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The Effect of Value Co-Creation on Social Enterprise Growth: Moderating Mechanism of Environment Dynamics

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  • Jianxin Ge

    (Department of Strategy, Business School, Central University of Finance & Economics, Beijing 100081, China)

  • Hongjia Xu

    (Agricultural Bank of China, Beijing 100005, China)

  • Massimiliano M. Pellegrini

    (Management and Law Department, School of Economics, University of Rome “Tor Vergata”, Via Columbia 2, 00133 Rome, Italy)

Abstract

The traditional approach to demonstrate the growth processes of social enterprise still relies heavily on an internal perspective of resource and capability accumulation. However, it is insufficient to explain why some social enterprises grow quickly while other social enterprises do not. Based on the theory of value co-creation, this paper proposes a theoretical framework of the effect of value co-creation on social enterprise growth. A survey was conducted in China across 29 provinces and municipalities from October 2015 to March 2016, through the efforts of a market research group. The final number of usable questionnaires was 172. Specifically, by employing hierarchical regression models, this paper partially confirms the positive impact of value co-creation on social enterprise growth, while environment dynamics have a negative moderating effect on the relationship between value creation and the growth of social enterprises.

Suggested Citation

  • Jianxin Ge & Hongjia Xu & Massimiliano M. Pellegrini, 2019. "The Effect of Value Co-Creation on Social Enterprise Growth: Moderating Mechanism of Environment Dynamics," Sustainability, MDPI, vol. 11(1), pages 1-20, January.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:1:p:250-:d:195323
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    5. Ali Raza & Amer Saeed & Muhammad Khalid Iqbal & Umair Saeed & Imran Sadiq & Naveed Ahmad Faraz, 2020. "Linking Corporate Social Responsibility to Customer Loyalty through Co-Creation and Customer Company Identification: Exploring Sequential Mediation Mechanism," Sustainability, MDPI, vol. 12(6), pages 1-19, March.
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    7. Praveen Kumar & Nishant Tiwary, 2020. "Role of Social Enterprises in Addressing Energy Poverty: Making the Case for Refined Understanding through Theory of Co-Production of Knowledge and Theory of Social Capital," Sustainability, MDPI, vol. 12(20), pages 1-13, October.
    8. Longinos Marín & Catalina Nicolás & Alicia Rubio, 2019. "How Gender, Age and Education Influence the Entrepreneur’s Social Orientation: The Moderating Effect of Economic Development," Sustainability, MDPI, vol. 11(17), pages 1-16, August.

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