Dynamic and Marketing Capabilities as Predictors of Social Enterprises’ Performance

Research output: Journal Publications and ReviewsRGC 21 - Publication in refereed journalpeer-review

23 Scopus Citations
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Author(s)

Detail(s)

Original languageEnglish
Pages (from-to)587-600
Journal / PublicationVoluntas
Volume31
Issue number3
Online published3 Sept 2019
Publication statusPublished - Jun 2020
Externally publishedYes

Abstract

Social enterprises (SEs) have an increasingly important role in developing more equitable societies worldwide. The capabilities of SEs are an important driver of their performance, but research in this area is still emerging, and the link between capabilities and performance has yet to be examined. By drawing on the dynamic capabilities perspective, it is suggested in this study that absorptive capacity—an organization’s ability to absorb, assimilate, and apply knowledge—affects a SE’s performance indirectly via its marketing capabilities. Using data from Hong Kong and Taiwanese social enterprises (n = 109), a set of hypotheses related to the capabilities–performance linkage were tested. The results show that the marketing capabilities of SEs mediated the relationship between absorptive capacity and financial performance. However, absorptive capacity was not associated with improved social performance via marketing capabilities. The paper concludes with a discussion of the implications of the findings and directions for future research. © 2019, International Society for Third-Sector Research.

Research Area(s)

  • Absorptive capacity, Financial performance, Marketing capabilities, Social enterprises, Social performance

Citation Format(s)

Dynamic and Marketing Capabilities as Predictors of Social Enterprises’ Performance. / Lee, Erica Kim Man; Chandra, Yanto.
In: Voluntas, Vol. 31, No. 3, 06.2020, p. 587-600.

Research output: Journal Publications and ReviewsRGC 21 - Publication in refereed journalpeer-review