectual capital, social outcome, social output, social impact

JEL Classification: M10, M13, M14, M19, I30