IDEAS home Printed from https://ideas.repec.org/a/eee/jobuve/v17y2022ics2352673421000755.html
   My bibliography  Save this article

Alternative investing as brokering: The embedding process of a Social Impact Bond model in a local context

Author

Listed:
  • Kosmynin, Mikhail
  • Jack, Sarah L.

Abstract

Social Impact Bonds (SIBs) are gaining traction as a research topic. Using a longitudinal case study of a Norwegian social venture - Nature Magic - funded through a SIB model, this article explores the embedding process of a SIB model into a local context – diverging from previous research focused on empirical cases from the UK and USA and refining the social aspects of SIBs. We show that the SIB model is embedded through three processes: 1) cultivating opportunity; 2) pulling together; and 3) fostering experimentation and ‘mutation’. We find that these embedding processes were fostered through developing and activating bonding and bridging social capital. This study also extends our understanding of alternative investing by theorizing it as brokering. We find that social investors engage in brokering processes in facilitating collaboration between typically disconnected spheres - such as social ventures and municipalities - through these embedding processes.

Suggested Citation

  • Kosmynin, Mikhail & Jack, Sarah L., 2022. "Alternative investing as brokering: The embedding process of a Social Impact Bond model in a local context," Journal of Business Venturing Insights, Elsevier, vol. 17(C).
    • Handle: RePEc:eee:jobuve:v:17:y:2022:i:c:s2352673421000755
    DOI: 10.1016/j.jbvi.2021.e00297
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S2352673421000755
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jbvi.2021.e00297?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Ingebjørg Vestrum, 2014. "The embedding process of community ventures: creating a music festival in a rural community," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 26(7-8), pages 619-644, October.
    2. Massimo G. Colombo & Chiara Franzoni & Cristina Rossi–Lamastra, 2015. "Internal Social Capital and the Attraction of Early Contributions in Crowdfunding," Entrepreneurship Theory and Practice, , vol. 39(1), pages 75-100, January.
    3. Rob Wilson & Alec Fraser & Jonathan Kimmitt & Stefanie Tan & Neil McHugh & Toby Lowe & Mildred Warner & Susan Baines & Eleanor Carter, 2020. "Theme: Futures in social investment? Learning from the emerging policy and practice of Social Impact Bonds (SIBs)," Public Money & Management, Taylor & Francis Journals, vol. 40(3), pages 179-182, April.
    4. Eleanor Carter, 2021. "More than marketised? Exploring the governance and accountability mechanisms at play in Social Impact Bonds," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 24(1), pages 78-94, January.
    5. Sophie Bacq & G. T. Lumpkin, 2021. "Social Entrepreneurship and COVID‐19," Journal of Management Studies, Wiley Blackwell, vol. 58(1), pages 285-288, January.
    6. Sarah L. Jack, 2005. "The Role, Use and Activation of Strong and Weak Network Ties: A Qualitative Analysis," Journal of Management Studies, Wiley Blackwell, vol. 42(6), pages 1233-1259, September.
    7. Garry Bruton & Susanna Khavul & Donald Siegel & Mike Wright, 2015. "New Financial Alternatives in Seeding Entrepreneurship: Microfinance, Crowdfunding, and Peer–to–Peer Innovations," Entrepreneurship Theory and Practice, , vol. 39(1), pages 9-26, January.
    8. Berit Irene Vannebo & Jorunn Grande, 2018. "Social entrepreneurship and embedded ties - a comparative case study of social entrepreneurship in Norway," International Journal of Entrepreneurship and Small Business, Inderscience Enterprises Ltd, vol. 33(3), pages 417-448.
    9. Anne de Bruin & Eleanor Shaw & Kate V. Lewis, 2017. "The collaborative dynamic in social entrepreneurship," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 29(7-8), pages 575-585, August.
    10. Alistair R. Anderson & Sarah L. Jack, 2002. "The articulation of social capital in entrepreneurial networks: a glue or a lubricant?," Entrepreneurship & Regional Development, Taylor & Francis Journals, vol. 14(3), pages 193-210, July.
    11. Jarrod Ormiston & Michael Moran & Erin I. Castellas & Emma Tomkinson, 2020. "Everybody wins? A discourse analysis of competing stakeholder expectations in Social Impact Bonds," Public Money & Management, Taylor & Francis Journals, vol. 40(3), pages 237-246, April.
    12. Stefanie Tan & Alec Fraser & Neil McHugh & Mildred E. Warner, 2021. "Widening perspectives on social impact bonds," Journal of Economic Policy Reform, Taylor & Francis Journals, vol. 24(1), pages 1-10, January.
    13. Jacob Broom, 2021. "Social impact bonds and fast policy: Analyzing the Australian experience," Environment and Planning A, , vol. 53(1), pages 113-130, February.
    14. Anderson, Alistair R. & Dodd, Sarah Drakopoulou & Jack, Sarah, 2010. "Network practices and entrepreneurial growth," Scandinavian Journal of Management, Elsevier, vol. 26(2), pages 121-133, June.
    15. Saul Estrin & Tomasz Mickiewicz & Ute Stephan, 2013. "Entrepreneurship, Social Capital, and Institutions: Social and Commercial Entrepreneurship across Nations," Entrepreneurship Theory and Practice, , vol. 37(3), pages 479-504, May.
    16. David Harvie & Robert Ogman, 2019. "The broken promises of the social investment market," Environment and Planning A, , vol. 51(4), pages 980-1004, June.
    17. Vanderhoven, Ellen & Steiner, Artur & Teasdale, Simon & Calò, Francesca, 2020. "Can public venture capital support sustainability in the social economy? Evidence from a social innovation fund," Journal of Business Venturing Insights, Elsevier, vol. 13(C).
    18. Günzel-Jensen, Franziska & Siebold, Nicole & Kroeger, Arne & Korsgaard, Steffen, 2020. "Do the United Nations’ Sustainable Development Goals matter for social entrepreneurial ventures? A bottom-up perspective," Journal of Business Venturing Insights, Elsevier, vol. 13(C).
    19. Chatterjee, Ira & Cornelissen, Joep & Wincent, Joakim, 2021. "Social entrepreneurship and values work: The role of practices in shaping values and negotiating change," Journal of Business Venturing, Elsevier, vol. 36(1).
    20. Muñoz, Pablo & Kimmitt, Jonathan, 2019. "A diagnostic framework for social impact bonds in emerging economies," Journal of Business Venturing Insights, Elsevier, vol. 12(C).
    21. Bertrand V. Quélin & Ilze Kivleniece & Sergio Lazzarini, 2017. "Public-Private Collaboration, Hybridity and Social Value: Towards New Theoretical Perspectives," Journal of Management Studies, Wiley Blackwell, vol. 54(6), pages 763-792, September.
    22. Jack, Sarah L. & Anderson, Alistair R., 2002. "The effects of embeddedness on the entrepreneurial process," Journal of Business Venturing, Elsevier, vol. 17(5), pages 467-487, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Paweł Mikołajczak, 2023. "Comparative study of social impact bonds – capital per beneficiary and scheme duration," Bank i Kredyt, Narodowy Bank Polski, vol. 54(2), pages 191-220.
    2. Rosella Carè & Stella Carè & Nathalie Lévy & Rabia Fatima, 2023. "Missing finance in social impact bond research? A bibliometric overview between past and future research," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(5), pages 2101-2120, September.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Xaver Neumeyer & Susana C. Santos & Michael H. Morris, 2019. "Who is left out: exploring social boundaries in entrepreneurial ecosystems," The Journal of Technology Transfer, Springer, vol. 44(2), pages 462-484, April.
    2. Ejiogu, Amanze & Ambituuni, Ambisisi & Ejiogu, Chibuzo, 2021. "Accounting for accounting’s role in the neoliberalization processes of social housing in England: A Bourdieusian perspective," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 80(C).
    3. Friedemann Polzin & Helen Toxopeus & Erik Stam, 2018. "The wisdom of the crowd in funding: information heterogeneity and social networks of crowdfunders," Small Business Economics, Springer, vol. 50(2), pages 251-273, February.
    4. Eric Gedajlovic & Benson Honig & Curt B. Moore & G. Tyge Payne & Mike Wright, 2013. "Social Capital and Entrepreneurship: A Schema and Research Agenda," Entrepreneurship Theory and Practice, , vol. 37(3), pages 455-478, May.
    5. Nick Williams & Besnik A. Krasniqi, 2018. "Coming out of conflict: How migrant entrepreneurs utilise human and social capital," Journal of International Entrepreneurship, Springer, vol. 16(2), pages 301-323, June.
    6. Vincent Lefebvre & Miruna Radu Lefebvre & Eric Pierre Simon, 2015. "Formal entrepreneurial networks as communities of practice: a longitudinal case study," Post-Print hal-01217308, HAL.
    7. W. Cai & F.H.J. Polzin & F.C. Stam, 2019. "Crowdfunding and Social Capital: A Systematic Literature Review," Working Papers 19-05, Utrecht School of Economics.
    8. Xaver Neumeyer & Susana C. Santos & António Caetano & Pamela Kalbfleisch, 2019. "Entrepreneurship ecosystems and women entrepreneurs: a social capital and network approach," Small Business Economics, Springer, vol. 53(2), pages 475-489, August.
    9. Rosella Carè & Stella Carè & Nathalie Lévy & Rabia Fatima, 2023. "Missing finance in social impact bond research? A bibliometric overview between past and future research," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(5), pages 2101-2120, September.
    10. Ejiogu, Amanze & Ejiogu, Chibuzo & Ambituuni, Ambisisi, 2019. "The dark side of transparency: Does the Nigeria extractive industries transparency initiative help or hinder accountability and corruption control?," The British Accounting Review, Elsevier, vol. 51(5).
    11. Paweł Mikołajczak, 2023. "Comparative study of social impact bonds – capital per beneficiary and scheme duration," Bank i Kredyt, Narodowy Bank Polski, vol. 54(2), pages 191-220.
    12. Jack, Sarah L., 2010. "Approaches to studying networks: Implications and outcomes," Journal of Business Venturing, Elsevier, vol. 25(1), pages 120-137, January.
    13. Jean–Luc Arregle & Bat Batjargal & Michael A. Hitt & Justin W. Webb & Toyah Miller & Anne S. Tsui, 2015. "Family Ties in Entrepreneurs’ Social Networks and New Venture Growth," Entrepreneurship Theory and Practice, , vol. 39(2), pages 313-344, March.
    14. Lavlu Mozumdar & Geoffrey Hagelaar & Valentina C. Materia & S. W. F. Omta & Mohammad Amirul Islam & Gerben Velde, 2019. "Embeddedness or Over-Embeddedness? Women Entrepreneurs’ Networks and Their Influence on Business Performance," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(5), pages 1449-1469, December.
    15. Berns, John P. & Jia, Yankun & Gondo, Maria, 2022. "Crowdfunding success in sustainability-oriented projects: An exploratory examination of the crowdfunding of 3D printers," Technology in Society, Elsevier, vol. 71(C).
    16. Smith, Claudia & Smith, J. Brock & Shaw, Eleanor, 2017. "Embracing digital networks: Entrepreneurs' social capital online," Journal of Business Venturing, Elsevier, vol. 32(1), pages 18-34.
    17. Chan, C.S. Richard & Parhankangas, Annaleena & Sahaym, Arvin & Oo, Pyayt, 2020. "Bellwether and the herd? Unpacking the u-shaped relationship between prior funding and subsequent contributions in reward-based crowdfunding," Journal of Business Venturing, Elsevier, vol. 35(2).
    18. Chatterjee, Ira & Cornelissen, Joep & Wincent, Joakim, 2021. "Social entrepreneurship and values work: The role of practices in shaping values and negotiating change," Journal of Business Venturing, Elsevier, vol. 36(1).
    19. Johannes Wallmeroth & Peter Wirtz & Alexander Peter Groh, 2017. "Institutional Seed Financing, Angel Financing, and Crowdfunding of Entrepreneurial Ventures: A Literature Review," Working Papers hal-01527999, HAL.
    20. Rita G. Klapper & Paul Upham & Richard K. Blundel, 2021. "Insider perspectives on growth: Implications for a nondichotomous understanding of ‘sustainable’ and conventional entrepreneurship," Business Strategy and the Environment, Wiley Blackwell, vol. 30(3), pages 1481-1496, March.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jobuve:v:17:y:2022:i:c:s2352673421000755. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: https://www.journals.elsevier.com/journal-of-business-venturing-insights .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.