Can social enterprises aid sustainable development? Evidence from multi-stage investigations.

ABSTRACT

BACKGROUND: Social enterprises must balance between profitability and sustainability. The impetus on sustainability grew further after the adaption of the SDG agenda by the United Nations (UN). OBJECTIVE: This paper examines the role of social enterprises in helping attain sustainable development goals in India. RESEARCH DESIGN: This multi-stage paper comprises three studies directed at scale development, scale refinement, pre-testing, and construct validity. The scale development stage is conducted through a combination of extensive literature review and focused group discussions. Expert discussions and item-reduction techniques have been used in the second stage aimed at scale refinement and pre-testing. The third stage of testing construct validity is carried out through Partial Least Square-Structural Equation Modelling (PLS-SEM). RESULTS: The findings suggest that all the competencies of social enterprises identified in the study i.e. social mission, collaborative networks, innovation, financial viability and level of scalability significantly impact sustainable development. CONCLUSION: Because the goals of social enterprises and the Sustainable Development Goals (SDGs) are mutually reinforcing and complementary, the study suggests that social enterprises have a lot of potential for achieving the SDGs. The study also suggests future research directions and policy implications that can be replicated in other countries.