Can Infused Publicness Enhance Public Value Creation? Examining the Impact of Government Funding on the Performance of Social Enterprises in South Korea

Choi, Doo-Sun; Berry, Frances Stokes

doi:10.1177/0275074020983253

Cited by 9 publications

(18 citation statements)

References 90 publications

(99 reference statements)

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“…Inversely, they have been found to have weak to non-existent ties with for-profit firms, consumers, universities and research centres, and funding agencies, and to not belong to "social innovation clusters" as per social innovation theory (Bae et al 2018;Kim and Kim 2014;Roh and Choo 2019). Choi and Berry (2021) conceptualize this dynamic in terms of "infused publicness" to capture how social enterprises have been instrumentalized by the government to achieve public policy goals and thereby create public value. Using annual data voluntarily shared by social enterprises from 2012 to 2018, they found that government funding is positively associated with the social performance (measured by the percentage of disadvantaged employees) of social enterprises but negatively with their economic performance.…”

Section: Discussionmentioning

confidence: 99%

“…Research on social entrepreneurship indicates that how social enterprises manifest is inextricably tied to the context of existing national institutional configurations, including government policy vis-à-vis social enterprises (e.g., Defourny and Kim 2011;Kerlin 2013;Baglioni 2017;Bidet and Defourny 2019;Gaiger et al 2019;Choi et al 2020;Nyssens 2021a 2021b). The intimate ties between the public sector and social enterprises in South Korea (hereinafter, "Korea") are well-attested (e.g., Bidet and Eum 2011;McCabe and Hahn 2006;Jung et al 2016;Jang 2017;Choi and Berry 2021), and the Korean case has accordingly been put forward as an example of the important role a national government can play in facilitating the emergence of a social enterprise sector (e.g., Choi et al 2020).…”

Section: Introductionmentioning

confidence: 99%

“…The intimate ties between the public sector and social enterprises in South Korea (hereinafter, “Korea”) are well‐attested (e.g., Bidet and Eum 2011; McCabe and Hahn 2006; Jung et al. 2016; Jang 2017; Choi and Berry 2021), and the Korean case has accordingly been put forward as an example of the important role a national government can play in facilitating the emergence of a social enterprise sector (e.g., Choi et al. 2020).…”

Section: Introductionmentioning

confidence: 99%

See 2 more Smart Citations

South Korean social enterprises and their networks: On their organizational linkages at the interstice between the third, public, and corporate sectors

Claassen

Bidet

Kim

2022

Ann Public Coop Econ

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Social enterprise and government interactions have become an increasingly prominent theme in the literature on social entrepreneurship, due in part to the pressures confronting the welfare state and the rise of precarious work. This analysis is motivated by the efforts of the government of South Korea to incubate social enterprises since 2007. The constant scaling of the South Korean government's monitored social enterprise certification scheme had led to the registration of approximately 3440 social enterprises as of May 2021. This study documents the interorganizational network behaviour of these enterprises relative to the public sector, corporate sector, and civil society and the social economy. A cluster analysis approach is utilized to analyse network data obtained from a self‐administered survey of 103 government‐certified social enterprises operating in South Korea. We find that a sizeable number of government‐certified social enterprises have diversified networks, as opposed to public sector‐centric networks, although such social enterprises are in the minority. This study references social innovation cluster theory to argue that the aforementioned scheme has attained a partial degree of success in facilitating the emergence of social enterprises with diversified networks.However, the majority remain quasi‐governmental implementers of government contracts and, generally, do not engage in networking.

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Section: Discussionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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South Korean social enterprises and their networks: On their organizational linkages at the interstice between the third, public, and corporate sectors

Claassen

Bidet

Kim

2022

Ann Public Coop Econ

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“…By contrast, four quantitative studies show mixed results with regard to the effect of governmental financial support on social enterprise outcomes. Choi and Berry (2021) find that government funding has positive effects on the social performance of social enterprises and negative effects on their economic performance. The detailed analysis of Cheah et al (2019) demonstrates that financial support and training from governmental actors (among others) enhance investees' performance and social achievements only if the supporting initiatives correlate closely with a venture's formal business planning practices.…”

Section: Political and Legal Factorsmentioning

confidence: 91%

Section: Descriptive Findings: Mapping a Diversified Landscapementioning

confidence: 99%

Managing the external financing constraints of social enterprises: A systematic review of a diversified research landscape

Schätzlein

Schlütter

Hahn

2022

Int J Management Reviews

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Social enterprises, located between non-profit organisations and for-profit firms, often struggle to acquire external funding. An increasing amount of research on the external financing of social enterprises stems from a fragmented body of the literature anchored in a variety of subject areas (e.g. entrepreneurship, public sector management, general management and strategy). We systematically review 204 academic articles published between 1998 and 2021 to bridge the knowledge gaps in these subject areas by: (1) mapping the field of the external financing of social enterprises at the individual, organisational and institutional levels; (2) synthesising the findings to develop an overarching framework; and (3) discussing theoretically sound future research avenues. We find that research at the individual level focuses primarily on investors' perspective of the ideal characteristics of a social entrepreneur. Research at the organisational level often addresses the dual logics of social enterprises and their impact on the successful financing of these businesses and the role of investor-investee collaboration.Research at the institutional level can be clustered into cultural, economic, political and legal factors. Overall, we stress the need for research that adopts an overarching view by considering all three levels of analysis simultaneously and using organisational and economic theories.

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How social enterprise executives perceive their relationship with the government in South Korea: Insights from a Q‐methodological study

Claassen,

Bidet,

Kim

et al. 2023

Nonprofit Mgmnt & Ldrshp

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This study utilizes Q‐methodology to assess the perspectives of 37 executives of government‐certified social enterprises in South Korea on their organization's relationship with the public sector in terms of the complementary‐supplementary‐adversarial conceptual frameworks of Toepler et al. and Young and the literature on co‐production. The perspectives of social enterprise executives that participate in co‐production arrangements represent an underexplored domain. Our findings contribute to the framework of Toepler et al. by empirically gauging the effects of, in particular, an enabling regulatory framework and public funding relative to the tensions represented by potentially excessive regulation. Although the focus on a single context limits the generalizability of the study, it provides insights on the nuances and complexities of public sector patronage while highlighting that such patronage is generally seen as being more complementary than adversarial. Our findings contribute to efforts to empirically gauge perceptions of co‐production arrangements.

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Can Infused Publicness Enhance Public Value Creation? Examining the Impact of Government Funding on the Performance of Social Enterprises in South Korea

Cited by 9 publications

References 90 publications

South Korean social enterprises and their networks: On their organizational linkages at the interstice between the third, public, and corporate sectors

South Korean social enterprises and their networks: On their organizational linkages at the interstice between the third, public, and corporate sectors

Managing the external financing constraints of social enterprises: A systematic review of a diversified research landscape

How social enterprise executives perceive their relationship with the government in South Korea: Insights from a Q‐methodological study

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